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Courtesy of Hitachi, Ltd. A sensor installed on a train to collect data on the train and railway
By Azusa Nakanishi / Yomiuri Shimbun Correspondent
12:55 JST, October 7, 2024
BERLIN － Hitachi, Ltd. will collaborate with U.S.-based chip giant Nvidia to enhance railway maintenance using an AI-based system, the company has announced, as part of efforts to expand its railway business to about ¥1 trillion in fiscal 2024.
Hitachi showcased the new system at InnoTrans, the world’s largest railway industry exhibition, in Berlin in September,
The system uses sensors and cameras installed on trains to collect large amounts of data, such as information on vehicle vibrations and component temperature. It will also capture images of the railroad. The AI, called Edge AI, processes the data while on the train, removing the need to transmit the information to a data center. This allows the data to be instantly analyzed to detect issues with the train and track during operations.
Maintenance work generally requires special trains and night inspections by workers. However, there is currently a serious shortage of workers around the world who are able to carry out these tasks.
“Digitization greatly improves inspection accuracy because the inspections previously took place once a month but now every day and hour,” said a representative of Hitachi Rail, Hitachi’s railway business subsidiary.
The introduction of Nvidia’s high-quality chips has resulted in faster data analysis and have already been introduced to 8,000 train cars in Europe, resulting in a reduction in delays including those caused by maintenance by up to 20%.
European train services are frequently subject to significant delays and cancellations due to aging equipment and labor shortages. Rising maintenance costs are also an issue. Hitachi plans to strengthen its sales in the European market not only in vehicle development but also in infrastructure maintenance and management by appealing that the system would lead to cost reduction as well as ensuring safety.
Pursuing acquisitions in Europe
Hitachi has positioned the railway business as one of its growth areas and has been actively pursuing acquisitions in Europe. The railway market is expected to develop steadily amid global decarbonization efforts.
In May, the company acquired Thales, a French railway signaling business, for €1.666 billion (about ¥270 billion).
In 2015, Hitachi acquired a trains manufacturer and a signaling systems company in Italy and also secured a railway signaling manufacturer from the United States as well as a French high-speed rail system company. The acquisitions helped Hitachi to gain a foothold for strengthening their business in Europe and the United States.
The revenue from the railway business for the fiscal year ending March 2025 is expected to reach ¥1.994 trillion, a 28% increase from the previous year, and is expected to account for 12% of Hitachi’s total revenue.
Hitachi plans to continue expanding its railway business amid a growing movement in European countries to shift from private cars to public transportation, resulting in the reduction of greenhouse gas emissions.
