Nidec lays out recovery plan with unit sales and investments for AI
With the disclosure of a new business plan under fresh leadership, Nidec is hoping to stave off delisting or a hostile buyout.
Nidec has outlined a recovery strategy that includes divesting low-profit units such as household appliances and automotive motors. The company will simultaneously invest in its businesses for artificial intelligence, chips and energy sectors to rebuild investor confidence following an accounting scandal that reduced its value by a third.
Michio Kaida, 70, the chief technology officer who took over as head of the company just last week, emphasized that the priority is to return to the company's original mission. During a news conference at the company's headquarters in Kyoto, Kaida stated that Nidec, the world's largest manufacturer of precision motors, plans to refocus its efforts on key sectors like data center equipment, power generation, and energy storage systems.
Written by urgent.news from Japan Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
