Digital Transformation Market

Digital Transformation Market

Currently, various digital technologies such as cloud computing, AI (artificial intelligence), and IoT (Internet of Things) are evolving, and many companies are moving toward the realization of DX. And the government is backing this move. The Ministry of Economy, Trade and Industry launched the "Study Group for Digital Transformation" in May 2018. While there is a strong demand for DX, some companies are facing issues such as the aging of IT systems and the associated maintenance and operation costs of IT systems. This is the definition in the "Guidelines for Promoting Digital Transformation (DX Promotion Guidelines)" compiled by the Ministry of Economy, Trade and Industry in December 2018. Then, first, we will sort out the issues related to the current IT system and examine the countermeasures, and in September of the same year, the report "DX Report-Overcoming the IT System" 2025 Cliff "and Full-scale Deployment of DX-" I summarized. And it is said that there were many people involved who were shocked by the content.

What shocked you? Regarding the existing systems owned by each company, (1) the aging existing core system will be a barrier to promoting DX, and (2) if the system is not renewed by 2025, up to 12 trillion yen annually thereafter. It sounded a warning while giving concrete figures that there is a possibility of economic loss. What shocked you? Regarding the existing systems owned by each company, (1) the aging existing core system will be a barrier to promoting DX, and (2) if the system is not renewed by 2025, up to 12 trillion yen annually thereafter. It sounded a warning while giving concrete figures that there is a possibility of economic loss. According to a survey by Microsoft and others introduced at the beginning, the introduction of DX will increase Japan's GDP by about 11 trillion yen by 2021. On the other hand, the government has concluded that the system as it is will reach a cliff in 2025 and will cause a great economic loss. It's unusual for the government to talk about the introduction of private sector systems, but it's a sign of the dangers of sticking to legacy systems and the importance of DX.

 

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