Fujifilm Holdings and Konica Minolta have announced plans to form a business alliance aimed at streamlining their procurement processes for manufacturing multifunction office equipment and printers. This strategic move involves creating a joint venture by the end of September, primarily owned by Fujifilm’s subsidiary, Fujifilm Business Innovation.
The collaboration will focus on enhancing the scale of procurement to lower costs and ensure a stable supply of essential components like semiconductors. Both companies will contribute employees to the venture, with a combined workforce of between 100 to 200.
Despite the partnership, Fujifilm and Konica Minolta will continue to independently manufacture and market their office printers. Additionally, the alliance will explore joint development and production of innovative printer toners capable of operating at lower temperatures, potentially reducing electricity usage and increasing the products’ competitive edge.
The initiative comes at a time when the global market for photocopiers and multifunction business equipment is experiencing a downturn, with shipments still 26% below pre-COVID levels, as reported by the Japan Business Machine and Information System Industries Association.
Konica Minolta, facing declining printer demand due to increased digitization, is undergoing a corporate restructuring that includes a significant reduction in workforce. Meanwhile, Fujifilm plans to redirect savings from the joint venture towards expanding its healthcare and semiconductor material businesses, while Konica Minolta focuses on leveraging its optical technology in industrial applications.
Both company leaders expressed optimism about the partnership’s potential to enhance supply chain resilience and support sustainable business growth. The venture not only aims to improve cost-efficiency and investment but also to solidify their standings in a competitive market where Japanese firms dominate globally.
