Hitachi Data Systems (HDS)

HDS Hitachi Data Systems is a business that provides a variety of high end and mid range modular computer data storage systems, services and software. Part of Hitachi’s Information Systems and Telecommunications Division, HDS is an entirely owned subsidiary company of Hitachi Ltd. Founded in 1989, Hitachi Data Systems was brought into being when NAS (National Advanced Systems) was acquired by EDS (Hitachi and Electronic Data Systems). Before this time, however, the company’s origins go back to one of the earliest players in the mainframe market: Itel, a Computer Products Group which sold National Semiconductors’ IBM compatible mainframes. In 1979, Itel was taken over by National Semiconductor and National Advanced Systems was created. Over time, NAS moved away from manufacturing mainframes, concentrating instead on marketing systems from Hitachi, and in 1999 EDS’s share was bought by Hitachi making HDS its subsidiary. For a number of years both Hitachi IBM compatible storage systems and mainframes were sold by HDS however at the turn of the millennium they left behind the mainframe side of the business, changing their focus to enterprise storage.

Hitachi Data Systems’ Corporate Culture and Affairs

The corporate headquarters of HDS is based in California, in Santa Clara, however the company has business offices located all over the world in the USA, Canada, New Zealand and Australia, Europe, Latin America, Africa and the Middle East. HDS’s corporate culture is based heavily on the values of its parent company, Hitachi Ltd.

These include:

Wa – Respect, trust and harmony

Makoto – Sincerity, honesty and integrity

Kaitakusha-Seishin – challenge and pioneering spirit

In 2011 to 2015, Hitachi Data Systems was acknowledged by Ethisphere Magazine as one of the most ethical companies in the world. Their Corporate Social Responsibility programs are very active and include a way for the company’s employees to recommend or request grants for non-profit organisations. HDS also works in conjunction with the Hitachi Foundation as well as other Hitachi bodies to support a range of philanthropic causes all over the world. HDS appears on global Best Place To Work lists and has found a place in the “100 Best Companies to Work For” as listed  by FORTUNE Magazine over 3 consecutive years (2012 – 2014). Not only that, HDS was also given 8th place in FORTUNE Magazine’s list of the top paying businesses. The company has also been ranked as one of the Best Companies for Leaders and it has been recognized in multiple countries as one of the Best Companies to Work For.

A Brief History of Hitachi Data Systems

In its earliest days as Itel, the company was founded in 1967 and had a focus on leasing IBM mainframes at a lower cost. In 1977, the joint venture that was created by Hitachi and National Semiconductor was employed by Itel to make mainframes that were IBM compatible. These Advanced Systems allowed Itel to net profits of $73 million, to increase their personnel and investments and to enter into an ongoing contract with Hitachi and National Semiconductor. Problems arose however when news was released that IBM was making a superior technologically advanced type of computer, with the result being that customers held back on purchasing from Itel. While Hitachi agreed to reduce their shipments, National Semiconductor insisted on enforcing their contract with Itel which led to National Semiconductor taking over Itel Advanced Systems. The division was given the name NAS (National Advanced Systems) and their role was to assemble and sell IBM compatibles with the CPUs being imported from Hitachi. Yet NAS still faced ongoing sales and technological pressure from IBM themselves who had begun to build powerful computers at a cheaper price. After being sued by IBM in 1983, NAS stopped manufacturing its own mainframes and started reselling data storage and mainframe products from Hitachi. In 1989 EDS (Electronic Data Systems) and Hitachi acquired NAS to give Hitachi a stronger American presence in order to compete with IBM. The entity that resulted was called HDS Hitachi Data Systems. In 1999, Hitachi took over the EDS stake in the company and once they had total control, HDS was then infused with Hitachi’s corporate ethics, practices and culture. As the millennium turned, HDS underwent a reorganisation, beginning to focus more on storage systems instead of mainframes and on June 26th that year, HDS’s first storage product was revealed. A year later, a mid-range modular storage system was unveiled, aimed to appeal to the medium and small business market. Their mid range and high end storage systems were also complemented with software for content and storage management, replication, business continuity, IT operations and data protection. Hitachi also acquired Comstock Systems Corp in 2002 giving them a 35% share in the market. In 2011, HDS moved into cloud computing, leading the way in modern storage solution.