Hitachi Rail Finalizes Thales GTS Acquisition

Hitachi Rail Finalizes Thales GTS Acquisition

France's Thales has finalized the sale of its rail technology division to its Japanese competitor Hitachi, both firms said on Friday.

According to Hitachi, it is paying €1.66 billion ($1.8 billion) for the division, which is primarily involved in signalling technology. Around 9,000 employees will switch companies, with 2,000 of them working at three locations in Germany.

"Hitachi is pursuing ambitious plans to accelerate its growth in the German railway market in the field of signalling technology and rolling stock," the company announced.

Hitachi Rail will now have a presence in 51 countries.

Thales said the sale of the rail division would strengthen the group's strategic focus on long-term high-tech growth markets of aerospace, defence and security.

Dr. Eduardo Calixto

ECC Founder & CEO - RAMS Expert

3mo

Allow me my homely comment. By consumer point of view, more concentrate and verticalized an Industry is, loss power of negotiation for customers. However, there is only one issue when oligopoly an monopoly take place in an industry. If there is low demand from consumers, the ticket price will go down. What´s not happening because many users need to use daily the Railways systems. Hope the Government do their part to keep the minimum level of service and regulate it. What will not happen either. In Germany, the leve of service is very low and bad with constant delays and the train tickets are very expensive because it incorporates the low railway system equipment unreliability. If the European market were open to foreign vendors and O&M (South Korea, USe, japan, Australia), the competitiveness would increase and the services would be better. Unfortunately this is not the case in Europe. That´s explains in general too much of Europe bad and decreasing economic performance along the last 5 years. It´s not COVID the root cause...rsrsrsr. By the way, I worked for Railway industry many years as RAMS Engineers and I know the real problems.

Artwell Mwadira

Telecommunications Technician at Etihad Rail Stage 2 Project

3mo

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