A Vision for the Future - TDK Transformation

As a world leader in electronic technology solutions for a smart society, TDK operationalized its deep commitment to driving global transformation through its newly established Long-term Vision—TDK Transformation.?

We see the megatrend-level challenges faced by society today – green transformation, including environmental sustainability, energy transformation and urbanization, and digital transformation - as a direct mandate to use our creativity and innovative spirit in support of global change. Over the next decade, the company is singularly focused on promoting global evolution with accelerated technological and societal advancements supported by innovation and sustainability.

Guided by a dual mandate: 1) TDK’s Corporate Motto - “Contribute to culture and industry through creativity,” and 2) Corporate Principles - “Vision, Courage, Trust,” TDK Transformation brought a comprehensive reimagining of the company’s product and business portfolio, anticipated global market growth, overall governance, and robust recommitment to quality first.

A Vision for the Future – TDK’s 10-Year Long-term Vision

TDK Transformation is a guiding vision, as well as a strategic blueprint, for the next ten years until 2034. It emphasizes a dual focus: internal growth and societal impact. Honoring the visionary venture spirit of TDK’s founder, Kenzo Saito, this Long-term Vision accelerates an expanded focus on the technologies that enhance lives, automate work and leisure, and protect our planet. Our technologies are changing and enhancing the Metaverse and how it is deployed, smart city growth and capabilities, and addressing long-term power storage and sustainability issues.

“Creating value that does not yet exist in the world.” Kenzo Saito, Founder

Kenzo Saito’s venture spirit is embodied in TDK’s historical and forward-looking commitment to pushing the boundaries of technology, investing in innovative solutions and companies, and encouraging creative risk-taking on behalf of the company - all for the benefit of society at large.?

Continuing in the direction established by our founder almost 90 years ago, our current President and CEO, Noburu Saito, is overseeing the launch of a new stage of growth and evolution - TDK Transformation.

A Medium-Term Plan to Launch TDK Transformation

To operationalize the organization’s vision, a new Medium-Term Plan (3-years until 2027) was established to map out company-wide performance indicators and create a robust foundation for the overall Long-term Vision.?

The new medium-term plan includes:

1. Strengthening our overall operational focus on organic growth and accelerated M&A as it relates to our long-term sustainability goals. This includes partnering with portfolio companies of our CVC TDK Ventures that bring a germinating energy and innovative ideas that expand and grow our capabilities.
2. Accelerating our proactive management strategy to expand and enhance our overall business portfolio in a fluid and everchanging environment.?
3. Continuing to evolve ‘The Ferrite Tree’ – based on TDK’s founding business which was the commercialization of ferrite material - ‘The Ferrite Tree’ graphically represents how the company has strengthened its leading technology portfolio by accumulating technologies and pre-capital initiatives that continually grow new and more innovative technologies.

Examples of Supporting Future Growth with New Businesses and Technologies that Benefit Society

Contributing to society's transformation positions TDK to innovate with a variety of new solutions that combine materials, processes, and software technologies for everything from autonomous vehicles to advanced surgical robotics to hyper-automated industrial solutions and AI-powered phones.?

Here are three examples of tech-forward solutions being launched in the near future that deliver improved efficiency and contribute to an evolving society:

1. Full-Color Laser Modules for VR/AR—Utilizing Planar Waveguide Technology, laser beams emit onto a MEMS mirror and project directly onto the retina, ensuring an always sharp image without the need to adjust for focus. This provides a higher-quality, more realistic VR/AR experience which expands the possibilities for integrating the Metaverse? more fully into daily life. Using lithium niobate (LiNbO3) thin film, which allows for visible light control at speeds over 10 times faster than traditional laser color control methods. Unlike conventional lasers that adjust color by manipulating electrical current, this technology achieves it through voltage control which enables 4K or higher video resolutions, while also reducing power consumption.
2. Neuromorphic Technology—This advanced storage technology is on track to solve the power consumption issue required for future AI processing. Devices utilizing this technology will be up to 100 times more energy-efficient and carbon-neutral. We proudly note that our neuromorphic devices equipped with a spin-memristor recently won the Innovation Award at CEATEC 2024.
3. Integrated platforms that seamlessly blend multiple TDK assets with cutting-edge technologies from our production-released components, including sensors, batteries, and passive platforms. Solutions like Quick Start CbM, AutoML, Engineered AI, and AI-Powered CbM Systems are designed to empower enterprises to harness the full potential of artificial intelligence in their operations. Each product offers unique capabilities, tailored to meet the diverse needs of modern industries, ensuring optimized performance, efficiency, and strategic alignment with business goals.

Green Transformation – Leading the Charge Towards Decarbonization

With Green Transformation (GX) as a foundational cornerstone of TDK’s future Long-term Vision, the goal is to lead the shift toward sustainability by producing and distributing technologies that reduce our environmental impact on the planet while enhancing energy efficiency across product lines, factories, and supply chains.?

By integrating eco-friendly technologies and materials, the company is driving innovation in energy storage, renewable energy, and electric vehicles while reducing carbon emissions within its manufacturing processes and delivery systems.

This vision underscores TDK’s role in shaping a greener future by leading alignment within the manufacturing sector and helping to focus global efforts to combat climate change. TDK’s commitment to GX succeeds by setting ambitious goals for carbon neutrality and sustainable growth now and in the future.

Digital Transformation – Redefining the Future of Technology

Through Digital Transformation (DX), TDK is promoting creative disruption to rethink how society approaches technology solutions and delivers value using cutting-edge information and communication technologies, AI, and state-of-the-art sensing capabilities.?

Moving forward, we envision our society equipped with 6G networks, the Metaverse, smart cities, clean energy, electrified vehicles, and various devices that will become terminals for connected networks. This means that data transmission volume will increase dramatically. In such a society, the global electricity supply will be outpaced by the power consumption of data centers, creating demand for the improved energy efficiency of various electronic components.?

We are excited to see the continued growth of domains that can benefit from high-value-added electronic components and materials that contribute to increased energy efficiency by achieving low power consumption, size reductions, and low CO2 emissions.?

TDK’s Commitment to a Sustainable Future Today

The company has a long history of providing technologies that were essential to driving industry in past eras. It has participated in everything from audio and video components and devices to PCs and smartphones. Through innovative achievements in materials, processes, and software technologies, the company continues to contribute as we transition to a sustainable future for the planet.

Working with industry leaders, TDK Transformation positions the company to initiate collaborative participation, leveraging the company’s unique culture and strategic initiatives to drive long-term success. Now, more than ever before, TDK is poised to participate in transforming society through an ever-accelerating future.

Learn more about TDK Transformation and how our sustainability commitment is helping society transition toward a more renewable and environmentally friendly future.