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  • Jun 24, 2014

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Top 10 Japanese Tech Companies

Referring to the last article “Top 10 Popular Tech Companies Among Japanese Graduates”, NTT consistently dominates as the number one company for new graduates in the Japanese tech industry. Other powerful B2C companies such as Google and Yahoo! Japan have also been climbing up the ranks. Additionally, Japanese manufacturers such as Nintendo and Sony regained their popularity and hired large amounts of new graduates in recent years.


The informal job offer rate had gone up from 58.5% in 2011, to 60.5% in 2012, and 64.7% in 2013 based on My Navi’s research in August, 2014. The mass media contributed the boost to the popularity of big tech companies among consumers and job prospectors for the past 2 years.

From next year, Japanese government will exercise a new regulation for recruiting. For graduates of 2016, companies should release the recruiting information in March, not in December as is the current tradition. To get around this regulation, tech companies will try to make connections with graduates from an early stage by providing internship opportunities. As a result, ambitious companies communicating with graduates have succeeded in pushing their ranks in various statistics higher.

From a different perspective, here are the tech companies’ rankings by size, capital value, sales, and profit.

1.Top 10 Japanese tech companies by the size (5/30/2009)

Company Name Number of employees
1. NTT Data Corporation 10,804
2. SCSK Corporation 7,494
3. OTSUKA Corporation 6,638
4. Nomura Research Institute, Ltd 5,823
5. NEC Fielding, Ltd. 5,412
6. FujiSoft Incorporated 5,308
7. Nihon Unisys, Ltd. 4,212
8. ITOCHU Techno-Solutions Corporation 3,897
9. NSD 2,991
10. DTS 2,696

As we mentioned before, NTT Data hires the most number of employees because they globally invest in a spectrum of business fields. What is interesting is that software and research companies tend to have more employees than hardware manufacturing companies who have a large portion of their employees working at factories.

2. Top 10 Japanese tech companies by the capital value (5/19/2014)

Company Capital Value in Yen Capital Value in Dollar
1. Softbank Corp. ¥8,278.8 B $80,887 M
2. NTT DoCoMo, Inc. ¥7,211.0 B $70,454 M
3. NTT Communication ¥6,558.7 B $64,078 M
4. KDDI Corporation ¥4,838.2 B $47,266 M
5. Canon Inc. ¥4,416.1 B $43,145 M
6. Fanuc Corporation ¥4,057.3 B $39,640 M
7. Hitachi, Ltd. ¥3,339.9 B $32,632 M
8. Panasonic Corporation ¥2,602.7 B $25,427 M
9. Mitsubishi Electric Corporation ¥2,475.7 B $24,192 M
10. Yahoo! Japan ¥2,408.9 B $23,536 M

*1 yen=$0.0098

Softbank Corp. is at the top in capital value. It was No.8 in the 2009 rankings. NTT group has been doing well since 2009. On the other hand, Japanese electric companies ranks have fallen. For example, NINTENDO was No.4 in 2009, but now it has disappeared from the top 10 chart.

3. Top 10 Japanese tech companies by sales (2012-2013)

Company Sales in Yen Sales in Dollar
1. NTT Data Corporation ¥1,301.9 B $12,720 M
2. OTSUKA Corporation ¥515.7 B $5,039 M
3. Nomura Research Institute, Ltd ¥363.8 B $3,555 M
4. IT Holdings Corp. ¥337.8 B $3,300 M
5. ITOCHU Techno-Solutions Corporation ¥322.4 B $3,150 M
6. SCSK Corporation ¥278.6 B $2,722 M
7. Nihon Unisys,  ¥269.1 B $2,629 M
8. NEC Fielding, Ltd. ¥185.8 B $1,816 M
9. NS Solutions Corporation ¥172.0 B $1,681 M
10. Net One Systems Co., Ltd. ¥154.8 B $1,512 M

*1 yen=$0.0098

NTT Data Corporation achieved outstanding sales compared to others. NTT Data’s competitive product, OpenCube lite, is a large scale system integration and networking system services. System integration includes data transmission system design, sales, leasing, and services. Network system services includes internet related and linked computer networks, as well as data provision and management of data. (cited from Bloomberg http://www.bloomberg.com/quote/9613:JP )

OTSUKA Corporation became popular because it’s easy for graduates to understand clearly what OTSUKA’s products and services are and what their value is to society. OTSUKA is a trading company of solution providers, computers, multi-function printers, and telecommunication devices. 

4. Top 10 Japanese tech companies by profit (2012-2013)

Company Profit in Yen Profit in Dollar
1. NTT Data Corporation ¥81.8 B $799 M
2. Nomura Research Institute, Ltd ¥45.8 B $448 M
3. OTSUKA Corporation ¥29.0 B $283 M
4. ITOCHU Techno-Solutions Corporation ¥27.3 B $267 M
5. SCSK Corporation ¥22.2 B $217 M
6. OBIC Co., Ltd. ¥21.4 B $209 M
7. IT Holdings Corp. ¥17.4 B $170M
8. NS Solutions Corporation ¥11.6 B $113 M
9. Net One Systems Co., Ltd. ¥8.6 B $84 M
10. Nihon Unisys, Ltd. ¥8.3 B $81 M

*1 yen=$0.0098

Again, NTT won the No.1 position. Their profit was almost double the second nominee, Nomura Research Institute, Ltd. OTSUKA achieves more sales than Nomura, but its profit is a half of Nomura. OBIC’s profit rate is superb. OBIC is very eager to hire only people who just graduated from universities. Nihon Unisys, Ltd. is also keen on education system of employees such as acquisition of IT skills, business knowledge, and presentation techniques.

Summary

The first you need to ask yourself when searching for a job in the Japanese tech industry: what is the source of their profit? Tech companies are engaged with several different product or service industries, depending on their area of expertise. The composition of their sales is the key to understand each company’s advantageous strengths, but also their weaknesses.

Finally, it will help you better grasp the company’s value, vision, financial situation, and their potential for growth in the next 10 years.

sources:

photo by Stéfan

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