Risk of Product Obsolescence Due to Competitive Pressures and Technological Innovation
First written in FY2020. 2 of 4 entries say "Worsened", first in FY2021. Latest entry: FY2026.
Japan PropTech moved to the "Worse" side of this theme in 2026, 1 year after the typical company in this theme (2025).
The whole theme swung hardest in 2026: 28 of 57 companies on the "Worse" side.
20 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「The information services industry to which the Company belongs is undergoing rapid advances in cloud services, generative AI, data analytics and other technologies, with new products, services and market entrants continuing to emerge. If the Company fails to respond appropriately to technological innovation or changes in customer needs, or if competitors provide products and services with superior functionality, pricing or convenience, the competitiveness of the Company's products and services may decline, potentially making it difficult to acquire or retain customers.」
The previously stated risks of technological innovation and intensifying competition have been detailed in terms of the competitive environment, including cloud services, generative AI, data analytics and new market entrants. - FY2025RestatedAnnual report
「However, if new technologies and services become widespread as a result of technological innovation exceeding expectations, the products and services provided by the Company may become obsolete, potentially affecting its financial position and operating results.」
The risks of product obsolescence due to technological innovation and intensifying competition continue to be disclosed. - FY2021WorsenedAnnual report
「However, if new technologies and services become widespread as a result of technological innovation exceeding expectations, the products and services provided by the Company may become obsolete, potentially affecting its financial position and operating results. Similarly, if intensifying competition with competitors leads to lower product prices or if competing products offer improved performance, this may also affect the Company's financial position and operating results.」
The risk of obsolescence due to technological innovation and competition continues to be disclosed. - FY2020First statedAnnual report
「If new technologies and services become widespread as a result of technological innovation exceeding expectations, the products and services we provide may become obsolete, potentially affecting our financial position and operating performance.」
It also notes the risk of lower product prices due to intensifying competition and improved performance of competing products.