In a massive collaboration, Hitachi and Microsoft are joining forces to accelerate social innovation through the power of generative AI. This partnership is expected to bring in a whopping multibillion-dollar revenue over the next three years, with a planned revenue of 2.65 trillion yen (18.9 billion USD) in FY2024. The alliance will propel the growth of Hitachi’s Lumada business, focusing on operational efficiency and productivity improvements for Hitachi Group’s 270,000 employees. By embedding Microsoft Cloud, Azure Open AI Service, Dynamics 365, Copilot for Microsoft 365, and GitHub Copilot into Lumada solutions, the companies will provide innovative solutions for the energy, mobility, and other industries to deliver better outcomes for businesses and society.
This partnership is not just about business growth; it’s also about addressing pressing environmental concerns. The companies will work together to reduce the environmental footprint of data centers, which have become a growing concern with the increasing use of generative AI. In addition, they will promote joint projects to address pressing business needs such as bolstering cloud services, enhancing security, and mitigating the environmental footprint of data centers.
As Keiji Kojima, president and CEO of Hitachi, stated, “Hitachi has been driving transformation by applying AI across the Hitachi Group to improve productivity and will invest 300 billion yen (2.1 billion USD) in GenAI to capture new growth opportunities in FY2024.” This collaboration is a significant step towards creating a more sustainable future, and it will be exciting to see the innovative solutions that emerge from this partnership.
