Fujitsu to buy 51% stake in Furukawa Electric’s FITEC

Fujitsu Ltd. (TSE: 6702) and Furukawa Electric Co., Ltd. (TSE; 5801, ISIN; JP3827200001) have announced a partnership in which the two companies will share operation of Furukawa's IT systems and services company, FITEC Corp. Fujitsu has agreed to acquire 51% of the outstanding shares of FITEC as part of the agreement. The two companies plan to begin joint operations of FITEC this October. FITEC provides IT capabilities for the Furukawa Electric Group as well as outside customers.

Fujitsu Ltd. (TSE: 6702) and Furukawa Electric Co., Ltd. (TSE; 5801, ISIN; JP3827200001) have announced a partnership in which the two companies will share operation of Furukawa's IT systems and services company, FITEC Corp. Fujitsu has agreed to acquire 51% of the outstanding shares of FITEC as part of the agreement. The two companies plan to begin joint operations of FITEC this October. FITEC provides IT capabilities for the Furukawa Electric Group as well as outside customers.

The companies say the partnership will prove mutually beneficial. Furukawa Electric says it expects to be able to apply such technologies as Internet of Things (IoT) and artificial intelligence (AI) to achieve competitive manufacturing capabilities while improving the skill sets of IT personnel at FITEC. Furukawa also says the partnership will accelerate IT governance initiatives, such as information security countermeasures and greater efficiencies in mission-critical tasks.

Fujitsu meanwhile, says it plans to strengthen its own capabilities through exposure to Furukawa Electric's IT skills and operational experience in the manufacturing field. Overall, the two companies expect to improve FITEC's ability

Through this partnership, FITEC aims to expand its business contributions and improve the quality of its information systems services for the Furukawa Electric Group and its other customers.

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