For habitat innovation, efforts will be made to deal with basic problems previously cited. Solutions to all problems will be planned from the following three perspectives.

• Structural readjustment: The structural cost performance of society will be improved. Providing policy readjustment and information technology infrastructure will switch over to methods that impose low cost relative to social value.


• Innovation: Social loss will be thoroughly eliminated. Excessive consumption of resources that does not contribute to social value will be eliminated by optimization technology applying data, ending waste throughout society.


• QoL: QoL (Quality of Life) will be improved through new services. New services using data will be created, enabling individuals to lead more humane lives. These three perspectives can be represented by the following formula which calculates per-capita social cost.

(Social cost/population) = (social cost/resource consumption) × (resource consumption/benefits) × (benefits/population)

Each term on the right side represents structural readjustment, innovation, and QoL respectively, and the concept of this formula is that reducing both the first and second terms reduces the left side and improves the third term. Through habitat innovation, accumulated knowledge of engineering, social sciences, and the humanities held by the University of Tokyo will be used to discern what the improvement of QoL at the individual level is and clarify the respective roles policy and technology play in the improvement of QoL. Hitachi’s experience in the social innovation business will be utilized to develop technologies such as a platform for interdisciplinary use of data, social and individual benefit simulation technology, and system architecture with high followability which permits finely-tuned response to long-term demand fluctuations and latent needs. Its aim is to realize Society 5.0 through social implementation of these with a sustainable business model and policy proposals.