Mitsubishi has formed a new division to drive its development of Internet-related businesses, the company announced last week.
The Information Network Service Group (INSG) was created on Wednesday and is under the direct control of company president Ichiro Taniguchi with independence from other divisions with the company, it said in a statement.
With the announcement, it becomes the second major Japanese company last week to announce plans to put more emphasis on the Internet in its business. Earlier this week, Toshiba announced plans to form a new division to focus on development of mobile Internet-related businesses.
The INSG is charged with the creation and control of Internet and telecommunications-related businesses that, in Mitsubishi's mind, have a high growth potential. The new group's brief also includes liaison with Internet-related firms in both Japan and around the world and serving as the main body to promote the company's policy on IT businesses based on the Internet.
With the establishment of INSG, the company hopes to see Internet-related businesses post sales of more than 500 billion yen ($US4.6 billion) in the 2003 fiscal year, the period from April 2003 to March 2004. Investment in the company to fiscal 2003 is expected to amount to 100 billion yen.
Mitsubishi already has some businesses in the sector. They include telecommunications networking firm MIND (Mitsubishi Electric Information Network by Digital Technology), Internet service provider Dream Train Internet, telecommunications carrier Pack East, software company Mitsubishi Systemware, maintenance firm Melcom Service and contents provider Meldac.