Business Model

Cultivated Business Model

"Full Stack Service + Multi-Vendor":
Resolving Customer Issues with Innumerable Combinations

Since its foundation, CTC has adopted a customer-focused business model that entails identifying excellent products and services around the world and connecting them to provide optimal solutions. The collection of technologies and know-how accumulated in this process is reflected in the "Full Stack Services + Multi-Vendor" approach that symbolizes our business model.

Our "Full Stack Services" covers all processes in the IT life cycle, from business strategy formulation to operation and maintenance, as well as all the IT technologies needed to support these processes. As such, we are a "Multi-Vendor" that is independent of the products and services of a particular manufacturer.

By making connections and combinations from the innumerable options available, we can develop the best and most innovative solutions for our customers. Our client companies operate in a wide range of industries and have diverse challenges and needs. To meet their requirements, we propose improvements to products and services offered by manufacturers and compensate for any technological deficiencies through our own in-house development. In these ways, we continue to search for optimal solutions.

As digital transformation (DX) gathers pace, technology will become more deeply rooted in not only corporate management strategies but also society itself. Moreover, it will be deployed by people in all age groups, from children to the elderly. We will continue making maximum use of our "Full Stack Services + Multi-Vendor" model to address business environments that require scalability, flexibility, and speed.

Creating and Deploying 5G Technologies through DX to Accelerate the Creation of a Prosperous Society

At CTC, our future focuses will be on DX and its premise: 5G next-generation mobile communications systems. In the 5G world, characterized by Enhanced Mobile Broadband (eMBB), Ultra-Reliable and Low Latency Communications (URLLC), and massive Machine Type Communication (mMTC), CTC will take on challenges in business that both "build" and "use" networks. Leveraging our track record and knowledge in building networks for major telecommunications providers over many years, we will address the more advanced and sophisticated technical requirements of customers and demonstrate our presence in the domain of businesses that "build." Moreover, businesses that "use" 5G will use it to connect all kinds of "things" to networks, creating a world in which information is sent and received in real time and fueling the emergence of numerous new industries. In addition to its business know-how in "building" 5G, CTC has a track record of using technologies in a wide range of industries to help resolve its customers' operational issues. Accordingly, we will become a strong partner for companies that seek to promote DX. In businesses that "build" and "use" 5G, we will leverage our "Full Stack Service + Multi-Vendor" approach to seize more and more business opportunities.

The CTC Group Business Model

The CTC Group Business Model

Portfolio Features

By Model

One characteristic is the high degree of trust we have earned in infrastructure construction by selling products and combining numerous products and the cloud. As our clients' businesses grow more digital, we are stepping up our responsiveness to application development. At the same time, to stabilize earnings we are focusing on the service sector-chiefly in areas of recurring business.

By Model

By Business Segment

We are strong in the telecommunications business, thanks to a track record spanning many years in the design and configuration of communications networks for carriers. Even so, we have built up a business portfolio that is relatively balanced by industry sector, generating stable earnings.

By Business Segment

Using Our Strengths to Earn the Trust of Customers

The Ability to Create New Businesses with Clients

With IT slated to play an indispensable role in society as a whole, DX is expected to gather more and more momentum. This is because DX will utilize IT in spaces where new, unprecedented business will be created. System integrators are called on to help clients realize these aims by connecting their growth strategies with leading-edge technologies. The CTC Group, which has attracted clients and amassed operational know-how across a host of industry sectors, collaborates with myriad partners to foster its innovative capabilities and help create new businesses to support society.

Clients and Operational Know-How Spanning a Host of Sectors

Broad Client Base

CTC's clients span a broad range of industries-including telecommunications, finance, manufacturing, and public-sector entities with largescale systems-that rely on 24/7 uptime. The sophisticated operational expertise and specialized knowledge we have amassed through our business in these areas over the years is the wellspring of our ability to respond to new client issues and a source of strength.

Future-Oriented Service Focused on Creation in Collaboration with Clients

Innovation
Capabilities

CTC works with clients to create new businesses and expand their lines of business by leveraging the relationships with a wide range of partners and the leading-edge technologies we have cultivated in Japan and overseas.

To further prepare the groundwork for innovation, in 2017 we established the Institute of Open Innovation Research "MIRAI," developed an open innovation space called "DEJIMA", and established CTC Innovation Partners as a corporate venture capital (CVC) firm.

Strong Relationships with Partners in Japan and Overseas

Partnerships

In addition to joint ventures with vendors, system integration (SI) partners, and customers, we have formed capital alliances through investments in startups and built robust relationships with ITOCHU Group members and others. We also collaborate with universities to engage in human resource development and conduct research that leverages our mutual strengths. Such collaboration enables us to proactively create a framework that embraces change with new businesses, one that we would be unable to develop solely with our own resources.

The Ability to Build New Businesses by Harnessing IT

The CTC Group has built relationships with leading domestic and international vendors over many years. The leading-edge products and technological information that we obtain from them has helped us to hone the technological skills required in system development.

While systems are expected to become more sophisticated and advanced in the years ahead, we will demonstrate our presence by utilizing our "keen eye" to identify the latest technologies and our "technological capabilities" to connect them.

A Keen Eye for the Latest Technologies and an Unrivaled Choice of IT Products

Multi-Vendor Multi-Cloud

We maintain a vigilant lookout for superior vendors in Japan and overseas in our effort to deploy numerous products and technologies, as well as cloud and other services. We have created a niche as a system integrator with multi-vendor and full stack technologies-able to propose optimal solutions across the entire IT life cycle by connecting multiple products and services. We have one of the strongest track records with leading vendors of any company in Japan, which also leads to solid advantages on the pricing front.

Teams of Engineers That Can Integrate the Latest Technologies

Technological Capabilities

CTC has built up its technological capabilities by embracing the challenges posed by new technologies and pursuing measures to resolve the true issues that clients face. This approach has earned us trust from our clients and led to the accumulation of expertise. CTC applied its ability to build IT infrastructure in a multi-vendor environment, cultivated over many years, to the carrier-oriented business it launched in the 1990s. We harness these skills to develop services and applications that bolster our clients' competitive advantages.

Support Framework Linked with New Business

Support Framework

As a multi-vendor, the CTC Group goes beyond just procuring products and building infrastructure. We also provide post-installation operational and maintenance support, which requires us to understand the features of deploying products from multiple vendors across complex system environments. The support capabilities of the CTC engineers who facilitate the stable operation and maintenance of extremely complex systems earn a high degree of trust and provide an important reference point for new business.

The CTC Group's Value Creation Process

The CTC Group's corporate mission is "leveraging IT's potential to change future for the Global Good." To this end, we will mobilize our unique strengths to address the issues and needs of customers and society through our business. With "Client Perspective" and "Challenges" inherent in our DNA, we are enhancing our management capital, which is the wellspring of value, in an ongoing effort to reinforce our business model.

The CTC Group's Value Creation Process
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