Hitachi Ventures Launches $150M Second Fund Targeting Climate and Healthcare Innovation

Japanese industrial giant Hitachi has unveiled its second corporate venture capital fund, committing $150 million to fuel innovation in environmental sustainability and healthcare sectors. The move represents a significant expansion of Hitachi Ventures, the conglomerate’s strategic investment arm that was established in 2019.

The timing signals a strategic pivot toward two of the most pressing global challenges. Climate action and healthcare innovation have become central pillars of Hitachi’s long-term growth strategy, reflecting broader industry trends where major corporations are channeling capital toward solutions that address societal needs alongside commercial opportunities.

Building on Early Momentum

The first fund from Hitachi Ventures has already backed 11 startups across industrial AI/IoT, data management, digital healthcare, and life sciences sectors. That early portfolio success has set the stage for scaling up. Stefan Gabriel, the fund’s CEO, was recently recognized as one of the Top 25 CVC entrepreneurs globally by Global Corporate Venturing, validating the fund’s strategic approach and execution capability.

A Dual-Focus Investment Thesis

Hitachi Ventures’ second fund specifically targets two distinct but complementary investment themes:

Environmental value creation focuses on startups tackling climate change and resource efficiency challenges. This aligns with Hitachi’s role as a principal partner at COP26, signaling corporate commitment to decarbonization goals.

Healthcare advancement spans medicine, pharmaceuticals, and digital health solutions—areas where startups can rapidly prototype and iterate to address gaps in traditional systems.

Leveraging Global Reach

By tapping its international network, Hitachi Ventures plans to identify startups developing breakthrough technologies and novel business models. The fund emphasizes co-creation and collaborative development beyond simple capital deployment—essentially positioning Hitachi as a strategic partner rather than just a financial investor.

Keiji Kojima, Hitachi’s President and COO, framed this expansion as part of the company’s DNA: “Hitachi is originally a venture company that was born in the mine.” This historical perspective drives the conglomerate’s commitment to fostering the next generation of innovators in critical sectors.

The $150 million commitment underscores how established corporates are increasingly using venture capital as a strategic tool to stay competitive in rapidly evolving markets, particularly where startups can move faster than traditional R&D operations.