Get to Know TDK ~The Story of TDK's Sustainable Corporate Value Creation~TDK's DNA / TDK’s Strengths

Constantly Refined

Magnetics Technology

“A more than 80-year history in tandem with magnetism”
The magnetic material “ferrite” is an original Japanese invention of Dr. Yogoro Kato and Dr. Takeshi Takei of the Tokyo Institute of Technology. As an important magnetic material for cutting-edge electronic equipment, ferrite continues to contribute widely to society, and in 2009 was designated as an IEEE Milestone. With its origins in this landmark invention, TDK has continued to refine its magnetics technology throughout the course of its more than 80-year history.

Corporate Motto
Contribute to culture and industry through creativity

Constantly Upholding

a Spirit of Originality

“Creating value that does not yet exist in the world on a material level”
Today's TDK was founded in 1935 as Tokyo Denki Kagaku Kogyo K.K., with the goal of industrializing ferrite. Identifying with Dr.Kato's statement that, “the Japanese must develop their own genuine industries,”Kenzo Saito, the Company's first president, succeeded in commercializing a so-called “ferrite core.” His philosophy of “creating value that does not yet exist in the world on a material level” continues to be handed down at TDK today.

Corporate Motto
Contribute to culture and industry through creativity

MILESTONE

Innovation and
Self-Transformation as
Driving Forces

With magnetics technology as its core competence, TDK has developed a succession of global innovations that leverage its spirit of originality. Continuous innovation in its existing products, a process repeated throughout TDK's more than 80-year history, along with nonlinear innovation via strategic withdrawal from non-core businesses and optimization of its business portfolio, will continue to be the driving forces behind the Company's ongoing growth.

Innovation That Drives Transformation

Continuous Innovation in
Passive Components

The multilayer chip inductor, based on the world-leading fine multilayering technology developed by TDK in 1980, contributed greatly to the creation of small, thinner electronic equipment. Continuous innovation in these types of passive components and other existing products is one driver of TDK's sustainable growth.

Nonlinear Innovation with
Magnetism at Its Core

While its main products are doing well, TDK works to forecast long-term technology trends and develop core businesses for the future, sometimes boldly replacing its main business focus. This is what we call “nonlinear innovation,” and it provides a schematic for TDK's sustainable growth. HDD magnetic heads that have achieved phenomenal recording density are one such example.

INNOVATION PROCESS

Achieving Sustainable Growth
in Corporate Value through
5 Competitive Advantages

Competitive advantages, including materials and process technologies, a customer base, strength of diversity, a global business base, and integrated production, are the foundation of TDK's growth. Synergies between these competitive advantages, which stand solidly on the magnetics technology TDK has cultivated over many years, are a hidden strength supporting the sustainable growth in corporate value.

Magnetics Technology Spirit of Originality

1Materials and
Process Technologies

Creating “Black Boxes” to Prevent Imitation

Materials technology elicits the targeted properties in a product through advanced expertise in complex composition processes and control of additives. Process technology maximizes the properties of these materials while also expanding the scope of their application in products. Creating “black boxes” for techniques for controlling crystal particles at the atomic level, for intellectual property, and for other know-how makes them difficult to imitate overnight.

2Customer Base

Enabling Investment from a Long-Term Perspective

TDK has built strong relationships with its customers in the automotive, ICT, industrial and energy markets, and other markets. This competitive advantage allows us to more accurately forecast future changes in technology trends, and reduces the risks involved in making aggressive R&D and capital investments.

3Strength of
Diversity

A Spirit of Equality Leading to M&A Success

TDK has built its relationships with the companies it acquired based not on controlling them, but on positioning them as equal partners. This expertise in post-merger integration, cultivated over long years of experience in M&A, is a powerful weapon in ensuring the success of our business portfolio.

4Global
Business Base

Overseas Sales in Excess of 90%

TDK began full-scale globalization efforts in the 1960s, enhancing its local production and technical support infrastructure overseas and expanding its business with manufacturers outside Japan. This global business base, with approximately 90% of production and sales generated overseas, is a competitive advantage that will allow us to capture business opportunities in the IoT market, which is expected to expand worldwide.

5Integrated Production

A Powerful Advantage in the Age of IoT

Integrated production, where everything from materials to the final product is handled in-house, allows TDK to take the initiative in product evolution, and we have successfully increased productivity through the introduction of IoT and robots. Our ability to also control quality entirely in-house gives TDK a competitive advantage in areas of the IoT market where quality requirements are particularly high, including the automotive and robotics fields.

Honjo Factory East Site

Location: 1-8 Manganji, Yurihonjo City, Akita Prefecture, Japan
Floor space: Approximately 50,000 m2
Building structure: Two-story building
Main business: Development, design,
and manufacture of high-frequency components,
piezoelectric components,
and other electronic components

Competitive Advantages
Supporting the Creation
of Innovation and
Long-Term Value

With ferrite as a starting point, TDK has extended the boundless potential of innovation by refining
and exerting its competitive advantages, and today, we are taking on the challenge of new business innovation.

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Get to Know TDK