Toshiba Corp and IBM Japan Ltd are forming a joint venture to design and market information systems for financial institutions. A Japanese press report said the two expect a market to be created by the consolidation occurring in Japan’s banking sector, which is giving birth to huge merged banks which will rationalize their administrative divisions as
part of massive restructuring.
The new company will create and construct new systems that process administrative work via the internet, using a combination of IBM Japan’s high-performance servers and Toshiba’s office-use software technology, the report said. Toshiba will have a 51% stake in the new firm, but IBM Japan will provide the company president and both partners will provide technical and sales staff. The venture will initially target financial institutions, and is aiming for a first-year revenue of up to 5bn yen ($47.5m).
