Ricoh and Toshiba Tec Merge to Drive Digital Transformation

toshiba

When two tech giants join forces, printers won’t just print anymore.

  1. Office technology giants Ricoh and Toshiba Tec have announced plans to merge their production divisions, forming a joint venture named Ricoh Technologies Company, Ltd. by Q2 2024.
  2. This strategic integration aims to leverage both companies’ technological expertise to develop new solutions supporting digital transformation.
  3. Office technology giants Ricoh and Toshiba Tec have announced plans to merge their production divisions, forming a joint venture named Ricoh Technologies Company, Ltd. by Q2 2024.

The new entity will be 85% owned by Ricoh and 15% by Toshiba Tec and aims to combine image recognition, barcode, RFID, and optical image processing technologies.

Ricoh Company, Ltd. and Toshiba Tec Corporation, two major players in office technology, have shaken the industry with their recent announcement of merging their production divisions. Aiming to capitalize on the digital era, this integration is set to kickstart a revolution in the design and production of multifunction office devices and is expected to be operational by the second quarter of 2024.

This merger isn’t just about combining forces; it’s about adapting to the new business environment. With a clear drop in print volume, the companies have seized this opportunity to focus on the digital needs of their customers, aiming to develop solutions that support digital transformation.

The upcoming venture, Ricoh Technologies Company, Ltd., will be based in Japan. Boasting majority ownership by Ricoh at 85%, with Toshiba Tec holding the remaining 15%, the new entity plans to integrate a blend of unique technologies. This includes image recognition technology that synergizes Toshiba Tec’s barcode printer and RFID with Ricoh’s optical and image processing tech, like cameras and projectors.

As per Ricoh’s press release, the goal is to stay competitive in a landscape that’s moving beyond standalone hardware to a combination of software and service solutions. Navigating this shift is a common challenge, and this merger signals a forward-thinking strategy to meet it head-on.

However, the road ahead isn’t without potential hiccups. Procedures under competition laws, foreign investment regulations, and other issues need to be completed in Japan and abroad. Yet, the promise of this venture – advancing digital transformation strategies for themselves and their customers – overshadows the hurdles.

Toshiba Tec’s President and CEO, Hironobu Nishikori, encapsulated this bold move perfectly: “The two companies will perform procedures such as company split with the aim of realizing a joint venture effective…that takes on the role of MFPs’ development and manufacturing with both companies as shareholders.” This strategic merger is a testament to their shared dedication to adapting and innovating in the digital age.

– Greg Walters, Head Writer