What Musashi Engineering does

Musashi Engineering Co., Ltd. (武蔵エンジニアリング株式会社) is a privately held Japanese specialist manufacturer founded in 1978 as a spin-off from Musashi Co., Ltd.'s product development department, operating as a subsidiary of the diversified Musashi Group. The company designs, develops, and manufactures hardware-software integrated systems in three product pillars: (1) currency processing equipment for financial institutions including banknote counters, coin sorters, banknote banding machines, cash recyclers, and a new foreign currency exchange system; (2) election administration systems for Japanese government agencies and municipalities, featuring handwritten OCR ballot readers achieving 95% recognition rates at 660 sheets per minute with multi-stage classification into up to 125 stacking units; and (3) important-item management machines for passbooks, certificates, keys, and cards using RFID and auto-detection. Underlying proprietary technology spans handwritten character recognition OCR, high-speed banknote/coin authentication, paper transport and orientation alignment, RFID tracking, and full-color mark card reading.

The company employs 65 people (as of February 2024) across a Tokyo headquarters, a Yokohama/Isogo manufacturing factory with proprietary production management systems, and an Odawara System Center established in 2021 for software design and development. Revenue is generated through one-time hardware sales to government and financial institution customers, OEM/outsourcing unit sales to partner companies, custom development (受託開発) services, and one-time license sales of election management software. Go-to-market is direct B2B enterprise sales mediated through parent company Musashi Co., Ltd.'s nationwide Tokyo and Osaka branch network, with international export reach spanning 30+ countries including the USA, Canada, Germany, the UK, and France, supported by approximately 60 partner companies. The company holds ISO 9001:2015 certification (since 2004) and ISO/IEC 27001:2022 certification (since July 2024) covering joint information security with affiliated Musashi Group entities.

Name

Musashi Engineering

Legal name

武蔵エンジニアリング株式会社

Website

https://tellac.co.jp

Company type

Private

Founded year

1978

Operating status

Operating

Headcount range

51–100 employees

Short description

Musashi Engineering is a privately held Japanese specialist manufacturer of currency processing equipment, election ballot-reading machines, and important-item management systems, serving government agencies, banks, and retail customers in Japan and 30+ international markets with proprietary handwritten OCR and high-speed authentication technology.

Ownership category

akta.pro rank

Headquarters

HQ city

Minato

HQ country

Japan

HQ region

Asia

Offices3 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Personnel, Supply Chain, Operations, Technology or R&D, Infrastructure

Revenue model

1. Hardware Product Sales: Sale of currency processing equipment (banknote counters, coin sorters, cash recyclers), election vote counting machines, and important item management systems. One-time hardware purchase model, with associated maintenance revenue through affiliated companies.
2. Custom Development (Outsourcing / 受託開発): Custom design and development services for systems and technologies including OCR input, automation, and hardware/software design. The company offers end-to-end in-house capabilities from planning through software and hardware design and manufacturing.
3. Election System Software: Software solutions for election management including voter registry, advance voting, election day voting, and overseas voting systems. Sold to government agencies and municipalities.
4. Outsourcing Unit Manufacturing: Manufacture of units (reading, counting, sorting, storage) that are integrated into customers' own equipment and systems, provided as outsourced production to partner companies.

Go-to-market motion2 records

Distribution channels3 records

Marketing channels3 records

Core offering

Musashi Engineering designs, manufactures, and sells specialized hardware and software systems for currency processing (banknote sorters, counters, cash recyclers, banding machines, coin sorters) and election administration (handwritten OCR ballot reading/sorting machines, ballot counters, voter registry and voting management software). The company also produces important-item management machines for keys, cards, passbooks, and certificates, and offers custom OEM units and contract development services to its customers.

Product overview

Musashi Engineering operates as a hardware and software product company with two main pillars: financial/currency processing equipment and election administration systems. The product portfolio spans six categories: (1) financial-general system machines including banknote sorting, counting, depositing, strapping machines and coin sorting/counting machines, all branded 'tellac' (e.g., tellac850HA4, tellacARS, tellac20N, tellacLA20, tellac212CS, tellac234NCD); (2) cash settlement management systems and foreign currency exchange systems; (3) election system hardware including ballot paper reading/sorting machines (CRS-VAn, CRS-VA series) and ballot counting machines (tellac20BPN); (4) important-item management machines for passbooks, certificates, keys, and cards (tellacPB7, tellacMK30J, tellacKC350Y, tellacCH50N); (5) outsourcing/OEM units for reading, counting, sorting, and storage (CHM2 coin unit, MCR-S mark card reader, CBSD bar-coin storage); and (6) election system software covering voter registry, advance voting, election-day voting, and overseas voting. The company also offers custom development services leveraging its core technologies in handwritten OCR, banknote/coin authentication, document sorting, and strapping.

Differentiator

Problem solved

Functional benefit

Products and services

• tellac850HA4 Banknote Sorting and Banding Machine (紙幣整理機 tellac850HA④) Sorts mixed-denomination banknotes by denomination and front/back orientation, counts them, and bands 100 notes per bundle with a date stamp at 720 notes per minute. Equipped with high-precision banknote authentication. For financial institutions and cash-intensive enterprises.
• tellacARS Banknote Sorting and Counting Machine (紙幣入金機 tellacARS) Sorts and counts mixed-denomination banknotes by denomination and front/back orientation at 1,000 notes per minute. For banks and financial institutions.
• tellac20N Banknote Counter (紙幣計数機 tellac20N) Counts banknotes at 2,000 notes per minute with detection of double feeds, folded notes, and jams. For financial institutions and cash-handling enterprises.
• tellacLA20 Large-Bundle Banding Machine (卓上型大束帯封機 tellacLA20) Creates large bundles by wrapping straps around 10 small bundles of notes, completing one-direction strapping at 14 seconds per bundle. Handles circulating, fully intact, and damaged notes. For financial institutions.
• tellac212CS Coin Sorting and Counting Machine (硬貨選別計数機 tellac212CS) Sorts mixed coins by denomination, counts them at 700 coins per minute, and stores them in vault boxes with high-precision coin authentication. Supports terminal controller integration for system connection. For financial institutions.
• tellac234NCD Automatic Cash Recycler (現金自動収納機 tellac234NCD) Counts mixed banknotes (600/minute) and coins (650/minute) and stores them in high-capacity vault boxes. Banknote authentication detects denomination, double feed, missing corners, and chained notes; coin authentication verifies denomination and authenticity. For financial institutions.
• Cash Settlement Management System (精算管理システム) Shortens cash register settlement time and ensures accurate sales money management using banknote and coin counting machines with configurable settings. Compact design (under 500mm width). For retailers and cash-intensive businesses.
• Foreign Currency Exchange System (外貨両替システム) Provides fast and reliable foreign currency exchange through automated mechanical processing with multi-currency banknote counting, coin recycling, and report output via connected aggregation PC. For financial institutions and money exchange operators.
• CRS-VAn Ballot Paper Reading and Sorting Machine (自書式投票用紙読取分類機 CRS-VAn) Sorts ballot papers by candidate using handwritten character recognition OCR technology. Aligns paper orientation for sheets that are mixed in front/back and top/bottom directions. For government election administration agencies.
• tellac20BPN Ballot Paper Counter (投票用紙計数機 tellac20BPN) Counts ballot papers at 1,600 sheets/minute and postcards at 1,000 sheets/minute. For government election administration agencies.
• tellacPB7 Passbook and Certificate Management Machine (通帳・証書管理機 tellacPB7) Manages issuance of passbooks and certificates, strictly controls them, and automatically records usage history. For banks, building management, security, and insurance companies.
• tellacMK30J Key Management Machine (鍵管理機 tellacMK30J) Manages key check-out and return, controlling up to 30 keys with strict management. Key attachment to holders requires no wire. For facility management, security, and financial institutions.
• tellacKC350Y Key/Card Management Machine (鍵・カード管理機 tellacKC350Y) Manages keys, cards, and drawer/cabinet operations with automated usage history recording. Controls keys, cards, and storage cabinet doors/drawer units. For facility management and security companies.
• tellacCH50N Card Management Machine (カード管理機 tellacCH50N) Manages card check-out and return, controlling up to 50 cards with strict management. Compact size enables fast card retrieval and return. For facility management, security, and financial institutions.
• CHM2 Coin Deposit/Withdrawal Unit (硬貨入出金ユニット CHM2) OEM unit for coin sorting, counting, and withdrawal management with coin authentication at 660 coins per minute. Stores counted coins and supports coin dispensing. Integrated into partner companies' equipment.
• MCR-S Mark Card Reader Unit (マークカードリーダー ユニット MCR-S) OEM unit detecting filled-in marks on mark cards. Compact design (140mm width x 280mm depth x 150mm height). Reads mark cards and sends fill/no-fill detection results to a host PC. For partner companies integrating into their own systems.
• CBSD Bar-Coin Storage Unit (棒金保管庫 CBSD) OEM unit managing coin bars (50 coins film-wrapped per bar). Drawer tray insertion/extraction is managed by a host controller. Tray opening/closing triggers sensors that detect bar coin denomination and quantity. For partner companies integrating into their own systems.
• Election Management Software Suite (選挙システムソフトウェア) Comprehensive election management software suite comprising four systems: voter registry management, advance voting day system, election day voting system, and overseas voting system. All systems comply with government information system standards, improving efficiency, reducing errors, and accelerating election administration. For government agencies and municipalities.

Quantifiable outcome

• 660 sheets/minute OCR reading speed for handwritten election ballots
• +5 more outcomes

Named customers5 records

Segments4 records

Ideal customer profiles4 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability5 records

Feature8 records

Partnerships

Eight partnerships are on record, tiered core, supporting and minor.

• 株式会社ムサシ (Musashi Co., Ltd.)coreChannel Partner/ Reseller/ DistributorParent company of the Musashi Group. Musashi Engineering was spun off from Musashi in 1978. Musashi Co., Ltd. serves as the primary sales and distribution channel for Musashi Engineering's products, handling sales of currency processing equipment, election equipment, and related machinery systems to financial institutions and government clients. Located at Tokyo Midtown in Roppongi.
• ムサシ・フィールド・サポート株式会社 (Musashi Field Support Co., Ltd.)coreImplementation/ SI/ Consulting PartnerSpecialized maintenance company for Musashi products. Operates two call centers (Tokyo and Osaka) with weekend and nighttime support coverage, helpdesk system, and nationwide maintenance network. Handles all maintenance requests for Musashi Group products.
• 株式会社ムサシ・エービシー (Musashi ABC Co., Ltd.)supportingTechnology or IntegrationData entry and image processing specialist company within the Musashi Group. Also included in the joint ISO/IEC 27001:2022 certification.
• ムサシ・イメージ情報株式会社 (Musashi Image Information Co., Ltd.)supportingTechnology or IntegrationSpecialized company in microfilm and document digitization. Also included in the joint ISO/IEC 27001:2022 certification.
• ムサシ・アイ・テクノ株式会社 (Musashi I Techno Co., Ltd.)supportingTechnology or IntegrationSpecialized company in film conversion and digital processing. Also included in the joint ISO/IEC 27001:2022 certification.
• 武蔵興産株式会社 (Musashi Kosan Co., Ltd.)minorOthersReal estate management company for the Musashi Group.
• 株式会社武蔵エンタープライズ (Musashi Enterprise Co., Ltd.)minorOthersProvides vehicle leasing and insurance agency services for the Musashi Group.
• エフ・ビー・エム株式会社 (FBM Co., Ltd.)minorChannel Partner/ Reseller/ DistributorTrading company selling printing and information-related equipment. Part of the Musashi Group distribution network.

Scale indicators8 records

Recent moves8 records

Expansion highlights4 records

Direct peers

• Election Systems & Software (ES&S): Largest US vendor of election equipment including ballot scanning/tabulating machines with proprietary OCR-like mark recognition. Directly comparable product category (vote counting/sorting hardware + election management software) though operating in US municipalities rather than Japanese prefectures.
• Hart InterCivic: US-based election systems vendor offering ballot scanning, vote tabulation, and election management software to state/county governments. Closely comparable to Musashi's election systems hardware/software business model though US-focused.
• Glory Ltd. Japan-based global leader in cash handling technology (banknote counters, coin sorters, cash recyclers) and facial recognition. Most directly comparable competitor in the Japanese currency processing equipment market with overlapping customer base of banks and retail.

Broad incumbents

• De La Rue plc: UK-listed global currency printing and authentication company offering banknote production, security features, and cash processing equipment. Overlaps with Musashi's currency authentication technology but operates at much larger scale across the full currency value chain (printing, substrates, authentication).
• NCR Atleos: US-listed ATM and self-service banking solutions provider spun off from NCR, focused on cash handling and financial institution automation. Comparable in serving bank cash processing needs but at much larger scale and broader product scope.
• Giesecke+Devrient (G+D): German global provider of currency technology, banknote authentication, and cash handling systems. Comparable currency authentication/counting technology but with broader portfolio including secure payment cards, identity, and digital security.
• Diebold Nixdorf: US-based global provider of banking equipment including ATMs, cash recyclers, and branch automation. Comparable currency processing capabilities targeting financial institutions, though much larger portfolio across retail and banking software/hardware.

Regional players

• Indra: Spanish-listed IT services company with election systems division providing vote counting and election management software/hardware primarily in Europe and Latin America. Comparable election systems product category but does not directly compete in Japan.
• Oki Electric Industry: Japan-based manufacturer of ATMs, cash recyclers, and currency processing equipment serving Japanese financial institutions. Comparable cash handling products and Japanese customer base but with broader portfolio including printers and telecom equipment.

Emerging players

• ClearBallot: US-based election systems vendor offering ballot scanning, vote tabulation, and audit tools for smaller US jurisdictions. Comparable election hardware/software product category but at much smaller scale and focused on US municipal markets.

Market position

Strengths4 records

Weaknesses5 records

Competitive moat5 records

Key risks5 records

Key highlights6 records

Customer concentration

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Musashi Engineering