Our mission is to create Japanese cybersecurity solutions for the global market

FFRI, Inc. was founded by world-renowned cybersecurity engineer Yuji Ukai, who today is company president and CEO. FFRI has evolved steadily into a comprehensive cybersecurity solutions provider whose activities range from basic research to technology development and product design. Listed on the Tokyo Stock Exchange Mothers in 2014, FFRI has established a reputation as Japan’s technological leader in its field with unique offerings. We spoke with CEO Ukai about the history of the company and its productive working relationship with Mitsubishi UFJ Capital since 2008.

Background

—Aiming to establish homegrown cybersecurity solutions

“I spent my youth completely absorbed in programming after being given a computer in the fifth grade of elementary school.
“A major event that propelled me along the path to the present came in graduate school when a workstation I was using for research was damaged by hacking. I looked into it myself, managing to track down what appeared to be the source code for the vulnerability attack. When examining it, however, I found that the code was totally incomprehensible. It was a terrible shock, because up to then I had felt quite confident about my programming skills. But at the same time, it aroused my curiosity about the dark impenetrable world from which it had come.
“Later, when I started looking for a job, I wanted to work on security-related research or technology development, but at that time Japan’s security industry was not prepared to do anything more than import and sell products from overseas. In view of this, I ended up joining a company in which I could make best use of my expertise in medical image engineering, which was my research specialization at graduate school.
“Nevertheless, I continued to undertake research into security concurrently with working at my day job. I started to develop contacts with engineers and researchers overseas, and one day I was invited to join a US firm called eEye Digital Security, which at that time had gathered together many well-known engineers in the security field from around the world. With such a once-in-a-lifetime opportunity in the offing, I decided to go to America.
“It was a very fulfilling experience in the United States, working day in and day out with responsibility for tasks such as core engine development for some of the company’s flagship products. But at the same time, I felt very uneasy about the fact that the US was so dominant in the security industry insofar as it monopolized critical basic research and technology development and wielded massive business leverage. This meant that, if security risks unique to Japan arose, we would have no locally designed solutions to defend ourselves. After worrying about this for a long time, I finally came to the conclusion that, if nobody else in Japan was prepared to take the risk, I had a duty to step up to the plate myself. This sense of purpose led me to decide to start a business, and I returned to Japan.”

Working with Mitsubishi UFJ Capital

—We owe our current success to their support when the going was hard

“In the early stages, we occasionally took on R&D projects from other companies to generate cash for day-to-day operations, but simultaneously developed the seeds of technologies of our own. Then in 2008 we had a breakthrough with a defence technology against targeted attacks of a kind that in those days had not yet emerged as a threat, and today it forms the base of ‘FFR yarai’ one of our flagship products.
“I wanted to have a go at commercializing it, but to bring it to the market required a fully fledged organizational structure and funds. It was at this point that I encountered Mitsubishi UFJ Capital.
“We had confidence in our technology, aspiring to create a business not pursued by any global companies, from scratch. However, as we were a mere start-up, I am certain that Mitsubishi UFJ Capital was concerned about how we could proceed. But they came to firmly share our vision of establishing homegrown cybersecurity solutions, and took the decision to provide us with the needed funds.
“They also helped us out by subscribing for our shares in 2011, at a time when we needed additional funds in order to stay afloat and drive future growth. We are forever grateful for their help, and it is no exaggeration to say that without Mitsubishi UFJ Capital we would not be here today.”

Mitsubishi UFJ Capital’s characteristics

—A shared vision of using technology to make life better

“I really feel that Mitsubishi UFJ Capital is passionate about identifying high-value new technologies and delivering them to the widest possible audience as a way to give back to society. They are an absolutely reliable partner, working hand in hand with us as a start-up and putting in a great deal of hard work together with us.
“They were particularly helpful at the time of our listing on the Tokyo Stock Exchange Mothers, giving us very effective support in numerous aspects. Right up to the listing, they attended our monthly board meetings, meticulously shared information with us, and provided excellent advice on long-term capital policy. They also provided extensive hands-on support at the practical level, including helping us to find companies to be suitable sales partners.
“In recent years, there has been an increase in the number of sophisticated cyberattacks that have caused significant damage. It is common knowledge today that there are enormous profits to be made from cybercrime, and a burgeoning underground marketplace has emerged. Cybersecurity is assuming increasing importance, also becoming a major issue in the realm of national security.
“Today, FFRI technologies and products are used in government, governmental bodies, and other institutions such as major corporations. As new threats appear almost daily, at the risk of sounding boastful it has to be said that FFRI is the only Japanese company placed to provide security to cope with them by virtue of our unique technologies and know-how. Through its support for us, Mitsubishi UFJ Capital has played a major role in helping to protect Japan from cyberattacks and the threat of cybercrime. In that sense, from our perspective they are kindred spirits.”

To all aspiring entrepreneurs

—Stay true to your core vision, and reaffirm it constantly

“When you consider how your business can contribute to society, it is important to have a very clear idea of what it is that drives you: your core vision. If you can stay true to that vision, that will provide you with the motivation you need to get through the hard times that you will inevitably face along the way. At the same time, your commitment to the core vision will help you to work out how you are going to deal with challenges, and what you need to do.
“Human beings are fundamentally weak. When times get tough, it is easy to lose sight of your vision and perhaps even to start flirting with the idea of making compromises. But, when times are tough is precisely when you need to stand up and ask yourself what you are here for and why you are in that business. In my case, the core vision was to assemble a world-class security research team and to contribute thereby to the healthy management of our computer-oriented society, and reminded myself constantly to stay true to this vision. To this day, I still remind myself of it regularly.”

Interviewed in June 2016