Hitachi Ltd. said Tuesday it will set up a joint venture with the Beijing University of Technology to push ahead with joint business efforts tied to China's e-government initiatives.
Hitachi Beijing Tech Information Systems Co. is scheduled to be established in October. It will be capitalized at 100 million yen and have a workforce of 30, Hitachi said.
Hitachi will own a 50 percent equity stake in the new company, with a 10 percent stake held by Hitachi (China) Investment Ltd. and a 40 percent stake held by a business arm of the Beijing University of Technology.
The joint venture will create relevant systems based on the expertise Hitachi has accumulated in Japan's e-government market.
The move comes two years after Hitachi and the Beijing University of Technology formed an alliance under which they opened an e-government showroom at the university, dubbed the China Cyber Government Square.