Japan-headquartered electronics manufacturer Hitachi has agreed to contribute to a fund being raised by US-based venture capital firm Geodesic Capital with a $165m target.
Geodesic Capital Fund I-S will be a companion to Geodesic’s inaugural fund, which closed at $335m in May 2016 with an anchor investment from trading conglomerate Mitsubishi.
Geodesic launched in 2015 to help provide a path for US-based businesses to expand into Japan by making equity investments on behalf of Japan-based partners and helping portfolio companies find Japanese market strategies, employees and customers.
Hitachi expects the Geodesic commitment to strengthen its links to the Silicon Valley entrepreneurial ecosystem for technologies such as artificial intelligence (AI), robotics and the internet of things (IoT).
Hitachi also announced the launch of a US-based unit called Global Open Innovation Division that will seek out collaborative opportunities with startups using Geodesic’s contacts from next month.
The corporate will also establish a Japan-based equivalent, Open Innovation Division, as part of its existing Future Investment Division corporate venturing unit.
Toshiaki Higashihara, Hitachi’s president and CEO, said: “Through this investment, we will accelerate open innovations with companies in Silicon Valley focused on AI and robotics, and further evolve the social innovation business using Hitachi’s IoT platform and other cutting-edge technologies.”