Fujitsu Limited: SWOT Analysis & Company Profile by BusinessReview

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									Fujitsu Limited


Fujitsu Limited: SWOT Analysis &
Company Profile

Reference code: BRME003CP10-Q4

Published: Sep 2010

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Fujitsu Limited - SWOT Profile                                                      Page 1
Fujitsu Limited


Fujitsu Limited - Company Overview

Fujitsu Limited (Fujitsu) is the fourth largest and the largest IT services provider in the world and Japan respectively. The
company is engaged in the provision of customer-focused information technology and communications solutions for the
global marketplace. Fujitsu, along with its subsidiaries, offers application services, business services, IT infrastructure
management services, software, telecommunication products, microelectronics and electronic devices. The company also
offers a wide range of solutions including SAP, IT infrastructure, biometrics, retails, financial, automotive, and sensor
network services. The company manages network of R&D, manufacturing, data center, system integration, consulting,
sales and support operations in more than 70 countries across the world. Fujitsu is headquartered in Tokyo, Japan.

Financial Performance

The company reported revenue of JPY 4,679,519 million during the fiscal year ended 2010. The company's revenue
declined at a compounded rate of 6.31% during the period 2008-2010 with a year on year decline of 0.29% over fiscal
year 2009. During the fiscal year 2010 its operating margin was 0.86% as against the operating margin of -1.45% in fiscal
year 2009. During the fiscal year 2010 the company registered a net margin of 1.99% as against the net margin of -2.39%
in the fiscal year 2009.

Fujitsu Limited - Key Facts

Fujitsu Limited, Key Facts

                                  1-5-2 Higashi-Shimbashi,
                                                                    Ticker Symbol, Stock          6702 (The Tokyo Stock
Corporate Address:
                                  Minato-ku, , 105-7123, Japan      Exchange                      Exchange)

Telephone                         + 81 3 62522220                   No. of Employees              172,542

Fax                               N/A                               Financial Year End            March

URL                                        Revenue (in JPY Million)      4,679,519.00

                                  Medical Equipment , Technology
Industry                                                         Revenue (in USD Million)         44,810.38
                                  and Communications

                                  Australia, China, Hong Kong Special Administrative Region of China, India, Indonesia, Japan,
                                  Malaysia, New Zealand, Philippines, Republic of Korea, Singapore, Sri Lanka, Taiwan, Thailand,
                                  Vietnam, Austria, Belgium, Bulgaria, Croatia, Czech Republic, Denmark, Estonia, Finland, France,
                                  Germany, Greece, Hungary, Ireland, Italy, Lithuania, Luxembourg, Netherlands, Norway, Poland,
Locations                         Portugal, Romania, Russian Federation, Serbia, Slovakia, Slovenia, Spain, Sweden, Switzerland,
                                  United Kingdom, Egypt, South Africa, Tunisia, United Arab Emirates, Canada, United States,
                                  Anguilla, Aruba, Bahamas, Barbados, Brazil, Cayman Islands, Colombia, Dominica, French Guiana,
                                  Guadeloupe, Jamaica, Martinique, Mexico
Source: Annual Report, Company Website, Primary and Secondary Research


Fujitsu Limited - SWOT Profile                                                                                            Page 2
Fujitsu Limited


Fujitsu Limited - Business Description

Fujitsu Limited (Fujitsu) is an information technology company engages in providing customer centric information
technology and communication solutions to its global customers. It offers its products and services to large enterprises,
carriers and government; small and mid-sized enterprises; technology buyers and OEMs through a global network of
around 80 data centers. Fujitsu today operates through about 540 group companies in 60 countries around the world and
employs more than 170,000 people.

The company operates through four reportable business segments, namely, Technology Solutions, Ubiquitous Product
Solutions, Device Solutions and Others.
The Technology Solutions comprises of a range of high-performance IT system platforms based on leading-edge
technologies. The major products in this segment include a complete range of servers, storage systems, different types of
software, network management systems, and optical transmission systems. The wide range of services offered is
consulting, dedicated terminal systems and equipment, outsourcing services, and network services. The outsourcing
services provided by Fujitsu are classified into four categories: collocation services, housing services, hosting services
and value-added services. It also provides customized services as per the clients preferences.

Fujistu operates this segment with Fujitsu Frontech Ltd., Fujitsu Telecom Networks Limited, Fujitsu IT Products Ltd.,
Fujitsu Business Systems Ltd., NIFTY Corporation, Fujitsu Broad Solution & Consulting Inc., Fujitsu FSAS Inc., PFU
Limited, Fujitsu FIP Corporation, Fujitsu Network Communications, Inc., Fujitsu Services Holdings PLC, Fujitsu Consulting
Holdings Inc., Fujitsu Australia Limited, Fujitsu Asia Pte. Ltd., Fujitsu Computer Systems Corporation and Fujitsu Taiwan
Ltd. During the year 2010, the Technology Solutions segment contributed 62.6% towards the total revenues of the
company, generating JPY 3,055 billion, an increase of 1.4% over the previous year.

Fujistu develops and manufactures PCs, mobile phones, storage equipment (hard disk drives, magneto-optical disk
drives), optical transceiver modules and other products in Ubiquitous Product Solutions. It offers both desktop and
notebook models in PCs. In mobile phones, it provides a diverse variety of products with models for children and universal
design models.

The main companies operating in this segment are Shimane Fujitsu Limited, Fujitsu Mobile-phone Products Limited,
Fujitsu Isotec Limited, Fujitsu Personal System Limited, Fujitsu (Thailand) Co., Ltd., Fujitsu Computer Products,
Corporation of the Philippines, Fujitsu Computer Products of America, Inc., Fujitsu North America Holdings, Inc. and
Fujitsu Taiwan Limited. During the year 2010, the Ubiquitous Product Solutions segment contributed 18.4% towards the
total revenues of the company, generating JPY 811.9 billion, a decrease of 3.2% over the previous year.

The company's Device Solutions segment comprises of two divisions, namely LSI Devices and Electronic Components,
and Others. LSI devices are used in digital home appliances, automobiles, mobile phones, servers, semiconductor
packages, Surface Acoustic Wave devices and other electronic components. It provides Logic LSI chips and related
electronic components for core technologies to its customers. The company launched first embedded FRAM-LSI that
Counteracts EMI and Digital HDTV SoC for superior picture quality Digital HDTV. Fujistu operates this segment through
Fujitsu Microelectronics Limited, Shinko Electric Industries Co., Ltd., Fujitsu Component Limited, Fujitsu Electronics Inc.
and Fujitsu Microelectronics Asia Pte. Ltd. Fujitsu Microelectronics introduced low-power consumption 256Mbit FCRAM
for digital consumer electronics and Mobile WiMAX Chipsets for mobile devices. During the year 2010, the Device
Solutions segment contributed 11.0% towards the total revenues of the company, generating JPY 494.6 billion, a
decrease of 6.9% over the previous year.

The major products in other operation of the company are Audio/navigation equipment, Automotive electronic equipment
and Printed circuit boards. During the fiscal year 2010, the Other Operations segment contributed 8.0% towards the total
revenues of the company, generating JPY 317.71 billion, a decrease of 11.0% over the previous year.

Its research and development activities focus on the creation of new businesses, and creating and accumulating
advanced technologies. The company focuses its efforts on three main areas of research: Green technology, Sensor
technology and system solutions and Future generation terminals and services. The company spent JPY 224.9 billion
towards its research and development act
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