KDDI Evolva and Relia Establishing Altius Link as an Integrated Company

Aiming for Heights with Digital BPO, toward a Trusted Partner

KDDI Evolva, Inc.

Relia, Inc.

KDDI CORPORATION

Mitsui & Co., Ltd.

July 20,2023

-- KDDI Evolva, Inc. (Head Office: Shinjuku-ku, Tokyo; President, Representative Director: Hajime Wakatsuki; KDDI Evolva), a wholly-owned subsidiary of KDDI CORPORATION (Head Office: Chiyoda-ku, Tokyo; President, Representative Director CEO: Makoto Takahashi; KDDI), and Relia, Inc. (Head Office: Shibuya-ku, Tokyo; President & CEO: Takashi Amino; Relia), an equity method affiliate of Mitsui & Co., Ltd. (Head Office: Chiyoda-ku, Tokyo; President and Chief Executive Officer; Kenichi Hori; Mitsui.) will establish Altius Link, Inc. (Altius Link) on September 1, 2023, in connection with a business integration based on a spirit of equality (the Business Integration) [

1].

Altius Link will develop a BPO business in Japan and overseas, including contact centers and back offices. Altius Link aims to become a leading company in digital BPO [

2] industry by advancing the sophistication of services through digitalization, including the use of generate AI (artificial intelligence), by leveraging the customer bases of both companies.

Background As labor shortages due to a shrinking workforce and the acceleration of corporate digitalization due to the spread of COVID-19 have changed the challenges and needs of society and companies. In the contact center industry, the business environment is at a turning point, as a shift from human-led to AI-led operations of conventional services, and a shift from voice to text and the Web due to the digitalization of consumer contacts. On the other hand, it is a challenge for companies to promote all digitalization by themselves.

Altius Link will contribute to customer companies growth by providing digital BPO including the contact center.

Integrated Company 1. What we aim for Aiming for heights with digital BPO, toward a trusted partner.

2. Description of Business

(i)

Contact center service;

(ii)

Back office service;

(iii)

IT solution service; and

(iv)

Other related services.

3. Synergies of 4 Companies Altius Links business scale is as follows: it has 240 billion yen of sales, more than 1,300 business partners, approximately 58,000 employees, and approximately 100 locations. It is the largest contact center in terms of sales in Japan [

3].

Altius Link will combine the strengths of the following companies to maximize synergies:

KDDI Evolva Extensive clients including contact center design and operation, telecommunications, infrastructure, etc., IT solutions and dispatch of engineers

Relia Extensive clients including contact center design and operation, municipality, infrastructure, finance, etc., overseas operations (Philippines, Vietnam, and U.S., etc.)

KDDI Knowledge in ICT and data fields, leverage of AI chat and metaverse

Mitsui Digital knowledge through IT service subsidiaries, discovery and business development of overseas high-technologies and services, and network of domestic and overseas group companies

4. Name of New Company When we decided to use Altius Link as our company name, we expressed our strong determination to evolve to the highest level of communication as a single team. We have chosen Altius Link, meaning ALTIUS, which means higher in Latin, and to keep the connection that both companies cherish in LINK.

In addition, the logo of the integrated company is a combination of A and L of Altius Link , which represents As attitude toward heights with an advanced straight line and a curve indicating its desire to grow organically with people and society. The symbol mark is also a cross between Q and A indicating our commitment to providing solutions that answer the questions of society and our customers.

For details of Altius Link, please refer to

https://www.relia-group.com/altius-link/ (in Japanese only).

Summary of Altius Link (Integrated Company) (scheduled) Name Altius Link, Inc.

Registered head office 3-2, Nishi-Shinjuku 2-chome, Shinjuku-ku, Tokyo

Title and Name of Representative Takashi Amino, President and Representative Director

Hajime Wakatsuki, Vice President and Representative Director

Description of Business (i) Contact center service;

(ii) Back office service;

(iii) IT solution service; and

(iv) Other related services.

Amount of Capital 100 million yen

Number of Employees Approx. 58,000

[1]

For details of the Business Integration, please refer to the following press release published in Relia:

Notice Regarding Execution of Agreement for Merger with Otemachi Holdings G.K. Financed by Mitsui., Ltd. and Execution of Agreement for Merger with KDDI Evolva, Inc.

[2]

Digital BPO means a BPO method whereby a series of outsourced operations are outsourced not only by human resources but also by utilizing digital technologies such as AI to achieve greater efficiency in outsourced operations.

[3]

FY2022: Based on KDDI Evolva and Relia research.

The information contained in the news releases is current at the time of publication. Products, service fees,service content and specifications, contact information, and other details are subject to change without notice.

LINK:	https://news.kddi.com/kddi/corporate/english/newsrelease/2023/07/20/68...
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