Strengthen R&D to Stimulate Innovation

Since its founding, Toshiba Group has been working to solve social issues through its business activities. Toshiba will strengthen R&D aimed at stimulating innovation that will achieve carbon neutrality and realize a circular economy while maximizing its potential to the full by leveraging its strengths in technology and diverse development capabilities and combining the power of data with our core business areas of energy, infrastructure and devices.

KPIs and Achievements

Ratio of R&D expenses to sales (%)

FY2022 Target 5.0 % or higher
FY2022 Achievement 4.7 
FY2023 Target 5.0 % or higher
FY2022 Target 5.0 % or higher
FY2022 Achievement 4.7 
FY2023 Target 5.0 % or higher

FY2022 Key Achievements

  • Achieved an approximately 70% reduction of imbalance amount by improving the accuracy of forecasting the amount of renewable energy generation and by utilizing storage batteries
  • Established large-scale production technology for electrolysis electrodes for hydrogen production from renewables that cuts iridium use to 1/10
  • Toshiba’s on-board battery system combining lithium-ion secondary battery SCiBTM adopted for Tobu Railway Co. Ltd.'s new rolling stock
  • Constructed a multiplexed quantum key distribution system for a quantum network connecting U.S. universities and national laboratories

R&D Strategy


Global efforts toward carbon neutrality is accelerating with a focus on renewable energy conversion. In addition, with the growing threat of supply chain disruptions due to the increased severity of natural disasters, aging social infrastructure, a reduction in the working age population, pandemics, and geo-political risk, as well as the increased threat of cyber-attacks, the demand for infrastructure resilience is increasing. Under the strategies of Energy × Digital and Infrastructure × Digital, which aim to accelerate the evolution of the energy and infrastructure sectors through a move to digitization, we are working to provide society and our customers with optimal solutions to the issues they face by leveraging our strengths in having strongly differentiated devices, components, and cyber physical systems (CPS) technologies.
With the Energy × Digital strategy, we promote a move towards carbon neutrality in a seamless energy chain that encompasses “Generate”, “Transfer”, “Storage” and “Use Smartly”. With the Infrastructure × Digital strategy, we provide products, technology, and services that combine our know-how accumulated over many years on plant design, operations, and maintenance with AI and security digital technologies, based on the resilient life cycle of infrastructure works that encompasses “Prepare”, “Find”, “Protect” and “Maintain”. When it comes to semiconductors and storage, which are highly differentiated devices, we are continuing to strengthen our product appeal by enhancing mass production lines and promoting the development of compound semiconductors.
Under Toshiba Group’s Basic Commitment, “Committed to People, Committed to the Future.”, we will use these initiatives to work tirelessly to find resolutions to the pressing social issues of climate change and infrastructure resilience.

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Toshiba Group R&D Structure


Toshiba Group’s R&D structure comprises Toshiba’s R&D divisions along with the R&D divisions and design and technology-related divisions at its key Group companies, with R&D carried out through efficient delegation of functions between these respective divisions. Toshiba’s R&D division is working to deepen the Company’s underlying technologies from a medium- to long-term perspective, and is engaged in research targeting new business domains as well as innovative and cutting-edge R&D.
The R&D divisions and design and technology-related divisions at our key Group companies support the underlying technologies of their respective business domains, develop new products and differentiated technologies in line with business plans, and engage in efforts to commercialize and mass-produce products that can meet the demands of customers. Through this intra-division close-cooperation, we are able to deliver new products to the market.

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R&D Expenses


Toshiba has defined strengthening R&D to stimulate innovation as one of its material issues, and has set the ratio of R&D expenses to sales as a KPI.
The ratio of R&D expenses to sales in Toshiba Group stands at approximately 5%.

Ratio of R&D expenses to sales

FY2018 FY2019 FY2020 FY2021 FY2022 FY2023
(Target)
FY2024
(Target)
4.5% 4.7% 4.9% 4.6% 4.7% 5.0% or higher 5.0% or higher
FY2018 FY2019 FY2020 FY2021 FY2022 FY2023
(Target)
FY2024
(Target)
4.5% 4.7% 4.9% 4.6% 4.7% 5.0% or higher 5.0% or higher

R&D expenses (Achievements)

FY2018 FY2019 FY2020 FY2021 FY2022
167.5 billion yen 158.9 billion yen 150.5 billion yen 151.9 billion yen 156.4billion yen
FY2018 FY2019 FY2020 FY2021 FY2022
167.5 billion yen 158.9 billion yen 150.5 billion yen 151.9 billion yen 156.4billion yen

Breakdown of R&D expenses (FY2022)

Examples of R&D that contribute to solving social issues


Achieved an approximately 70% reduction of imbalance amount by improving the accuracy of forecasting the amount of renewable energy power generation and by utilizing storage batteries
Corresponding social issue: Response to climate change


Toshiba has developed a new method for forecasting the amount of renewable energy power generation in the FY2022 Renewable Energy Aggregation Demonstration Project*1, a demonstration experiment publicly facilitated by the Ministry of Economy, Trade and Industry, for which Toshiba Energy Systems & Solutions Corporation serves as the consortium leader. By controlling the storage battery while checking the actual amount of renewable energy power generation, we were able to reduce the imbalance*2 amount by an average of approximately 70%. We will address climate change by promoting the development of control technology utilizing forecasts for renewable energy power generation and storage batteries, and achieving stable and efficient power systems utilizing renewable energy through the renewable energy aggregation business.

Fig. 1: Jointly developed demonstration system (screen for checking predicted/actual power generation)

  • The official name of the project is “FY2022 Subsidy for Demonstration Project for Establishing Next-Generation Technologies Using Distributed Energy Resources such as Storage Batteries (Renewable Energy Aggregation Demonstration Project within the Renewable Energy Generation Aggregation Technology Demonstration Project).”
  • Imbalance is the difference between the amount of electricity demanded (used) and the amount of electricity supply that occurs when a renewable energy power generator is unable to achieve the same amount of electricity as planned amounts and actual simultaneously. If the amount of renewable energy power generation deviates from the planned value and the imbalance becomes large, it may cause a decline in the quality of the electricity supplied and power outages. In addition, an imbalance fee must be paid as an adjustment cost due to the imbalance.

Established large-scale production technology for electrolysis electrodes for hydrogen production from renewables that cuts iridium use to 1/10
Corresponding social issue: Response to climate change


Toshiba has developed large-scale production technology for the electrodes that realizes high level efficiency in Power to Gas (P2G) technology, essential know-how for advancing toward a carbon neutral society, while reducing the use of iridium, one of the world’s rarest precious metals, to 1/10. P2G uses electrolysis of water to convert renewable energy into hydrogen, for storage and transportation to where it is needed. Proton Exchange Membrane (PEM) electrolysis is seen as a highly promising conversion method, as it reacts rapidly to power fluctuations and is highly durable. However, PEM uses iridium, one of the rarest of all traded precious metals, as the catalyst in its electrodes. Practical application requires reduction of the iridium used, a real challenge. This advance is expected to drive forward the early commercialization of P2G for large-scale power conversion, and will contribute to the realization of carbon neutrality. In collaboration with Toshiba Energy Systems & Solutions Corporation, Toshiba has built membrane electrode assembly (MEA) prototypes with electrodes based on the developed technology, and has begun evaluation testing with a water electrolyzer manufacturer.  Going forward, the Company will improve the yield and quality toward mass production of MEA, aiming for commercialization in FY2023 or after.

An electrode cut from a substrate after sputtering

Toshiba’s on-board battery system combining lithium-ion secondary battery SCiB™ adopted for Tobu Railway Co., Ltd.'s new rolling stock
Corresponding social issue: Response to climate change


Toshiba Infrastructure Systems & Solutions Corporation has developed an on-board battery system that combines Toshiba's SCiB™ rechargeable lithium-ion batteries and a vehicle power supply system (SIV). Tobu Railway Co., Ltd. (Tobu Railway) has adopted the system for new rolling stock for the TOBU URBAN PARK Line, and plans its gradual roll-out from FY2024 as an initiative to reduce CO2 emissions.

Storing the regenerative energy generated when the train's brakes are applied, and using this energy as part of the auxiliary power for air conditioning, etc. contributes to energy-saving operations and a reduction in CO2. Furthermore, in the event of an emergency, such as equipment failure, power is supplied to the brake compressor and other parts required for driving operations to ensure diffuseness.

Toshiba’s rechargeable lithium-ion battery is used for the storage battery. SCiB™ has excellent characteristics, including high safety, long life with charges and discharges at over 20,000 times, and low-temperature operations that can withstand an environment below -30oC. In terms of safety, in particular, its structure is such that abnormal heat generation or a fire outbreak is highly unlikely even if external pressure is applied and an internal short circuit occurs.

In 2014, Toshiba Infrastructure Systems & Solutions Corporation delivered a Traction Energy Storage System (TESS) using SCiB™ for the TOBU URBAN PARK Line, which was the first time that an on-board system using  SCiB™ was combined with TESS.

Toshiba Infrastructure Systems & Solutions Corporation will continue to develop equipment and systems for railroad vehicles, and in addition to pursuing safety and convenience, will co-create carbon neutrality in accordance with the concepts of individual railroad operators.

Constructed a multiplexed quantum key distribution system for a quantum network connecting U.S. universities and national laboratories
Corresponding social issue: Strengthen cyber resilience


Toshiba America, Inc. and the Chicago Quantum Exchange, an R&D hub in the United States that develops basic technologies for the quantum Internet, have constructed and launched demonstrations of a Quantum Key Distribution (QKD) network using Toshiba’s multiplexed QKD system. The network link has been built using a section of the quantum network being built across the United States, connecting the University of Chicago and the U.S. Department of Energy’s Argonne National Laboratory, and has been used by researchers for demonstrations and research. Going forward, Toshiba will continue to develop quantum encryption communication technology, and work to strengthen the cyber resilience required in an information society.

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