Fujitsu Support of Glovia
After several years of focusing on the manufacturing and field service-oriented, upper mid-market as the Chess division of former MDIS, Glovia as a part of Fujitsu has since produced a plan for launching its comeback attempt, which is built on its sharp focus and expertise within certain industries, improved new product interconnectivity, and quick and inexpensive e-business enablement. To that end, in 2001, it introduced an XML framework, advanced planning, and scheduling (APS) system, and web-enablement, while recently in 2003, as previously explained, it added collaboration and integration capabilities and enterprise-wide SCM functionality. As a result of its commitment and investment in Glovia as a strategic catalyst for Fujitsu's global growth and a vanguard in Fujitsu's effort to globalize its software and service business division, in 2003, Fujitsu elevated Glovia to a business unit from a mere business group level.
To put things into perspective, the Fujitsu behemoth, with close to $40 billion (USD) in revenues, approximately 160,000 employees worldwide, and $2.4 billion (USD) earmarked for research and development expenditures last year, consists of the following four principal business areas: 1) software and services (including IT consulting; application management; systems integration; IT infrastructure management; outsourcing; network services; business integration and systems management middleware; storage management software; business applications; etc.), 2) hardware platforms (including servers; storage systems; PCs and mobile devices; storage devices and peripherals; mobile and wireless systems, etc.), 3) electronic devices (e.g semiconductors; compound semiconductors; media devices; electromechanical components; displays; etc.), and 4) other products and services.
Lately, software and services have become the largest of Fujitsu's four main business groups, generating $16.8 billion (USD) in revenues for fiscal 2003, which was 43.8% of Fujitsu's overall revenue. For the first time, this group generated nearly 10% more in revenue than the hardware platforms group with $13.4 billion (USD) or 34.9% of total revenues. As a matter of fact, Fujitsu is currently the world's third-largest IT services group, trailing only IBM Global Services (IGS) and EDS. This remains a sort of a best kept secret given Fujitsu still remains best known for hardware (e.g., PCs, servers, disk drives, telecom switches, and mobile phones), not software and services.
In many ways, Fujitsu's recent revenues' breakdown shift resembles that of IBM, particularly given that IBM's business model was somewhat emulated by Fujitsu's strategic restructuring in 2002, which included reshuffling several of its businesses, the withdrawal of the DMR Consulting and ICL brand names, and introducing new software packages into US and European markets. Both giant companies are still known mostly for hardware, although their fastest growing business divisions are in software and services. Fujitsu indeed holds leadership positions in several key sectors of the IT, communications, and microelectronic markets. While globally it often trails the likes of IBM, EDS or Hewlett-Packard in the various above-mentioned market segments, the company remains the pride of its domestic Japanese market, either being the No.1 or No.2 vendor in all these relevant segments (e.g., IT services, IT management, storage software, PCs, servers, optical transport, routers, etc.).
To put things into perspective, the Fujitsu behemoth, with close to $40 billion (USD) in revenues, approximately 160,000 employees worldwide, and $2.4 billion (USD) earmarked for research and development expenditures last year, consists of the following four principal business areas: 1) software and services (including IT consulting; application management; systems integration; IT infrastructure management; outsourcing; network services; business integration and systems management middleware; storage management software; business applications; etc.), 2) hardware platforms (including servers; storage systems; PCs and mobile devices; storage devices and peripherals; mobile and wireless systems, etc.), 3) electronic devices (e.g semiconductors; compound semiconductors; media devices; electromechanical components; displays; etc.), and 4) other products and services.
Lately, software and services have become the largest of Fujitsu's four main business groups, generating $16.8 billion (USD) in revenues for fiscal 2003, which was 43.8% of Fujitsu's overall revenue. For the first time, this group generated nearly 10% more in revenue than the hardware platforms group with $13.4 billion (USD) or 34.9% of total revenues. As a matter of fact, Fujitsu is currently the world's third-largest IT services group, trailing only IBM Global Services (IGS) and EDS. This remains a sort of a best kept secret given Fujitsu still remains best known for hardware (e.g., PCs, servers, disk drives, telecom switches, and mobile phones), not software and services.
In many ways, Fujitsu's recent revenues' breakdown shift resembles that of IBM, particularly given that IBM's business model was somewhat emulated by Fujitsu's strategic restructuring in 2002, which included reshuffling several of its businesses, the withdrawal of the DMR Consulting and ICL brand names, and introducing new software packages into US and European markets. Both giant companies are still known mostly for hardware, although their fastest growing business divisions are in software and services. Fujitsu indeed holds leadership positions in several key sectors of the IT, communications, and microelectronic markets. While globally it often trails the likes of IBM, EDS or Hewlett-Packard in the various above-mentioned market segments, the company remains the pride of its domestic Japanese market, either being the No.1 or No.2 vendor in all these relevant segments (e.g., IT services, IT management, storage software, PCs, servers, optical transport, routers, etc.).
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