Technological Innovation, Substitute Technologies and Emergence of Competing Products
First written in FY2023. 2 of 4 entries say "Restated". Latest entry: FY2026.
The whole theme swung hardest in 2026: 34 of 95 companies on the "Worse" side.
- FY2026RestatedAnnual report
「However, if the Group's services fail to maintain sufficient competitiveness or added value due to unexpectedly rapid technological innovation, the emergence of alternative technologies or broadly applicable competing products, such as the commercialization of technology capable of faster calculations than the algorithms used by the Company as a result of the rapid development of AI technology, this could lead to a decline in new orders or the loss of existing customers and have a material impact on the Group's business and performance.」
The Company is reaffirming the risk of declining competitiveness due to technological innovation, including AI, and the emergence of alternative technologies and competing products, as well as its responses through monitoring market trends, addressing technological developments and developing human resources. - FY2025RestatedAnnual report
「Accordingly, to respond rapidly to technological innovation, the company continuously monitors market trends and takes measures to address technological innovation so that it can continue providing competitive services. It also focuses on securing highly skilled IT engineers and upgrading employees' skills through in-house study sessions and other initiatives.」
The company recognizes the risks of technological innovation and substitute technologies and reaffirmed monitoring market trends, responding to technological developments, securing engineers and holding in-house study sessions as countermeasures. - FY2024MitigatedAnnual report
「Accordingly, to respond rapidly to technological innovation, the company continuously monitors market trends and takes measures to address technological innovation so that it can continue providing competitive services. It also focuses on securing highly skilled IT engineers and upgrading employees' skills through in-house study sessions and other initiatives.」
The company continues to recognize the risks of technological innovation and substitute technologies, while explicitly identifying monitoring market trends, responding to technological developments, securing engineers and holding in-house study sessions as countermeasures. - FY2023First statedAnnual report
「However, if unexpectedly rapid technological innovation, the emergence of substitute technologies or general-purpose competing products, such as the practical application of AI technology capable of performing calculations faster than the algorithms used by the company, causes the Group's services to lose sufficient competitiveness or added value, this could lead to a decline in new orders and the loss of existing customers, materially affecting the Group's business and results.」
The disclosure states that rapid technological innovation, including in AI, and the emergence of substitute technologies or general-purpose competing products could reduce competitiveness and lead to fewer orders and customer attrition.