As demand and implementation of robot-based automation systems soar, more companies are developing strategies to get a piece of the robotic pie. Of course, increased competition in the system integrator market is never bad news for robot users seeking the best and lowest-cost option.
Hitachi, the Japanese multinational conglomerate, recently joined the ranks of businesses expanding in that direction with the acquisition of JR Automation, a robotic system integrator, for $1.42 billion.
“I am extremely pleased that we have reached an agreement on the acquisition of JR Automation,” said Masakazu Aoki, Hitachi executive vice president. “Securing JR Automation’s robotic SI business in North America is an important milestone for us. By providing customers with new value that combines Hitachi’s products, OT, IT and advanced digital technologies, we will accelerate the global rollout of our Social Innovation Business.”
The acquisition gives Hitachi some solid footing in the North America market. Founded in 1980, JR Automation has a robust customer base in industries including aerospace, automotive and medical. The company’s solution offerings include designing and building custom production lines with robot-based processes.
“We are very excited to partner with Hitachi to take this next step in the company’s evolution,” said Bryan Jones, JR Automation CEO. “With our combined capabilities, Hitachi and JR Automation will be a uniquely qualified global leader in next generation smart manufacturing, and this partnership will enable us to continue to drive tangible value creation for our customers through innovative custom solutions.”
The partnership also benefits JR Automation, which will have access to Hitachi’s technology and resources. This will provide opportunities for more extensive research and development, as well as better incorporation of data management. As for Hitachi, it
plans to leverage JR Automation’s expertise with existing and developing technologies to develop its own Internet of Things (IoT) services, including expanding its Lumada Solution, an advanced digital solutions, services and technologies business.
In addition to its North American foray in robotic integration, Hitachi acquired KEC Corporation, a Japanese robotic system integrator that designs and manufactures industrial production equipment for automobile and system manufacturing companies, in March.
Interested in learning more about how automation is changing the face of manufacturing? Check out How Automation Tackles Reshoring and Skills Gap Challenges.