Hitachi Acquires Majority Interest in M-Tech
Hitachi acquires majority interest in M-Tech Information Technology, Inc., a leading provider of identity management software and services
San Fransisco, CALIFORNIA, April 7, 2008 – Hitachi, Ltd. (NYSE: HIT / TOKYO: 6501, "Hitachi") today announced that it has acquired a majority ownership interest in M-Tech Information Technology, Inc. ("M-Tech"), a leading provider of identity management software and services. The transaction adds M-Tech's identity management software and services to Hitachi's information security solutions portfolio.
Effective April 2, 2008, M-Tech's name has been changed to Hitachi ID Systems, Inc. ("Hitachi ID Systems")
With stricter regulations requiring stronger internal controls and more effective privacy protection in corporations and government agencies alike, organizations are expanding their investment in information security. According to a February 2008 Forrester Research report (1), the identity and access management (IAM) market is expected to grow from nearly $2.6 billion in 2006 to more than $12.3 billion in 2014.
"Hitachi is increasingly focusing on its software and solution businesses in systems management and information security to introduce solutions aimed at the achievement of a broad and secure information society," said Masato Saito, Executive General Manager, Information & Telecommunications Systems Group (ITSG), Hitachi, Ltd. "Hitachi has developed and commercialized advanced IT security technologies such as finger vein biometric authentication, which is already used for ATM authentication in about 80 percent of Japanese financial institutions that have adopted biometric authentication technologies for this purpose. Hitachi believes that M-Tech's identity management technology will be an integral component of Hitachi's information security solution offering."
As a leading identity management software and services provider, M-Tech enables its customers to strengthen their network security, lower operating costs and improve user productivity. Customers achieve these results by implementing automation and self-service processes to more effectively manage user passwords and access rights. M-Tech's identity management products, including its P-Synch password management software and ID-Synch user provisioning software, have been deployed by around 700 organizations worldwide.
Hitachi ID Systems intends to build on M-Tech's leadership in the identity management marketplace, and grow M-Tech's business globally by leveraging Hitachi's brand and market channels and by developing new opportunities in collaboration with other Hitachi Group companies worldwide. These opportunities may include joint offerings and other initiatives with Hitachi's biometric, RFID, smart card and other security-related technologies.
"M-Tech is a leader in the identity management software market. We welcome the addition of M-Tech to the Hitachi family and to the information security solutions portfolio that Hitachi proudly offers our clients," stated Mitsuo Yamaguchi, Vice President and Executive Officer, Information & Telecommunication Systems Group (ITSG) of Hitachi, Ltd.
"We are pleased to join the information technology group of Hitachi, Ltd. The combination of M-Tech's leading identity management software and Hitachi's global reach and authentication technology are sure to benefit our customers," said Gideon Shoham, CEO of M-Tech, now Hitachi ID Systems. "We look forward to delivering the most advanced identity management software and services to the global marketplace, as part of the Hitachi group."
(1): Forrester Research: Identity Management Forecast: 2007 to 2014; February 6, 2008; by Andras Cser and Jonathan Penn
About Hitachi ID Systems, Inc.
Hitachi ID Systems, headquartered in Calgary, Canada, is a leading provider of identity management solutions with approximately 140 employees worldwide. The company's sole business is to develop, sell and deploy identity management software. Our technology and services organization has evolved over the years, based on our experience in deploying identity management products into more than 700 organizations, with 7 million users.
Hitachi, Ltd., (NYSE: HIT / TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 384,000 employees worldwide. Fiscal 2006 (ended March 31, 2007) consolidated revenues totaled 10,247 billion yen ($86.8 billion.). The company offers a wide range of systems, products and services in market sectors including information systems, electronic devices, power and industrial systems, consumer products, materials and financial services. For more information on Hitachi, please visit the company's website at http://hitachi.com.
Hitachi ID Systems Contact
Hitachi ID Systems, Inc.
500, 1401 1st Street S.E
Calgary, AB T2G 2J3
1.403.233.0740 ext. 324