Singtel and Hitachi, Ltd. (TSE: 6501) have signed a Memorandum
of Understanding (MOU) to collaborate on next-generation data
centers and GPU Cloud in Japan and potentially the wider Asia
Pacific region under the lead of Singtel's Digital InfraCo unit.
The strategic partnership will combine Singtel’s extensive data
center and connectivity expertise and technology platforms with
Hitachi’s differentiating capability that enables end-to-end data
center integration including green power solutions, cooling
systems, storage infrastructure and data management. Together, the
companies intend to sustainably enhance data center performance and
capabilities, thereby accelerating AI adoption and digital
transformation of enterprises.
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From left to right: Bill Chang, CEO of
Singtel’s Digital InfraCo; Toshiaki Tokunaga, Executive Vice
President, Hitachi, Ltd. (Photo: Business Wire)
Notably, the agreement expands on a partnership announced by the
companies in June 2024*1 to trial and integrate Singtel’s Paragon,
the all-in-one orchestration platform for 5G, edge computing and
cloud, with Hitachi’s AI applications for Hitachi’s manufacturing
operations as well as enterprise customers. Through Singtel’s
Paragon platform and Hitachi’s deep AI expertise, both companies
aim to address the complexities faced by customers when deploying
AI capabilities.
*1 Press release (June 27, 2024) ”Singtel and Hitachi Digital
Partner to Accelerate Industrial AI Solutions”
https://www.hitachi.com/New/cnews/month/2024/06/240628a.html
With the rapidly growing demand for AI and cloud services, Japan
has become one of the largest and fastest growing data center
markets in the Asia Pacific region. The market is expected to
achieve a compound annual growth rate of 9.8% and reach US$5
billion by 2028*2.
*2 Structure Research, Japan (Tokyo & Osaka) DCI Report
2023: Data Centre Colocation, Hyperscale Cloud &
Interconnection
Mr. Bill Chang, CEO of Singtel’s Digital InfraCo, said, “Our
strategic partnership with Hitachi, a leader in digital systems and
services fields, opens up new opportunities in a strategically
important and expanding Japanese market. Building a strong
ecosystem of partners has always been a priority at Singtel to
better serve our customers and broaden our global reach. We look
forward to bringing our collective expertise, digital assets and
solutions to help more enterprises innovate and transform their
businesses and operations through the cloud and AI. As we scale our
digital capabilities with our partners like Hitachi, we aim to
become a leader in the Asia Pacific region.”
Singtel carved out Digital InfraCo in mid-2023 to serve as a
catalyst for innovation and economic growth for Asia Pacific’s
digital economies. Digital InfraCo’s portfolio includes Nxera, its
regional data center arm, subsea cable, and satellite businesses,
and Paragon platform which are all crucial to advancing AI in the
region. Digital InfraCo plans to launch GPU-as-a-Service (GPUaaS)
later this year to better support enterprise AI adoption.
Mr. Toshiaki Tokunaga, Executive Vice President and Executive
Officer at Hitachi, said, “Since its inception, Hitachi’s corporate
philosophy has centered on addressing the challenges faced by
customers and society. As generative AI continues to drive new
innovations, the issues of environmental impact due to rising
electricity demand is becoming more prominent. Striking a balance
between these two factors is a significant mission for Hitachi’s
Social Innovation Business. We are delighted to embark on this
mission through our strategic alliance with Singtel. By combining
Singtel's expertise in the development and operation of sustainable
data centers with the comprehensive capabilities of the Hitachi
Group, ranging from green power solutions to facility and data
management, we aim to enable companies to utilize data centers in
an intelligent and environmentally conscious manner; ultimately
achieving continuous innovation while promoting
sustainability.”
AI-driven data center expansion is a major opportunity for
Hitachi’s Social Innovation business expansion and its group
businesses such as Hitachi Digital Services, Hitachi Energy and
others as the expansion calls for the successful integration of all
areas where Hitachi uniquely excels: information technology,
operational technology and products.
The key areas covered by the MOU are:
Explore next-generation data center collaboration in Japan
and Asia Pacific to address AI demand: Nxera and Hitachi will
explore opportunities to develop data centers across Japan and the
rest of the Asia Pacific region. With the continued growth in cloud
and AI momentum, it is important to operate smart and
environmentally sustainable data centers through high efficiency,
high quality data center management. Such an initiative would draw
on Nxera’s expertise in data center design, building and operation
along with Hitachi’s expertise in the production and delivery of
data-center-focused equipment, next-generation energy solutions and
advanced IT systems management that ensure stable operations within
data center environments.
Nxera is developing a platform of sustainable, hyper-connected
AI-ready data centers in the region with a total capacity of more
than 200MW in addition to 62MW of existing capacity in
Singapore.
Combine Singtel's GPU platform with Hitachi's AI expertise to
develop enterprise applications: Hitachi will explore using
Singtel’s GPUaaS for its internal AI applications and workloads.
This effort would allow Hitachi to verify complementary
Singtel-based benefits that can enhance Hitachi’s high-performance
machine learning, generative AI, and other digital technologies and
solutions. Subsequently, it would provide an opportunity for both
companies to define more power-efficient methodologies that could
advance any enterprise’s sustainability goals.
Based on the results of Hitachi’s internal GPUaaS verification,
the companies may also explore the co-creation of enterprise-grade
applications that combines Hitachi's expertise, including its
generative AI technologies and platform, with Singtel's GPU cloud
and Paragon platform. The aim is to further reduce customer
development and deployment times as well as management and
deployment overhead for AI applications.
About Singtel
Singtel is a leading Asian communications technology group,
operating next-generation connectivity, digital infrastructure and
digital businesses including regional data centre arm Nxera and
regional IT services arm NCS. The Group has presence in Asia,
Australia and Africa and reaches over 780 million mobile customers
in 21 countries.
For consumers, Singtel delivers a complete and integrated suite
of services, including mobile, broadband and TV. For enterprises,
Singtel offers a complementary array of workforce mobility
solutions, data hosting, cloud, network infrastructure, analytics
and cyber security capabilities.
Singtel is dedicated to continuous innovation, harnessing
technology to create new and exciting customer experiences, support
enterprises in their digital transformation and shape a more
sustainable, digital future.
For more information, visit www.singtel.com.
About Hitachi, Ltd.
Hitachi drives Social Innovation Business, creating a
sustainable society through the use of data and technology. We
solve customers' and society's challenges with Lumada solutions
leveraging IT, OT (Operational Technology) and products. Hitachi
operates under the business structure of “Digital Systems &
Services” - supporting our customers’ digital transformation;
“Green Energy & Mobility” - contributing to a decarbonized
society through energy and railway systems, and “Connective
Industries” - connecting products through digital technology to
provide solutions in various industries. Driven by Digital, Green,
and Innovation, we aim for growth through co-creation with our
customers. The company’s consolidated revenues for fiscal year 2022
(ended March 31, 2023) totaled 10,881.1 billion yen, with 696
consolidated subsidiaries and approximately 320,000 employees
worldwide. For more information on Hitachi, please visit the
company's website at https://www.hitachi.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20240825413497/en/
Media:
Hitachi Mika Oh Corporate Communications, Digital
Systems & Services, Hitachi, Ltd. koho@itg.hitachi.co.jp
Heather Ailara Hitachi Digital (North America and Europe)
heather@211comms.com