In the midst of the "Fourth Industrial Revolution," AI is creating a wave of unstoppable change. Even as I write this, new innovations are emerging all over the world, and the momentum of transformation continues to build. Measures may be taken to slow this transformation of our lives and society, but they will change regardless, and companies like NEC must lead the way.

For 125 years, the NEC Group has created value for society by mastering the most advanced technologies of each era. At this turning point, we continue to contribute to the world through business centered on digital technologies such as AI and biometric authentication.

NEC's Mid-term Management Plan 2025 is progressing at a faster pace than originally envisioned, and our attention—and that of our stakeholders— is actively shifting to the next mid-term plan. This year, we will complete our preparations to accelerate our growth while simultaneously fulfilling our strong commitments to the market.

The 110,000 members of our organization across the globe are central to our "Client Zero" approach, when we become our own first customer when implementing new technologies. This enables us to effectively introduce new business processes for customers through digital transformation (DX) and corporate transformation (CX) that are grounded in success stories and our real experience, such as the "BluStellar" value creation model.

Every day, we strive to foster an environment where AI can be used safely and securely by leveraging the knowledge we have gained through developing AI from scratch and operating products from other companies. As a result, we are now implementing cutting-edge technological advancements such as Agentic AI and small-scale language models (SLM) to expand use cases in various industries through co-creation with customers.

NEC is also forging cyber security capabilities, maintaining and developing digital social infrastructure, such as submarine cables and satellite communications. We are creating essential products for the future through these initiatives in cutting-edge technologies and more, including optical communications, quantum cryptography, secret computation, and AI drug discovery.

The business restructuring of group companies in Japan, NEC Networks & System Integration Corporation and NEC Nexa Solutions, is another major step in our evolution as a DX leader for local governments and small- and medium-sized corporate customers in Japan, while we also seek to further enhance our strengths globally.

All of these initiatives are linked to the NEC Group's Purpose, which is to "create the social values of safety, security, fairness and efficiency to promote a more sustainable world where everyone has the chance to reach their full potential." At the heart of achieving this goal is each and every member of our diverse workforce. As a company and a team that can be trusted by society, we work with unwavering integrity and respect for human rights. We will continue to manage our operations so that the core of this corporate culture remains strong.

As members of the NEC Group, we also commit ourselves to continue taking on challenges without fear of change. Even if it is a small attempt at first, the power of that change can be amplified and make an important impact. We may be in the fourth industrial revolution, but it is also therefore up to us all to make this revolution, to lead, to master technology and to create a lasting legacy.

And as we embark on this new fiscal year, our thoughts are with all those affected by the recent earthquake in Myanmar. We hope for a swift recovery and are committed to supporting any relief efforts that can help those in need.

We are humbled to be known as a trusted organization that uses technology to create value for society. In pursuit of this, we will continue to contribute to the healthy development of our customers and communities with solutions that are safe, reliable and needed. We look to the year ahead with anticipation, boldness and commitment to what’s ahead.

April 1, 2025
Takayuki Morita
President and CEO
NEC Corporation

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