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Business Strengths and Strategic Products

Our Strengths

1. Business for Solving Social Issues

The SWCC Group has developed a business model to solve various social issues such as "Environment / Energy", "Disaster Prevention / Infrastructure", "Life / Mobility", "Education / Human Resource Development", and "Medical Care / Health" through various products, technologies and services that we have developed since our establishment. We are building a new business model. Aiming to build a sustainable society, we will continue to respond to environmental and social challenges through our business activities.

Business Models for Solving Social Issues

2. Abundant elemental technologies accumulated since the company's foundation

The SWCC Group has a wealth of elemental technologies accumulated since its establishment.
These have been utilized as a treasure trove of stable, high value-added business models to develop new markets in the industrial, medical device, and mobility fields.

Abundant elemental technologies and New Market Development

Abundant Elemental Technologies an New mrket Development

3. Efficient and flexible management system

(1) Introduction of segmentation system

Beginning in FY 2019, we are reorganizing the vertical organization in which we operate as a company into new business segments. Instead of the previous product line segmentation, the company has been divided into Energy &:amp; Infrastructure, Telecommunications &:amp; Industrial Equipment, Electronic Components, and New. At the same time, we applied the new business segment classifications to each of our subsidiaries, giving the segment heads greater authority than the presidents of the respective companies to make all decisions at their discretion.

We were able to see the effects of this, especially in the Corona Disaster. With the economic environment changing under the declaration of a state of emergency.

The segment heads made very quick decisions on which plants to shut down, which departments to rest, and which employees to run at higher utilization rates, and this helped to avoid a deterioration in business performance.

Scope of Businesses in the SWCC Group

Scope of Businesses in the SWCC Group

(2) Introduction of ROIC management

ROIC was introduced in FY 2019 to evaluate the performance of each business. We have ensured transparency and objectivity by numerically evaluating each business using ROIC as an indicator and have withdrawn from businesses with low profitability and eliminated businesses with low productivity. Specifically, the company has been implementing structural reforms, including the sale of its low ROIC rubber wire business and the dissolution of an Aomori subsidiary that produces metal communication cables and other products and a subsidiary that produces wire harnesses. As a result, ROIC values improved from a 4-year average of 3.8% before implementation (FY 2015 to FY 2018) to a 4-year average of 7.1% after implementation (FY 2019 to FY 2022). We reflect ROIC in our business investment decisions to improve the efficiency of invested capital and achieve highly efficient management.

ROIC

Medium-terM Management plan Change & Growth SWCC 2026
Comparison of portfolio

Main Segment Structure

Beginning in FY 2019, we are reorganizing the vertical organization in which we operate as a company into new business segments. Instead of the previous product line segmentation, the company has been divided into Energy &:amp; Infrastructure, Telecommunications &:amp; Industrial Equipment, Electronic Components, and New. At the same time, we applied the new business segment classifications to each of our subsidiaries, giving the segment heads greater authority than the presidents of the respective companies to make all decisions at their discretion.

Segment-based management system

The three main segments with the largest sales and their managers and management structure are as follows

Segment-based management system

Targets for the final year of the medium-term management plan for the three main segments and related markets

Operating income and markets by segment for fiscal 2026, the final year of the medium-term management plan, are as follows.
In the Energy and Infrastructure Business, the main markets are the increasing demand for electric power from renewable energy sources, the construction wire field, and the resilience field to protect cities from disasters such as earthquakes.
In the Communication and Industrial Devices Business, the main markets are the information and telecommunication market, where high-speed and large-capacity telecommunication systems are being developed on a global scale, and the wire harness and precision device fields, such as home appliances and printers.
The main market for the Electrical Equipment and Components Business Segment is the xEV field.

Operating income and markets by segment for fiscal 2026
Medium term management plan SICOPLUS
Medium term management plan MIDIP
Medium term management plan FLANTEC

Strategic Products

The SWCC Group's accumulated wisdom and technologies are utilized not only in the world of infrastructure and telecommunications, but also in various fields such as automobiles, railroads, medicine, FA, and IoT.
On this page, we introduce our main strategic products in each of our four business segments.

~ Energy and Infrastructure Business Segment ~
Compact connectors for high voltage power cables "SICONEX®"

What's SICONEX® ?

Environmentally friendly and compact connectors for high voltage power cables using innovative insulation technology, mainly used in power transmission and distribution facilities, transformers, power plants and substations.
Our company differentiates itself through its unique product design that innovates environmental friendliness, earthquake resistance, and ease of installation.

EWhat's SICONEX®

Scenes where SICONEX® is useful

Electricity produced at power plants is sent via power cables, which pass through substations, where it is converted to the appropriate voltage for each home, factory, building, etc., and then shared. Power connection components are indispensable for connecting power cables to each other, as well as to power equipment such as switchgear and transformers in substations and power cables.

Scenes where SICONEX® is useful
Electric power transmission and distribution equipment

Electric power transmission and distribution equipment

power transformer

power transformer

Substations and power plants

Substations and power plants

SICONEX® Product Lineup

SICONEX® that realize compactness, lightness, labor saving, and safety

Type T terminator

Type T terminator

In order to transport electricity, power cables need to be connected to power equipment such as transformers, and the connection point is called the termination connection.

Directmold

Directmold

Completely dry solid insulation structure with silicone rubber molded directly onto the surface of the epoxy bushing. High environmental friendliness and safety due to the use of epoxy resin instead of insulating oil for the internal filling. High degree of freedom in mounting orientation and low risk of oil leakage. Due to its small size and light weight, it does not resonate even in a huge earthquake, making it highly resistant to earthquakes.

Smart Cable Heads

Smart Cable Heads

These products are designed to connect power equipment and CV cables, and are available in voltage classes ranging from 66/77kV to 275kV. These products are designed to reduce the total space required for power equipment and substations.

SICONEX® solves a problem in the field

SICONEX® solves various problems of electric power infrastructure with new technologies and ideas.

Conventional termination joints were all assembled on site, but the plug-in structure of SICONEX® allows connection work to be carried out by inserting the connection material into the cable head pre-installed on the power equipment, thus saving labor on site and shortening the construction period. In addition, the conventional porcelain casing type air termination connection was injected with insulating oil inside. By using solid insulation, we have created a completely dry product that is lightweight, compact, environmentally friendly, and highly reliable.

【 Plugin structure 】

Plugin structure

【 Completely dry construction 】

Completely dry construction

【 Comparison of Product Size 】

Comparison of Product Size

【 Comparison of Work Process 】

Comparison of Work Process

SICONEX® Growth in demand

SICONEX® Growth in demand

~ Communication and Industrial Devices Business Segment ~
Rollable ribbon "e-Ribbon®" for ultra-fine, high-density optical cables

What's e-Ribbon® ?

e-Ribbon® is a rollable ribbon for ultra-fine, high-density optical cables.
With the growing demand for large-scale data centers due to the spread of the Internet, e-Ribbon®, which can accommodate a large amount of optical fiber and improve the workability of wiring installation, are now attracting a great deal of attention.

e-Ribbon®

e-Ribbon®

Scenes where e-Ribbon® is useful

Hyperscale data centers with high processing power and enormous storage capacity are a key component of the information and communications infrastructure, and are expected to grow even more rapidly in the future. On the other hand, data center operators are constantly facing stiff competition for capital investment and operating cost reductions.
Therefore, we must face the urgent challenge of laying more optical fibers in a limited space in a fast and efficient manner. In addition, the pressure of rising construction labor costs in developed countries cannot be ignored. Under these circumstances, ultrafine-diameter, high-density optical cables that enable high-density and efficient wiring installation work play an active role.

Global Data Center Market Forecast

Global Data Center Market Forecast

Source: Compiled by Our Company from various reports

Rollable Ribbon "e-Ribbon®" satisfies both needs.

The more advanced the physical layer infrastructure of the data center, the more optical fibers are routed, and the more complicated it becomes to connect a large number of optical fibers.
For this reason, optical tape core wires, in which several individual optical fibers are bundled together and coated in a batch, are now used, but while it improved workability, it was weak against curvature in the width direction and had problems such as a large outer diameter when storing large quantities in optical cables.
On the other hand, although it is possible to store a large number of single-core optical fibers in an optical cable, smooth operation cannot be expected when connecting each optical fiber.
In response, we applied our optical design technology to develop e-Ribbon®, Rollable Ribbon in which many optical fibers are precisely linked together while maintaining the deformable and flexible characteristics of single-core optical fibers.
e-Ribbon® suppresses strain on the optical fiber itself even when stored in large quantities in a cable, and enables batch splicing of multiple fibers when performing splicing work.
Therefore, the two needs of reducing cable diameter and improving workability during wiring can be met at the same time.

Rollable Ribbon

The fastest, most efficient, transportation cost-saving, benefit-packed e-Ribbon®.

The reduction of cable diameter and improvement of workability are directly related to the cost of wiring installation work. When laying a large amount of optical fiber in a confined space such as an existing conduit, additional new conduit may be required, but a smaller diameter cable is not necessary.
The thinner diameter also makes it possible to wind longer lengths on a single drum. For example, when laying a 12-km cable, an ultra-thin, high-density optical cable using e-Ribbon® (= e-Ribbon® cable*1) requires less than half the number of connection points compared to conventional cables.
Furthermore, e-Ribbon® cables can be connected in batches of multiple cores, which speeds up the work and allows wiring installation to proceed in the fastest and most efficient manner possible.
Not only that, but the number of drums to be loaded on trucks can be reduced, which is beneficial in terms of transportation costs. Reducing the number of trucks used for loading is also effective in reducing CO2 emissions during transportation.
*1 In case of e-Ribbon® Slot-less Cable

Only one 10-ton truck is needed to transport 12,000 core-km worth of optical cables.

Only one 10-ton truck is needed to transport 12,000 core-km worth of optical cables.

Aiming to promote e-Ribbon® in anticipation of the ICT society beyond the New Normal Era.

In business, remote work has rapidly spread as an "initiative to reduce contact opportunities," and in general life, games, video streaming, online shopping, and food delivery have become widespread due to the increase in "nest egg demand." The era has evolved into a new normal.
As these changes in society continue to accelerate, the speed and smoothness of Internet and Web access will become increasingly essential, and large amounts of data will be increasingly concentrated in data center infrastructure. Hyperscale data centers will focus on increasing optical fiber for the foreseeable future, and the use of thin, high-density optical cables will expand.

Based on our track record of e-Ribbon® cables in Japan, we have developed the thin, lightweight, high-density "e-Ribbon® Slot-less Cable" and "e-Ribbon® Loose Tube Cable" to meet customer needs for the mass installation of optical fibers in overseas data centers, which will continue to expand in the future.

We have also added 200㎛ optical fibers, which are thinner in outer diameter than ordinary optical fibers, to our product lineup, and will promote e-Ribbon®, a unique technical Rollable Ribbon with easily deformable but precisely linked optical fibers, throughout the world.

e-Ribbon®

※ e-Ribbon® is a trademark of SWCC SHOWA CABLE SYSTEMS CO.,LTD.

~ Electrical Equipment and Components Business Segment ~
Oxygen-free copper MiDIP®

What's oxygen-free copper MiDIP®?

Oxygen-free copper is 99.96% or higher copper that contains almost no oxides.
Our oxygen-free copper has a copper purity of 99.99% or higher because it is made from electrolytic copper, which has few impurities.
Oxygen content is close to zero, less than 10 ppm.

MiDIP®

MiDIP®

Scenes where oxygen-free copper MiDIP® is useful

Our oxygen-free copper MiDIP® has high purity, high electrical conductivity, low hydrogen embrittlement, and excellent processability. As a result, it's used in a wide range of fields, from electronic components that require precision processing to automotive components and audio equipment. Particularly in recent years, demand has been expanding rapidly due to the accelerating shift to xEV.

Our oxygen-free copper MiDIP®
market Forecast

Source: Prepared by the Company based on various market reports

Characteristics of oxygen-free copper MiDIP®

Compared to ordinary tough pitch copper, the difference is obvious.
It has low oxygen content, high electrical conductivity, and excellent workability.

Characteristics of oxygen-free copper MiDIP®
Characteristics of oxygen-free copper MiDIP®

Copper production methods oxygen-free copper MiDIP®

This is the only facility of its kind in Japan, and the entire process, from the loading of electrolytic copper and copper base wire to rough-drawn copper wire, is carried out in atmospheric gas and vacuum. It is completely isolated from the oxidizing environment.

【 The Only Dipforming System in Japan 】

The Only Dipforming System in Japan

~ New Business Segment ~
Tri-axial Superconducting Cable

What's Tri-axial Superconducting Cable?

When electricity is passed through copper or aluminum, Joule heating due to resistance and power transmission losses occur. However, certain materials exhibit zero electrical resistance under cryogenic conditions. This is superconductivity.

Effect of superconducting phenomenon

With the need to reduce greenhouse gas emissions as a countermeasure to global warming and the effective use of electric power as an urgent issue, superconductivity technology has attracted much attention in various fields, including electric energy, electronics, medicine, and transportation, as a highly efficient power supply technology that does not cause power loss.
On the other hand, since it requires continuous cooling with liquid nitrogen to maintain the superconducting state, the low cost of the cooling system has been an issue for practical use.
Therefore, we conducted a demonstration test at a private plant from November 2020 to September 2021 under NEDO's "Strategic Energy Conservation Technology Innovation Program," including the effective use of cold heat in the plant, and realized the cost reduction of the cooling system.
In this demonstration test, SWCC's Y-series superconducting wire was selected for its suitability for industrial applications, and tri-axial superconducting cable was used for the cable structure, which has a wide range of applications such as "low voltage and high current" and can be made compact at a low cost. Incidentally, a comparison between a normal-conducting bus cable of the same specifications and tri-axial superconducting cable shows that the cross-sectional area is about 1/60, which is a drastic downsizing.

Types of superconducting cables
Normal conduction cable, Tri-axial cable

What's Tri-axial Superconducting Cable?

Target Markets |Business users

The plant should have LN2 storage facilities on site in order to reduce cryo-cooling costs by using the existing cooling system

Solving social issues through this project concept

Energy saving and low CO2 emissions

  • Reduction of power transmission loss by superconductivity
  • Need to spread superconducting cables
  • Effective use of discarded refrigerant to cool superconducting cable
Relationship between initial investment payback year and energy savings

Initial investment payback years (years)

Relationship between initial investment payback year and energy savings

Distribution of plants in Japan by type of industry where replacement with superconducting cables is thought to be possible

Distribution of plants in Japan
by type of industry where replacement
with superconducting cables is thought to be possible

Cable installation site

Bird's eye view from the west

Source|Geospatial Information Authority of Japan

Bird's eye view from the west

Items of the developed superconducting cable system

D. Safety of superconducting cable system operation

Development of superconducting cable systems
including power components

  • A. Terminal of the tri-axial cable (New insulation material developed by BASF is applied.)
  • B. Cable joint with low-resistance for future cable extension
  • C. Designed for 10,000 hours of continuous operation sub-cooled cooling system
  • D. Centralized management by monitoring system

Summary results obtained from the demonstration test

Local installation support

  • A cable of approximately 200 m in length was bent 90 degrees at four locations and laid at a height difference of 5 m
  • Established low-resistance cable joint technology to enable cable extension

Cooling

  • Maintained circulating cooling with liquid nitrogen for about one year, including a height difference of 5 m above ground level
  • Maintenance of stable liquid nitrogen cooling for about one year, despite extreme heat (effective use of monitoring system)
  • Accident-free and maintenance-free operation of the pump was achieved

Energy saving effect

  • Assumption|1 km of superconducting cable is applied in a large-scale power utilization plant of 30 MW or more that already has nitrogen or hydrogen refrigerant
  • Power transmission loss Reduction of 95% or more
  • Energy-saving effects/year (crude oil equivalent) 110 kL

Contribution to social issues and future prospects

Currently, the transmission loss in the domestic power transmission and distribution network is about 5%, and 48 billion kWh, equivalent to five nuclear power plants, is lost as transmission loss every year. Therefore, based on the results of this demonstration test, we compared the transmission loss generated in one year when a 3 kA 3-phase AC current is applied to a 1 km-long 3-phase coaxial superconducting cable and a conventional cable (CV cable). The comparison results are shown in Figure 1. As a result, it is clear that replacing the conventional cable with a three-phase coaxial superconducting cable system will reduce the amount of transmission loss generated by the conventional cable by more than 95%. At the same time, we have confirmed a reduction of 554 tons per year in CO2 emissions (annual energy savings of 110 kL in crude oil equivalent). This has proven the insulation performance of the superconducting cable system and the safety of the cooling system.
The energy-saving effects of the introduction of superconducting cables will be even greater when they are applied to power grids that carry large currents, so they are expected to be used in plants that use large amounts of power, in power plant bus bar lines, and in smart city infrastructure in the future. We believe that the company will continue to develop new products and services to meet the needs of the market.

Annual power transmission loss comparison

PRESS RELEASE Dec. 17, 2021
"The World's First Demonstration Test to Install a Tri-axial Superconducting Cable System into a Commercial Plant Grid Completed"

YouTube video
"The world's first demonstration test to install a superconducting cable into a commercial plant system was completed"

National Policies that Provide a Tailwind

The Kishida cabinet has announced a policy to formulate The "Clean Energy Strategy" in June 2022.

On January 3, 2022, the government announced that it will build a next-generation power grid to promote renewable energy. The idea is to build a large-capacity power grid to transmit renewable energy to large consumption areas in urban areas. Prime Minister Fumio Kishida has instructed the government to indicate this in the "Clean Energy Strategy," which will be formulated for the first time in June 2022. The government has clearly stated that the entire country will be involved in this project, and has set forth an investment plan totaling 2 trillion yen. The policy is to encourage private sector participation.

Ministry of the Environment HP "Practices for Transition to a Decarbonized Society" PDF

Related products

"Digital Garden City State"

The Kishida Cabinet has proposed the "Digital Garden City State" concept with the aim of correcting the disparity with the Tokyo metropolitan area and dispersing the concentration of people in the metropolitan area by building and improving the digital environment in the rural areas.
The plan calls for "early deployment of 5G and other technologies (to raise population coverage to 90% by FY2023)" and "universal service for optical fiber (to cover 99.9% of households by 2030). To accelerate infrastructure development in rural areas, the plan includes promoting the development of 5G base stations and promoting the development of optical fiber and other services.

Cabinet Secretariat HP "Digital Garden City State executive meeting"

Related products

Japan's Greenhouse Gas Reduction Targets

On April 22, 2021, the Japanese government announced at the U.S.-sponsored Climate Summit (held online) that it will aim for a 46% reduction in greenhouse gas emissions in FY2030 compared to FY13, an ambitious goal consistent with 2050 carbon neutrality, and will continue to challenge for a further 50% reduction.

Ministry of Foreign Affairs HP "Japan's Emission Reduction Targets"

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