Signify Premium Insight: Fujifilm and Hitachi – The Pieces of a Puzzle

Co-authored by Bhvita Jani

In December 2019 Fujifilm revealed the latest stage in its plan to expand its healthcare offering; it would acquire compatriot Hitachi’s Diagnostic Imaging business for approximately JPY179bn. After several delays stemming from the Coronavirus pandemic, the vendor in February set a date of March 31^st for the acquisition to close. This deal presents many opportunities for Fujifilm, as well as several challenges.

Vendor Impact

• The new, larger Fujifilm and its breadth of offering across the healthcare portfolio will increase competition for major tenders and long-term service contracts.
• In some countries where Fujifilm has a stronger presence, particularly those outside of Asia, it could start to disrupt traditionally stable market segments, such as MRI and CT, that it has previously not had the right product mix to enter into.
• With the acquisition of Hitachi, Fujifilm is a more significant threat to incumbent imaging vendors as its new portfolio can be positioned as a comprehensive solution including a more holistic portfolio across the four core imaging modalities (MRI, CT, Ultrasound and X-ray).