A rapidly changing landscape in energy sector has made several companies redesign their strategies to address growing needs of this sector. This move not only redefines the brand outlook but also indicates Hitachi’s direction as the company wants to expand its offering beyond legacy grid technologies and roll out their digitalization platforms as a part of same product segment. Post pandemic, governments all across the globe are driving economic recovery policies with green policies. Hitachi recognizes this change in long term government strategies as a major shift towards digitalization. To tap into the opportunities emerging in digitalization sector, Hitachi will be integrating its Lumada digital offerings with grid technologies. To become a leader in digital services, Hitachi will be acquiring GlobalLogic, a Silicon Valley software engineering company, for $9.5 Billion. These efforts are a ground work for a strong portfolio in the service and solution-oriented businesses. This will enable Hitachi to create a vast portfolio in asset management, remote monitoring, service and maintenance. It is pertinent to mention that as per Hitachi’s acquisition of ABB Power Grids, ABB has an option to exit and relinquish 19.9% of its stake to Hitachi by the end of 2023. Considering the fact that Hitachi is rapidly integrating its new and existing products with Hitachi ABB Power Grids division, there is a high chance that ABB will be exiting this division.
Link to the news: https://www.hitachiabb-powergrids.com/news/global-news/press-releases/hitachi-abb-power-grids-is-evolving-to-become-hitachi-energy-and-broadens-commitment-to-a-sustainable-energy-future