VELDT and LTS concluded consulting partnership agreement
to roll out Causal AI "xCausal™" Accelerating causal-based
decision making across various industries

VELDT Inc. (Headquarters: Shibuya, Tokyo; CEO: Jin Nonogami, hereafter “VELDT”) has concluded a consulting partnership agreement with LTS, Inc. (Headquarters: Minato, Tokyo; Representative Director: Hiroaki Kabashima, hereafter “LTS”) to expand the use of its causal AI “xCausal™” for rapidly estimating causal relationships from data.

Through this partnership, "xCausal™" will be combined with LTS's consulting expertise that LTS has provided to various organizations, including corporations and government agencies, to develop and promote new solutions based on causal relationships. This approach aims to address challenges that were difficult to resolve with correlation analysis alone. VELDT will expand its partner program by working with companies with expertise in a variety of industries and sectors.

VELDT is deploying "xCausal™," a causal inference platform that accelerates the discovery of solutions and new hypotheses by quickly estimating causal relationships through data utilization, across a wide range of fields requiring rapid cause identification and solutions, from healthcare and wellness to manufacturing, finance, and distribution.

Currently, many companies and organizations are hypothesizing and verifying causes of issues based on correlations, which often results in significant time loss due to the need to redo analyses caused by spurious correlations. "xCausal™" enables rapid virtual trial and error of causal relationships in minutes by combining proprietary technologies developed in-house with the latest causal discovery and inference techniques. This allows for shorter R&D cycles, higher success rates, and more productive utilization of skilled personnel.

However, the selection and use of data that contribute to the discovery of causal relationships vary by industry and field, and leveraging this specialized knowledge is crucial for improving the accuracy of cause identification. Based on this, VELDT has entered into a partnership agreement with LTS, a company that supports and provides consulting services to a wide range of organizations. Based on this, VELDT will be able to more effectively utilize "xCausal™" for LTS's clients, which include corporations and government agencies. Additionally, LTS will be able to offer new value to clients and achieve essential problem-solving through causal inference using "xCausal™."

VELDT aims to expand its partner program through this partnership agreement by collaborating with partner companies possessing specialized knowledge in various industries and fields such as manufacturing, retail, finance, healthcare, and marketing. This will promote the use of "xCausal™" in diverse industries and sectors, enabling more specific and effective solutions to customer issues and fostering mutual development.

■Director of the Data Analytics Division, LTS, Inc.: Takumi Bannai

Our strength lies in data science and consulting services. We have entered into a partnership agreement with VELDT to leverage their causal inference platform “xCausal™” and technical capabilities to help our clients take their data utilization to a more advanced stage. In recent years, the use of data in companies has become widespread, with numerous tools for visualization and forecasting emerging, yielding positive results. However, there are many situations where visualization and forecasting alone are insufficient to truly transform a business, and the understanding of “cause-and-effect” relationships is necessary to utilize data in more important processes. On the other hand, understanding “cause-and-effect” relationships is technically challenging and there are few easy-to-use tools available, making it a high hurdle for many companies to tackle. To meet these challenges, xCausal offers a rare combination of high technology and ease of use and interpretation required for business decision making. We believe that by integrating our corporate transformation consulting with xCausal's robust platform, we can elevate corporate data utilization to the new level.

■About “xCausal™”

Web site: https://xcausal.com/en/

xCausal™ is a SaaS-based causal AI platform that emphasizes ease of use, allowing users to start using it simply by uploading data. xCausal™ offers unique features that enable rapid and straightforward execution of causal structure computation, known as "causal discovery," which required supercomputers in some cases. Based on assumptions of causal relationships, xCausal™ recommends data that are strongly related to the outcome, based on causal assumptions. It allows users to model the causal structure in as little as a few dozen seconds by focusing calculations on important variables (causal discovery). Additionally, it allows users to seamlessly simulate causal effects by virtually changing variables considered to be causes, demonstrating how outcomes might change (causal inference). This capability enables quick confirmation of causal relationships and facilitates iterative virtual trial-and-error, aiding in understanding causes and making informed decisions. Moreover, through professional services, custom usage tailored to various needs is also available.

■About Partner Program

VELDT implements two models as part of the xCausal™ partner program and will work with partner companies with expertise in each industry and domain.

• 1. Consulting Partners: Partner companies provide consulting services for "xCausal™", while VELDT directly offers "xCausal™" to clients. Consulting partners can access the "xCausal™" environment of their own clients to provide analysis and consulting services.
• 2. VAR (Value-Added Reseller) Partners: Partner companies integrate "xCausal™" into their own services, adding unique value propositions. They can incorporate "xCausal™" as an optional feature into applications or services they provide, integrate it with other AI models, and enhance the value of their existing services.

■About LTS, Inc.

LTS, Inc. aims to be the best partner in the digital era by enhancing our client's ability to implement transformations. We offer professional services primarily focused on consulting, as well as platform businesses that connect companies and talent in the IT industry, creating new business opportunities.

■About VELDT Inc.

VELDT is a data science company that develops data analytics technology for the real world and society. While technological innovations such as the internet and AI have brought convenience, modern society faces new social and environmental issues as side effects. Since its inception, VELDT has made “Life Tech Rebalance” its mission, aiming to create a positive spiral in human society and the global environment by innovating not only technological advancements but also the ways in which technology is utilized.