Hitachi and Google Cloud announced a multi-year partnership to drive enterprise innovation and productivity using generative AI. Hitachi will establish a new business unit that addresses industry challenges with AI technologies like Gemini models and Vertex AI. The partnership also helps expand Hitachi’s Lumada digital business and improve operational efficiencies within the Hitachi Group.

Key initiatives include the formation of the Hitachi Google Cloud Business Unit and the Google Cloud Center of Excellence, led by GlobalLogic, to scale Google Cloud technologies to enterprise customers. Hitachi will incorporate Google Cloud’s GenAI training into its professional programs, and it is planning to train over 50,000 GenAI professionals globally.

The partnership focuses on:

• Developing GenAI solutions for software modernization and customer service.
• Supporting safe, secure GenAI solutions for both on-premises and cloud environments.
• Aligning sales, marketing, and engineering efforts for better GenAI project deployment.
• Enhancing GenAI talent development through comprehensive training programs.

Hitachi and Google leverage each other’s strengths and accelerate innovation and productivity in enterprise environments through generative AI.

Here are the key reasons for the partnership

1. Combining Expertise: Hitachi brings its industry knowledge and digital engineering capabilities through GlobalLogic, while Google Cloud provides advanced AI and cloud technologies. This combination aims to create robust, innovative solutions for businesses.
2. Expanding AI Capabilities: The partnership allows Hitachi to incorporate Google Cloud’s AI technologies, like Gemini models and Vertex AI, into its offerings. This will enhance Hitachi’s products and services, making them more competitive and effective.
3. Accelerating Lumada’s Growth: By integrating Google Cloud’s AI capabilities, Hitachi aims to further accelerate the growth of Lumada, its core digital business platform, which focuses on data-driven solutions for various industries.
4. Operational Efficiency: The collaboration will help improve operational efficiencies within the Hitachi Group by utilizing advanced AI tools to streamline processes and enhance productivity.
5. Training and Development: Hitachi will incorporate training on Google Cloud’s GenAI into its professional programs, aiming to train over 50,000 GenAI professionals. This skill development focus ensures businesses can effectively implement and manage AI technologies.
6. Market Reach: Joint go-to-market initiatives will align the sales, marketing, and engineering efforts of both companies, ensuring that enterprises have access to the necessary resources to deploy and manage generative AI projects successfully.
7. Comprehensive Solutions: The partnership aims to provide new GenAI solutions for software modernization and customer service, supporting both on-premises and cloud environments. This ensures that businesses can modernize operations while maintaining existing IT infrastructures.

Analysis

The partnership will also enhance Hitachi’s Lumada business, a core digital platform, by integrating Google Cloud’s AI capabilities, thereby improving operational efficiencies across the Hitachi Group. This move is strategic, as it boosts Hitachi’s product offerings and ensures they remain competitive in an increasingly AI-driven market.

Moreover, the collaboration highlights the importance of secure and scalable AI solutions for both on-premises and cloud environments, catering to diverse customer needs. By aligning their sales, marketing, and engineering teams, Hitachi and Google Cloud aim to provide seamless support and resources for enterprises adopting AI technologies.

Overall, this partnership represents a significant step towards the broader adoption of AI in enterprise environments, promising enhanced productivity, efficiency, and innovation across various industries.