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GRAPH 2
(Source: IDC The Worldwide Black Book Q1 2011)
GRAPH 3
Net Sales* and Operating
Income Margin
n฀n Net sales (left scale)
Operating income margin (right scale)
* Including intersegment sales
0
1,000
2,000
3,000
5,000
4,000
4,077.1 4,229.7
3,400.5 3,389.2
3,789.9
10
8
6
4
2
0
4.7 5.7 4.9
2.8
6.4
2007 2009 2010 20112008
(Billions of yen) (%)
(Years ended March 31)
0
40
80
120
160 143.8 137.7 144.4 144.4
142.6
2010 2012 2013 20142011
(Billions of U.S. dollars)
IT Market Forecasts (Japan)
investment, the use of datacenters with a view to risk avoidance, and the trend toward
server integration and consolidation accelerates in tandem with a shift to lower prices.
The communication devices market is projected to experience only slight growth.
Although the investment cycle of Next-Generation Networks (NGNs) has passed its peak, this
will likely be countered by an expected rise in the pace of mobile base station installations for
Long Term Evolution (LTE) services, and an anticipated boost from disaster-related spending.
The IT services market is expected to see a continued contraction of 1%–2% year on
year in line with overall reductions to IT budgets. Many new IT system development
projects are set for cancellation or delay as a result of the disaster, and cuts in system
operating expenses are foreseen.
At the same time, however, companies are expected to revise IT system operations to
take account of business continuity plans (BCP) formulated after the March 2011 disaster,
and to adopt new IT services such as cloud computing as part of their disaster recovery
efforts. Demand is also anticipated for system upgrades to comply with regulatory changes,
and over the medium term, expansion in the IT services market is expected to return.
Initiatives Going Forward
Fujitsu aims to establish a dominant presence in Japan’s IT services market. With growth
in cloud computing anticipated, Fujitsu will bring to bear its collective strength in net-
works, servers, storage solutions, middleware, applications and other high-quality prod-
ucts to deliver highly reliable cloud services.
In the server business, we continue to bolster sales promotion initiatives with a focus
on the growing x86 server market. Indeed, our high-performance, energy-efficient,
low-noise x86 server lineup is gaining market share. From this year, we plan to augment
the lineup in areas of robust market growth, including a new micro-server for the small-
and medium-size business market featuring a small physical footprint and energy-
efficient operation, and a high-density rack server for the datacenter market. Fujitsu is
also expanding sales of its Cloud Ready Blocks, packaged hardware and software with
everything a customer needs to get a private cloud up and running in minimum time.
With a growing lineup of competitive products, we aim to maintain our top share of the
Japanese server market.
In the network products business, our goal is to accelerate the spread of LTE and at
the same time expand our business domain by developing new ICT products and solu-
tions for the home and other markets which use high-speed networks like LTE and opti-
cal fiber access.
In the ICT services business, we are expanding our offerings around cloud computing.
New services include a SaaS-based regional healthcare network, CAD and other engineer-
ing cloud services for manufacturers, traffic information services using data from moving
taxis, and computational drug research services using supercomputers. We will continue
to offer innovative new services that support our customers’ business success.
In addition, we have launched cloud platform services commercially in markets
around the world from Fujitsu datacenters. The FGCP/S5 service is based on proprietary
Fujitsu technology, while the FGCP/A5 service utilizes Microsoft’s Azure platform. Fujitsu
also offers the cloud-based INTARFRM system development framework which enables
companies to develop new systems efficiently.
As cloud computing becomes more prevalent, we are taking advantage of new oppor-
tunities by shifting SEs in charge of application development to operational services and
business producer functions. This will enable us to increase interaction with customers
and strengthen our ability to offer proposals which utilize ICT in innovative ways.
051FUJITSU LIMITED ANNUAL REPORT 2011
PERFORMANCE
INITIATIVES BY REGION JAPAN