1. Business platform operations
Hitachi netBusiness, Ltd. will act as a one-stop
service provider of secure, competitive business platforms. By combining the expertise
obtained from operating the TWX-21 inter-company electronic commerce service,
Japan's largest such service, with the MULTI2 encoding system used for digital
satellite broadcasting in Japan and technologies for ensuring the security of
Internet-based transactions, such as the "Internet/Marks" digital watermark technology,
which has been approved by the Japan Chamber of Commerce and Industry, Hitachi
is able to provide service providers, content holders and other customers with
the business platform management and operating know-how required to quickly get
their net business up and running.
Internet data centers, proxy operation, provision
of middleware, collection of fees and charges, customer management, security services
such as certification and encryption and Internet banking and debit card settlement
centers are specific examples of service areas in which Hitachi will provide business
platforms for promoting net businesses.
When the focus is on expanding from the BtoB to
the BtoC market, adapting net-based transactions to a real-world distribution
network can be a major challenge. Hitachi is well placed to help customers with
this transition by utilizing its net-based value chain, nation-wide network of
ten consumer products sales companies and 6,800 Hitachi stores, 963 service and
maintenance bases, and distribution/transportation network consisting of Hitachi
Transport System, Ltd.
2. Market-specific solutions
For tThe Hitachi Group has a very extensive
customer base that includes Hitachi, Ltd.'s 35,000 corporate customers and Hitachi
Credit Corporation's 80,000 corporate customers and 1.87 million private customers.
Hitachi will use these resources, together with its advanced technological capabilities
and expertise, to develop solutions for each industry or business model in the
market categories of 1) Business, 2) Industry, 3) Consumer, 4) Government, 5)
Academia.
1) Business: Internet-based solutions business and ASP business
Solutions business (SI)
The "Cyberfront" solutions structure will be focussed
more closely on the Internet. Internet technology will be used to provide a full
range of solution proposals, consulting services and system implementation and
management services to enable customers, regardless of industry, business model
or size, to develop their Internet business.
ASP business
ASP services that provide open, secure applications
ranging from business consulting to the provision and operation of ERP products
and other such packages will be developed in various areas, starting with the
industrial, financial, distribution and public utility sectors. In addition to
ASP services providing SAP's R/3, Oracle Applications and other such ERP products,
ApinetLand, will be established, to develop and market ASP services by Hitachi
Group companies and outside sales and other business partners for medium-sized
and smaller companies. ApinetLand will start service operations in June. Hitachi
is also initiating a service that uses the Internet to provide access to the company's
patents and design expertise.
Moreover, TWX-21, which is already Japan's largest
inter-company electronic commerce service, with 3,200 corporate members, is being
given a larger range of business applications and an expanded overseas presence.Hitachi
is also expanding Internet sales of PCs and solutions for enterprises and the
SOHO market.
2) Industry: Net services for social infrastructures having a high public
utility
In the area of infrastructure industries such
as electric power and transportation, services include net-based energy information
and total facility services and using the Internet to provide maintenance of electric
power generation facilities.
In the area of ITS, the ITS business promotion
committee established in April last year is playing a central role in joining
with affiliated companies to develop ITS services. Business relating to the building
of ITS systems, such as an electronic toll collection system and a vehicle road
information communication system, is being expanded. EcoAssist, which helps companies
acquire environmental ISO certification, is part of Hitachi's growing ecology
service operations that are supporting the networking of social infrastructure
systems that have a high public component.
3) Consumer:Personalized Net services to enrich individual
Promoting e-Service Community for consumers
In this area, the aim is to provide services that
help to enrich the individual lifestyles of consumers consumers by using personalized
electronic services.
For net-business entrepreneurs with consumer-oriented
ideas,Hitachi's e-Service Community can provide these entrepreneurs with significant
opportunity to immediately get their service up or smoothly integrate with various
type of electronic business through Hitachi's incubation programs and sales channel
promotions with a business platform.
The e-Service Community employs a concept Hitachi
calls lifestyle portals, which can be personalized to create a rich variety of
service scenarios.In-house and third-party service providers and content holders
are using this portal concept to develop online community services and services
tailored to match the needs of various consumer lifestyles,including those of
corporate employees.One example is a net-based cafetreria-style benefit plan for
corporate employees, who can use various welfare services like housing, pension
operations and leisure etc. by their choice, with corporate supports by fare points
management.A lifestyle support business is being started that utilizes Hitachi's
nation-wide network of consumer product outlets, and other startups include a
venture capital and an incubation activities relating to intellectual property
and asset management.
Digital-broadcasting compatible EC
New technology for digital data broad casting allows
consumers to enjyoy interactive TV such as TV shopping, home banking,ticketing.
New internet appliances give consumers chance to get digital contents such as
music and map on demand under the movile environment.Hitachi is going to offer
such new services in partnership with third- parties suc as Digital Cast International
Limited.
4) Government: Electronic government solutions based on advanced technology
Hitachi is promoting a broad spectrum of electronic
government solutions that provide national and local agencies and organizations
with total support that ranges from consultation services to the implementation
of systems and outsourcing. Hitachi is using its extensive systems expertise and
the security provided by its advanced encryption, certification and settlement
system technology to provide administrative services and services relating to
the disclosure of information and the filing of online applications over networks
linking government, business and consumers. On March 31, in Tokyo, Hitachi opened
"CyberGovernment Square," Japan's first showroom for electronic government products.
5) Academia: Portal services and remote educational systems for academic
institutions
Portal services
May will see the start of the membership-based
"Hitachi Academic Network Service. This will be used to set up a network-based
"supply chain" between Hitachi's knowledge base, comprising more than 1,000 research
laboratory personnel with PhDs, and academic institutions. The aim is to expand
opportunities to participate in joint research partnerships and projects involving
industry, academic institutions and government. A further aim is to increase the
outsourcing of research laboratory knowledge resources.
Solutions business
Hitachi is promoting remote educational system
services for universities and other academic institutions. For this, Hitachi is
developing remote educational systems that use MPEG-4 data editing systems and
XML technology to provide real-time interactivity. Looking to the future, further
efforts in this area will include support services for an Internet-based "Citizen's
University."
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