Hitachi Launches $400M HV Fund IV to Drive Innovation in Emerging Technologies

Hitachi has introduced its fourth corporate venture capital fund, HV Fund IV, with a target of $400 million, making it the largest fund ever managed by the company. With this addition, Hitachi’s total venture capital investments now stand at $1 billion. The fund aims to back startups capable of driving major market transformations, particularly in fast-growing digital and industrial sectors, with a focus on technologies such as AI, quantum computing, and nuclear fusion.

The primary goal of HV Fund IV is to identify startups with the potential to lead technological and social shifts, contributing to future growth opportunities. By targeting companies in fields that have the potential to reshape industries, Hitachi aims to accelerate open innovation.

HV Fund IV will target investments in startups advancing industrial AI, distributed energy systems, and data center technologies. Additionally, it will explore emerging fields such as bioengineering, space technology, nuclear fusion, quantum computing, and life sciences. By diversifying its portfolio, Hitachi aims to capitalize on technological advancements expected to drive significant industry changes in the near future. 

The new fund aligns with Hitachi’s next Mid-term Management Plan, which emphasizes the integration of digital technologies across its operations to drive sustainable growth. This initiative is expected to strengthen both existing businesses and new ventures, enabling Hitachi to adapt quickly to technological shifts.

Founded in 2019, Hitachi Ventures has grown quickly and now oversees a portfolio of 38 startups. Several of these companies have already reached unicorn status, while others are on the path to achieving it. Nearly half of the portfolio startups are actively working with Hitachi’s business units, helping to integrate cutting-edge innovations into the company’s operations.

Hitachi’s portfolio features several notable startups, including Captura, Archetype AI, and Makersite, all of which work on technologies that support the company’s strategic objective. 

Hitachi Ventures is also expanding its efforts into the rapidly evolving fields of life sciences and environmental technologies, offering both financial backing and strategic guidance to accelerate the development of these innovations.

The company’s CVC arm has proven essential for identifying and supporting disruptive technologies and business models. As Keiji Kojima, President and CEO of Hitachi, emphasized, the rapid pace of technological change—exemplified by breakthroughs in generative AI—has made it crucial for the company to leverage external partnerships. 

The company’s corporate venturing initiative is integrated into its broader Social Innovation Business, which aligns data and technology with sustainable societal progress. Through three main sectors—Digital Systems & Services, Green Energy & Mobility, and Connective Industries—Hitachi is enhancing digital transformation, contributing to decarbonization, and improving industrial connectivity. 

With a global workforce of around 270,000 employees, Hitachi aims to leverage these initiatives, including expanding venture capital efforts, to identify and drive new growth opportunities. The new HV Fund IV, launching in April 2025, will play a critical role in advancing Hitachi’s vision for a sustainable, innovation-driven future.