Japanese Electronics: Quality and Innovation Explained
Not so long ago Japan was the premium name in consumer electronics – Sony’s Walkman and Discman, Panasonic’s videotape recorders and flat screen TVs. But now, Korean companies dominate smartphones and blu-ray players while Apple offers premium priced iphone and ipad products.
Meanwhile, Japan’s electronic giants are bleeding red ink. Sony might make a profit this year, but Matsushita and Sharp are losing money fast.
TDK Corporation
The company was founded in 1935 to commercialize ferrite, a key material used in electronic and magnetic components. Today, the company is a leader in magnetic technologies. Its comprehensive products are at work all the time inside the familiar devices that people use every day, from mobile phones to automotive electronic systems.
The first application for TDK’s ferrite was in the production of cores for transformers and coils. In the 1940s, demand for these ferrite cores was growing rapidly as household electronics such as radios and televisions became more commonplace. The company’s founder, Yasuaki Saito, pushed the development of ferrite-based technology to meet this demand.
In the 1970s TDK’s growth rate accelerated dramatically. The introduction of videocassettes to the consumer market created strong demand for both the software (videotapes) and hardware (magnetic tape heads) that TDK produced. By the 1980s, TDK’s sales of both audiotapes and videotapes accounted for about half its total revenue.
Around the turn of the millennium, profits came under pressure due to declining sales in Japan and a slowdown in the world economy. To counteract these trends, TDK broadened its nontape products. In addition to semiconductors, the company now offered a wide range of passive components and polymer rechargeable batteries for mobile phones. TDK also expanded its manufacturing capacity to reduce costs and improve efficiency.
TDK Corporation manufactures and sells electronic components in Japan, Europe, China, Asia, and internationally. The Passive Components segment offers ceramic and aluminum electrolytic capacitors, film capacitors, high-frequency components, piezoelectric materials, and circuit protection components. The Magnetic Application Products segment provides magnetic and inductive devices, including ferrite cores and coils, hard disk drive (HDD) heads and suspension assemblies, and magnets. The Energy Devices and Other segment provides power supplies and other energy devices. The company’s product portfolio is marketed under the TDK, EPCOS, InvenSense, Micronas, and Tronics brands.
In addition to offering a wide range of components, TDK-Lambda is committed to protecting the environment and limiting natural resources. It conducts surveys on its suppliers to ensure that they are aware of their environmental responsibility and strives to promote environmentally conscious design and manufacturing.
NEC Corporation
NEC Corporation is a leading producer of telecommunications equipment and related software and services. Its products include telecommunications networks and systems, computers, semiconductor devices, and advanced consumer electronics. NEC’s headquarters are in Tokyo, Japan. The company has a presence in the United States and around the world through its subsidiaries and affiliates.
NEC was founded in 1924 as Nippon Electric Phototelegraph Company. The company began with the production, sales, and maintenance of telephones and telephone switches. In 1924 NEC developed its own Strowger-type automatic switching system, a first in Japan. During World War II NEC experienced severe losses. NEC’s Ueno plant was bombed, and fires destroyed the Tamagawa and Okayama plants, reducing production capacity by forty percent.
Following the war NEC refocused its efforts on developing new and expanding its product lines. It also implemented a zero-defect quality-control policy. To achieve these goals, NEC acquired the technology of several foreign companies and adapted it to meet Japanese needs. For example, submarine sonar technology was used to develop fish detectors, and military two-way radios were redesigned for commercial use.
In the late 1960s NEC began focusing more on international markets, opening factories in Mexico and Brazil, and setting up affiliates in Australia and Korea. It also worked to develop space-related technologies. The company also established its first marketing subsidiary in the United States, Nippon Electric New York, Inc. In 1973 NEC opened a manufacturing plant in Shanghai, China, and in the same year acquired 30 percent of a joint venture with a Korean firm for the production of cellular phones and digital microwave communications systems.
NEC also increased its market share in the United States through acquisitions. In 1985 NEC bought a majority stake in the American computer manufacturer Groupe Bull, which it later renamed NEC America. NEC also partnered with Packard Bell Electronics to offer its IBM-compatible PowerMate line of personal computers in the United States.
In the early 1990s NEC continued to pursue overseas opportunities, including entering joint ventures in China for cellular phone manufacturing and in Indonesia for production of PBXs and PCs. The company suffered from the strong yen and economic woes in Japan, however, and lost market share to European and American competitors.
Sony Corporation
Sony is a multinational conglomerate that produces consumer and professional electronics. Its products include televisions, music players, mobile phones, computers, cameras, and other electronic equipment. In addition to these products, Sony provides a range of services such as insurance, banking, and financial services. It is headquartered in Tokyo, Japan.
The company was founded in 1946 by two Japanese engineers, Masaru Ibuka and Akio Morita. Both men had previously worked on military projects during World War II, developing a heat-seeking missile guidance system and a night vision gun scope. In 1950, they began working together to develop consumer electronics.
By the early 1960s, Sony had become a leading exporter of portable transistor radios in Japan. Morita saw an opportunity to enter the United States market, and he set up a subsidiary in New York City. This was a risky move, since the American market was dominated by established competitors such as RCA and Zenith. Morita’s gamble paid off, however, and Sony quickly gained a foothold in the United States.
During the 1970s, competition increased and Sony started to lose market share. The company’s rivals were able to adopt and improve upon technologies that Sony pioneered. To combat this, Sony introduced a number of cost cutting measures, including the sale of some subsidiaries.
In 1984, Sony purchased Apple Computer’s hard disk technology business. This allowed the company to increase the proportion of its sales from institutional markets, such as schools and offices. In 1990, the company also began selling its own computers under the VAIO brand.
Today, Sony is one of the largest electronics companies in the world. Its wide portfolio of products includes digital SLR cameras, Blu-Ray video recorders, and PlayStation home entertainment systems. The company also has a growing medical and healthcare business, with the recent acquisition of iCyt Mission Technology, Inc. and Micronics, Inc.
Sony has a reputation for its quality and innovative products. The company has a long list of famous alumni, including actors and musicians. The company has also been the subject of many documentaries, such as Made in Japan: Akio and Sony (1986), by John Nathan.
Kyocera Corporation
Kyocera is a Japanese technology enterprise founded in 1934. Originally known as Kyoto Ceramic Company, Limited (), it started out producing ceramic insulators for television picture tubes. Over time, it expanded its product line to include office equipment and electronic components. Today, the corporation is a leading maker of fine and applied ceramics, semiconductor parts, and information and telecommunications equipment. Its products are sold worldwide.
In the 1980s and 1990s, Kyocera made major moves to expand its international operations. It established subsidiaries in the United States and Europe, including Kyocera Document Solutions America and Kyocera Document Solutions Deutschland GmbH. It also formed a joint venture with Feldmuhle AG of West Germany, Kyocera Feldmuhle Elektronische Bauelemente GmbH.
By the early 2000s, more than 80 percent of Kyocera’s revenues came from telecommunications- or information-related businesses. The telecommunications business received a significant boost in February 2000 when the company acquired the wireless phone manufacturing operations of Qualcomm Inc., creating the company’s first U.S.-based subsidiary, Kyocera Wireless Corp.
The following year, Kyocera began introducing mobile phones to the United States market. Its flagship model was the VP-210, a handheld videophone with a built-in camera. The device was a success, earning rave reviews from technology reviewers and attracting customers who appreciated the phone’s innovative features.
Over the next decade, Kyocera introduced a variety of new mobile devices. The company’s smartphones incorporated advanced features, such as voice recognition, Bluetooth capabilities, and the ability to connect to multiple wireless networks. These products also included a large color screen, a high-resolution camera, and a long battery life.
In 2008, the company bolstered its technology portfolio by purchasing the mobile phone business of Sanyo Electric Co. Ltd. This move allowed the company to enter a number of key markets in the United States and Asia. The company also launched a series of waterproof mobile phones that received positive reviews.
In 2021, Kyocera celebrated 50 years of local manufacturing in the city of San Diego, California. In celebration, the company donated to local charities and presented a proclamation from Councilmember Chris Cate honoring the company’s commitment to the community. During this milestone, the company also announced plans to invest an additional $250 million in its U.S. facilities over the next five years, resulting in more than 1,000 jobs.