Hitachi, Ltd. · TSE:6501

Hitachi — Investor Presentation (December 2011)

44 slides from Hitachi's investor presentation, Dec 7, 2011

Slide 1: Information & Telecommunication Systems Business Information Meeting
Information & Telecommunication Systems Business Information Meeting Effectively Utilizing Big Data December 7, 2011 ＳｈｉｎｊｉｒｏＩｗａｔａ Senior Vice President and Executive Officer President & CEO Information & Telecommunication Systems Company Hitachi, Ltd. ＪａｃｋＤｏｍｍｅ CEO, Hitachi Data Systems Corporati
Slide 2: Contents
Information & Telecommunication Systems Business Information Meeting Effectively Utilizing Big Data ［Contents］１．Big Data and Effective Use in Society ２．Hitachi’s Strengths and Basic Policy ３．Hitachi Data Systems’ Initiatives ４．Conclusion © Hitachi, Ltd. 2011. All rights reserved.
Slide 3: Today's Information Meeting
1-1. Today’s Information Meeting Fields of Future Focus (Announced in June 2011) Leading company in Social Innovation Business Global company recognized for its strong products and services Strengthen domestic businesses Expand global businesses Fields of future focus ■Fused businesses ■Highly relia
Slide 4: Society is Overflowing with Beneficial Data
1-2. Society is Overflowing with Beneficial “Data” Machine-originated data Electricity meters Transportation information ＢｉｇＤａｔａ Environment and weather data Communications logs Facility monitoring SNS People-originated data Logistics Car navigation tracking Twittering Movie, picture, voice and GPS
Slide 5: Increasing Data Volumes and Diversification
1-3. Increasing Data Volumes and Diversification From Peta/Exa Byte to Zetta Byte Era of all data in the world 80% of all data is unstructured Twittering News Office ＤＢＳＮＳ document ＲＦＩＤ Digital Image Ｅ-ｍａｉｌ Unstructured Structured Data Hi-Vision recording Data ＧＢ Giga Byte ＴＢ Tera Byte ＰＢ Peta Byte
Slide 6: The Big Data Era Has Come!
1-4. The Big Data Era Has Come! Future Spread utilizing Big Data related Business Apply utilizing Big Data included unstructured Data to the actual business Enhance platform technologies for utilizing Big Data NOW Launch utilizing Big Data related business Progress the development of high value serv
Slide 7: Data Generated by People
Big Data Utilization Fields 1-5. - Data Generated by People Retail field One-to-One marketing Medical field Personalized medical care Banking/ Banking and insurance services insurance field tailored to specific customer segments Public Public opinion analysis, administration field decision-making su
Slide 8: One-to-One Marketing Utilizing Big Data
1-6. One-to-One Marketing Utilizing Big Data Information Information Provision of products and services Information based on consumer behavior and actions Information Optimized services Information Companies Information Information © Hitachi, Ltd. 2011. All rights reserved. 8
Slide 9: Big Data Utilization in the Medical Field
1-7. Big Data Utilization in the Medical Field Advanced and personalized medical care utilizing various data ＡＴＧＣＣＧＡＡＴＧＣＣＧＡＡＴＧＣＣＧＧＡＡＴＧＣＣＧＡＡＴＧＣＣＧＡＴＧＡＡＴＣＧＡＴＧＣＣＧＡＡＴＧＣＣＧＡＡＴＧＣＣＧＡＴＧＣＣＧＣＣＧＡＡＴＧＣＡＴＧＣＣＧＡＡＴＣＧＡＴＧＡＡＴＣＡＴＧＣＣＧＡＡＴＧＣＣＧＡＡＴＧＣＣＧＡＴＧＡＡＴＣＧＡ・Advanced medical care, ・Personalized medical treatment new tr
Slide 10: Data Generated by Machines and Equipments
Big Data Utilization 1-8. - Data Generated by Machines and Equipments Maintenance Preventive maintenance and field operation services Power supply-demand forecasting Electricity field services Transportation Crowd movement analytics and field forecasting services Communications Communications analys
Slide 11: Big Data Utilization in the Railway Field
1-9. Big Data Utilization in the Railway Field Satellite imagery, geological and land utilization data, facility logs, 3D-CAD diagrams, rail line plans, etc. Spatial information Infrastructure information Activity information Railway line geography Rolling stock, railway facilities Railway operation
Slide 12: Big Data Utilization in the Smart City Field
1-10. Big Data Utilization in the Smart City Field Connect social infrastructure and lifestyles with services to create a safe, secure, comfortable and eco-friendly society Next-generation transportation systems Intelligent water systems Automated Supply-demand People activity operation adjustment s
Slide 13: Comfortable Services Effectively Utilizing Big Data
1-11. Comfortable Services Effectively Utilizing Big Data Financial services Education Healthcare/medical care Public administration Manufacturing/distribution Transportation Water services Energy Create safer as well as more secure and comfortable services Big Data utilization technologies Collecti
Slide 14: Contents
Information & Telecommunication Systems Business Information Meeting Effectively Utilizing Big Data ［Contents］１．Big Data and Effective Use in Society ２．Hitachi’s Strengths and Basic Policy ３．Hitachi Data Systems’ Initiatives ４．Conclusion © Hitachi, Ltd. 2011. All rights reserved.
Slide 15: Steps for Effectively Utilizing Big Data
2-1. Steps for Effectively Utilizing Big Data New uses Find/forecast “Service creation” Search/use “Analysis/ Collection/ forecasting” storage “Easy searching” “Data accumulation” © Hitachi, Ltd. 2011. All rights reserved. 15
Slide 16: Hitachi's Strengths (1) Platform Strengths
2-2. Hitachi’s Strengths (1) Platform Strengths New uses Find/forecast “Service creation” Search/use “Analysis/forecasting” Collection/storage “Easy searching” “Data accumulation” Delivering world-class, advanced storage systems ・A powerful, global customer base ・Strategic business development with
Slide 17: Hitachi's Strengths (2) IT and Social Infrastructure Technologies
Hitachi’s Strengths (2) 2-3. IT and Social Infrastructure Technologies Wide range of applications. From company information systems to social infrastructure systems Company business systems Social infrastructure systems Industry/distribution/finance/ Communications Electricity/railways public admini
Slide 18: What is Data Analysis?
2-4. What is Data Analysis? Trials to form relationships between “analysis” and “customers’ operations” Joint operations between mathematical analysis (IT) and determination of effectiveness (people) Leverage Hitachi’s expertise as a manufacturing company Full-fledged system Big Data Analysis Activi
Slide 19: Initiative Policy in the Big Data Era
2-5. Initiative Policy in the Big Data Era Strategic Approach from “INFRASTRUCTURE CLOUD” to “INFORMATION CLOUD” New Uses Service Creation Find/forecast ■ INFORMATION CLOUD Making know-how formulated knowledge Analysis/forecasting collaborated with customers Search/use ■ CONTENTS CLOUD Easy Searchin
Slide 20: Basic Policy (1)
2-6. Basic Policy (1) Effectively Utilizing Big Data by INFORMATION CLOUD Expand the collaboration with advanced customers ・Expand service business utilizing abundant know-how based on the experiences of building social infrastructure systems ・Implement analysis and accumulation of knowledge by util
Slide 21: Basic Policy (2)
2-7. Basic Policy (2) Integration of internal and external wisdom for Hitachi Expand business in global market: Advanced utilizing Big Data ・Implement by Global one team Aggressively implement collaboration with the experts of each industry ・Management/IT consulting/Statictics mathematical principle
Slide 22: Hitachi Data Systems Corporation (HDS)
2-8. Hitachi Data Systems Corporation (HDS) Business development in over 100 countries and regions worldwide Established in 1989, headquartered in Santa Clara, California, U.S.A. (Approx. 5,300 employees as of September 30, 2011) Customers: 82% of Top 100 companies Fortune Global 1000® Alliances wit
Slide 23: Contents
Information & Telecommunication Systems Business Information Meeting Effectively Utilizing Big Data ［Contents］１．Big Data and Effective Use in Society ２．Hitachi’s Strengths and Basic Policy ３．Hitachi Data Systems’ Initiatives ４．Conclusion © Hitachi, Ltd. 2011. All rights reserved.
Slide 24: HDS: A Company Transformed
3-1. HDS: A Company Transformed  Q2 FY11: 25% y/y growth; Highest revenue quarter in Hitachi Storage business history! (consolidated and in U.S.$) – 26% 1HFY11 y/y growth – 18% FY10 y/y growth – Eight consecutive record quarters  Expanded portfolio – Leader in storage virtualization – File and con
Slide 25: Consistent, Record-Breaking Growth
3-2. Consistent, Record-Breaking Growth HITACHI STORAGE BUSINESS CONSOLIDATED REVENUE RESULTS $1.078B $1.053B $1.046B $1.028B （¥84B）（¥87B）（¥87B）（¥83B） + 25.2% y/y + 15.2% y/y + 19.0% y/y $914M $882M + 28.0% y/y （¥82B） $861M （¥80B） $779M +4.6% y/y + 6.3% y/y （¥74B）（¥74B） $804M + 11.0% y/y $709M （
Slide 26: HDS State of the Business
3-3. HDS State of the Business TOTAL HDS CONSOLIDATED REVENUES: US $1.078B (Q2); US$2.092B (H1) H1 FY11 Q2 FY11 KEY METRICS Y/Y% Y/Y% GROWTH GROWTH HITACHI CONSOLIDATED REVENUE 25% 26% HDS Y/Y% GROWTH IN FOLLOWING AREAS*: AMERICAS 21% 15% EMEA 30% 39% APAC (excluding Japan sales) 36% 40% HARDWARE**
Slide 27: The World's Data and Information Challenge
3-4. The World’s Data and Information Challenge • An Information-Centric World, Governments, Enterprises, Organizations, Person, Consumer…Creating, exchanging, consuming, enhancing data • The world had 486 exabytes of data in 2008. Doubling in 18 months. • Unstructured data is growing at 10x structu
Slide 28: The Challenge
3-5. The Challenge INFORMATION ANYWHERE, ANYTIME, ALL THE TIME… FOREVER  ALL DISCOVERABLE AND SEARCHABLE  INDEPENDENT OF APPLICATION  INDEPENDENT OF MEDIA  INTEGRATED AND MEANINGFUL  GOVERNED FOREVER © Hitachi, Ltd. 2011. All rights reserved. 28
Slide 29: The Path to the Information Center
HDS Strategy: 3-6. The Path to the Information Center INFORMATION Analytics Business intelligence Integration CLOUD Big data Information Virtualization CONTENT Search, discover, integrate Content on demand Text CLOUD independently of applications Archiving as a service Content Virtualization INFRAST
Slide 30: The Infrastructure Cloud
3-7. The Infrastructure Cloud INFRASTRUCTURE ELASTIC SCALABILITY AND PLATFORM AS A RAPID, ON-DEMAND FOR PRIVATE, HYBRID SERVICE DEPLOYMENT AND PUBLIC © Hitachi, Ltd. 2011. All rights reserved. 30
Slide 31: Inside the Content Cloud
3-8. Inside the Content Cloud DISCOVERY & SEARCH ACROSS APPLICATIONS MULTI APPLICATION INDEXING AUTOMATED TIERING / ARCHIVING CONTENT CONTENT REPURPOSING CORE DATA LIFECYCLE MANAGEMENT VIRTUAL CONTAINERIZATION CONTENT & DATA CONTENT INDEPENDENT OF CENTRALIZED MASSIVE SCALABILITY & VIRTUALIZATION APP
Slide 32: Healthcare Content Cloud in Use Today
3-9. Healthcare Content Cloud in Use Today KLINIKUM WELS SOLUTION ARCHITECTURE ADMISSION X-RAY LAB PHYSICIAN DEPARTMENTS HOSPITAL HEALTH PORTAL INFORMATION CLOUD METADATA LAYER CONTENT CLOUD INFRASTRUCTURE CLOUD SINGLE VIRTUALIZATION PLATFORM CONTENT VIRUTALIZATION LAYER SEARCH, INDEXING, DATA LIFEC
Slide 33: Integrated Patient Data
Imagine the Possibilities – Access to 3-10. Integrated Patient Data ACROSS MULTIPLE APPLICATIONS Kent Susan TIME 30 years…  Generations of applications 01/01/64 989756-010164 and media 10 years  Cumulative effects of growing data Santa Clara 5 years  Moving petabytes of data – California 95050 li
Slide 34: Scalable Content Cloud – Today!
3-11. Scalable Content Cloud – Today! HDS DATA ANALYTICS, BLUEARC + HDS BUSINESS INTELLIGENCE, FILE AND CONTENT MASSIVE SCALE-OUT MOBILITY, INTELLIGENT LEVERAGE PARASCALE TIERING AND HOLISTIC SEARCH INFORMATION CLOUD CONTENT CLOUD INFRASTRUCTURE CLOUD SINGLE VIRTUALIZATION PLATFORM FOR INFRASTRUCTUR
Slide 35: Big Data / Analytics: An Integrated Hitachi Vision
An Integrated Hitachi Vision: 3-12. Big Data / Analytics FINANCE RAILWAY PUBLIC DISTRIBUTION MEDICAL ENTERPRISE SYSTEMS ELEC. POWER TRAFFIC SECURITY SOCIAL INFRASTRUCTURE INTELLIGENCE HITACHI, LTD. CLOUD SOLUTION (SERVICE DELIVERY) INFORMATION CLOUD BIG DATA MANAGEMENT Information Virtualization MAC
Slide 36: HDS Business Execution of the Vision
3-13. HDS Business Execution of the Vision TRUSTED BY 82% STRONG GLOBAL OF THE TOP 100 INTEGRATED R&D REVENUE GROWTH FORTUNE GLOBAL 1000® INVESTMENTS STRONG INTEGRATION ACROSS HITACHI KEY 2011 RESPECTED BUSINESS COMPANIES ACQUISITIONS CULTURE © Hitachi, Ltd. 2011. All rights reserved. 36
Slide 37: HDS Growth Strategy
3-14. HDS Growth Strategy Business Model Shift Invest aggressively in software intellectual property to Software and and portfolio depth Services Leveraging our Strengthen channel, alliance and systems integrator Partnerships programs  Integrated strategy for structured and unstructured data includ
Slide 38: Storage Solution Business Revenue Targets
Revenue Targets: 3-15. Storage Solution Business （billion$） 6.0 (¥450billion) 6 5.0 5 4.4 (¥400billion) 3.9 (¥335billion) (¥322billion) 4 3.3 (¥304billion) 3 2 1 0 FY09 FY10 FY11 FY15 (Actual) (Actual) (Forecast) (Target) [¥93/$] [¥83/$] [¥77/$] [¥80/$] [¥75/$] <As of Jun. 2011> <New Target> © Hitac
Slide 39: Contents
Information & Telecommunication Systems Business Information Meeting Effectively Utilizing Big Data ［Contents］１．Big Data and Effective Use in Society ２．Hitachi’s Strengths and Basic Policy ３．Hitachi Data Systems’ Initiatives ４．Conclusion © Hitachi, Ltd. 2011. All rights reserved.
Slide 40: Conclusion
4-1. Conclusion FY2015 Revenues: ¥2.3 trillion / Operating income ratio: 8% Business Targets Overseas revenues: ¥800.0 billion / Overseas revenue ratio: 35% Strengthen domestic businesses Expand global businesses Fields of future focus ■Fused businesses ■Highly reliable cloud businesses ■Businesses
Slide 41: Driving Continuing Growth in the Information & Telecommunication Systems Business
Conclusion: Driving Continuing Growth in 4-2. the Information & Telecommunication Systems Business Effectively Utilizing Big Data Create a new world with Big Data INFORMATION CLOUD Accumulate, integrate and efficiently utilize large volumes of diverse data ONE PLATFORM FOR ALL DATA CONTENT CLOUD & I
Slide 42: Cautionary Statement
Cautionary Statement Certain statements found in this document may constitute “forward-looking statements” as defined in the U.S. Private Securities Litigation Reform Act of 1995. Such “forward-looking statements” reflect management’s current views with respect to certain future events and financial

Hitachi — Investor Presentation (December 2011) on 6ix

Hitachi — Investor Presentation (December 2011)

Slide 1: Information & Telecommunication Systems Business Information Meeting

Slide 2: Contents

Slide 3: Today's Information Meeting

Slide 4: Society is Overflowing with Beneficial Data

Slide 5: Increasing Data Volumes and Diversification

Slide 6: The Big Data Era Has Come!

Slide 7: Data Generated by People

Slide 8: One-to-One Marketing Utilizing Big Data

Slide 9: Big Data Utilization in the Medical Field

Slide 10: Data Generated by Machines and Equipments

Slide 11: Big Data Utilization in the Railway Field

Slide 12: Big Data Utilization in the Smart City Field

Slide 13: Comfortable Services Effectively Utilizing Big Data

Slide 14: Contents

Slide 15: Steps for Effectively Utilizing Big Data

Slide 16: Hitachi's Strengths (1) Platform Strengths

Slide 17: Hitachi's Strengths (2) IT and Social Infrastructure Technologies

Slide 18: What is Data Analysis?

Slide 19: Initiative Policy in the Big Data Era

Slide 20: Basic Policy (1)

Slide 21: Basic Policy (2)

Slide 22: Hitachi Data Systems Corporation (HDS)

Slide 23: Contents

Slide 24: HDS: A Company Transformed

Slide 25: Consistent, Record-Breaking Growth

Slide 26: HDS State of the Business

Slide 27: The World's Data and Information Challenge

Slide 28: The Challenge

Slide 29: The Path to the Information Center

Slide 30: The Infrastructure Cloud

Slide 31: Inside the Content Cloud

Slide 32: Healthcare Content Cloud in Use Today

Slide 33: Integrated Patient Data

Slide 34: Scalable Content Cloud – Today!

Slide 35: Big Data / Analytics: An Integrated Hitachi Vision

Slide 36: HDS Business Execution of the Vision

Slide 37: HDS Growth Strategy

Slide 38: Storage Solution Business Revenue Targets

Slide 39: Contents

Slide 40: Conclusion

Slide 41: Driving Continuing Growth in the Information & Telecommunication Systems Business

Slide 42: Cautionary Statement

Slide 43: u V A

Slide 44: HITA CHI／ Inspir