Enabling highly accurate risk detection in shareholder control network analysis for economic security AI solutions...

FRONTEO Inc. (Headquarters: Minato-ku, Tokyo; President and CEO: Masahiro Morimoto; hereinafter referred to as FRONTEO) has launched an AI solution for economic security business measures equipped with its proprietary specialized AI "KIBIT." "KIBIT Seizu Analysis" OfWe are pleased to announce that we have obtained a patent in Japan for our new technology for shareholder control network analysis (hereinafter referred to as this technology).

[Patent outline]
Patent registration number: Patent No. 7617585
Registration date: January 2025, 1

With this technology, it is theoretically possible to detect effective shareholder control routes and remote control from organizations of concern or countries with 100% accuracy for any shareholder control network structure.

Recently, it has become clear that in some cases, there are effective control routes from suspicious organizations or countries in networks that originate from "shareholders" who directly or indirectly hold shares in companies, and there are concerns that information may be leaked to suspicious organizations or countries via these shareholders. This technology considers effective control by shareholders two levels above as a risk, and by comprehensively detecting remote control, it achieves wide-ranging and highly accurate risk detection.

With this grant, FRONTEO has obtained patents for all 10 patent applications related to KIBIT Seizu Analysis since it began working in the field of economic security in 2021. The Company will continue to conduct research and development of AI technology that realizes innovative analysis and its implementation in society, thereby enabling shareholders to understand their effective control and potential risks, and supporting the formulation and promotion of corporate strategies and the realization of long-term business continuity plans.

■About KIBIT Seizu Analysis　URL: https://osint.fronteo.com/
KIBIT Seizu Analysis is a system equipped with FRONTEO's proprietary analysis technology that performs network analysis of supply chains and the control status of companies by their actual shareholders for the purpose of economic security measures. Currently, we offer the following three solutions.
① Supply Chain Analysis Solution : Understand choke points (strategically important points) in the supply chain, potential connections with concerned organizations, and degree of dependence.
② Shareholder Control Network Analysis Solution : Analyze the influence between shareholders in a complex network using a unique method that adjusts for indirect shareholding ratios to understand the propagation of hidden control
③ Researcher Network Analysis Solution : Regarding research and development related to sensitive technology, analyze the personal connections of researchers, focusing on their organizations, etc., and understand the risks based on this.

■ About FRONTEO　URL:https://www.fronteo.com/
FRONTEO supports the judgment of experts in various fields who face social issues day and night through the provision of its proprietary specialized AI "KIBIT," and creates the starting point for innovation. Unlike general-purpose AI, our proprietary natural language processing technology (patented in Japan and the United States) enables high-speed and high-precision analysis without relying on the amount of training data or computing power. In addition, by utilizing patented technology that maps (visualizes the structure) the analyzed information, "KIBIT" can directly influence the insights of experts, and in recent years, KIBIT's technology has also been used in hypothesis generation and target discovery in drug discovery.
Through KIBIT's unique technology and approach, we aim to realize the philosophy of "providing solutions that do not overlook risks and opportunities buried in records, and realizing fairness in the information society." We are promoting social implementation in various fields of legal tech AI.
Founded in August 2003, listed on the Tokyo Stock Exchange Mothers (currently Tokyo Stock Exchange Growth) on June 8, 2007. Has operations in Japan, the United States, South Korea, and Taiwan. Obtained Type 6 medical device manufacturing and sales license, and filed for controlled medical device sales. Capital: 26 yen (as of August 898,618, 2024).

*FRONTEO, KIBIT, and Seizu Analysis are registered trademarks of FRONTEO in Japan.