Ricoh announced that OKI will join ETRIA, a joint venture established with Toshiba Tec. The two companies will develop a new common engine using OKI’s LED printhead technology and other technologies, aiming to ensure flexible response to customer needs.
Considering development of compact, energy-efficient multifunction printers
ETRIA is a joint venture formed in July 2024 with joint investment from Ricoh and Toshiba Tec. In addition to integrating the development and production systems of each MFP manufacturer, the company will promote the development and production of common engines, including the mechanisms inside MFPs, and aim to strengthen market competitiveness by creating economies of scale for products. It will also work on planning and development of new products and optimizing procurement. This time, OKI will enter into an absorption-type division agreement to participate in ETRIA, and will integrate its business related to the development and production of MFPs and other products into ETRIA by dividing it into a company. In addition, ETRIA will inherit the shares of Oki Data Manufacturing, a Thai company that is OKI’s consolidated subsidiary and manufactures printer-related products.
The contract will take effect on October 1, 2025. Ricoh has stated that the business integration will have a “minor impact on Ricoh’s consolidated financial results for the current fiscal year” (from Ricoh’s news release). The investment ratios of each company participating in ETRIA will change as a result of the business integration. Previously, ETRIA’s investment ratio was 85% for Ricoh and 15% for Toshiba Tec, but with OKI’s participation, it will be 80.4% for Ricoh, 14.25% for Toshiba Tec, and 5.01% for OKI. As a result, ETRIA will no longer be an equity method affiliate of Toshiba Tec. Ricoh Representative Director and President Akira Oyama explained that one of the benefits of OKI’s participation is that “we believe that OKI’s LED printhead technology will enable us to develop a more competitive common engine.” LED printhead technology uses a large number of LEDs as a light source to write images onto a photoconductor, and is used in electrophotographic printing for commercial purposes. OKI President and CEO Takahiro Mori explained, “LED print head technology has a feature that it has few moving parts and fewer parts, and it is easy to make a simple structure. It has a great advantage in that it has a high degree of freedom in design and it is easy to miniaturize the product. We have differentiated our products not only in terms of technology, but also in terms of durability and ease of maintenance by users.”
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ETRIA President and CEO Katsunori Nakata also said, “In addition to ETRIA’s industry-leading high-speed, high-resolution laser technology, we have an engine equipped with LED print head technology that leads to product miniaturization and energy saving, which makes it easier to meet the ever-changing needs of customers. In reality, it is very difficult to develop both of these technologies in-house.” When asked how the technology can be specifically used in products, Oyama said that it was just an analogy and replied, “There is a possibility that it can be used to develop a small, energy-efficient, space-saving multifunction machine that is easy to use on the go for users who value environmental performance.” In addition to strengthening its technological and product development capabilities, ETRIA can also expect to strengthen its supply chain by utilizing Oki Data Manufacturing as a production base. Meanwhile, by participating in ETRIA, OKI can develop high-value-added products beyond its current business base and strengthen its product lineup. “In recent years, the number of products in our product lineup in the multifunction printer field has been steadily decreasing and weakening. We would like to re-strengthen it within this framework and focus on sales,” said Mori. He also mentioned his expectations that this initiative will lead to the development of co-creation activities with Ricoh and Toshiba Tec outside of ETRIA-related business. Mori said, “This alliance is something I have truly desired, and it is a complete win-win relationship for our company and ETRIA. I have no concerns at all about corporate culture or human resources. I truly believe that they are the best partner.”
SOURCE: Yahoo
