KONE entered into a strategic alliance with Toshiba Elevators and Building System Corporation in 1998, expanding the relationship through cross-ownership in 2002. Through this alliance, Toshiba has the right to manufacture and market elevators based on KONE’s machineroom-less technology in Japan.
From Februrary 2004 until February 2009, Masayuki Shimono, Executive Vice President and General Manager of International Operations for TELC served as a KONE Board Member. At KONE Corporation's Annual General Meeting in February 2009, Shunichi Kimura, President and CEO of Toshiba Elevator and Building Systems Corporation, was elected as a Member of KONE's Board of Directors.
In 2004, KONE and Toshiba agreed to strengthen their alliance through a long-term collaboration in the advancement of high-rise elevator technology. As a first step, KONE and Toshiba agreed to a licensing arrangement enabling KONE to supply high-speed double-deck elevators based on Toshiba’s proven technology and Toshiba to gain access to new markets outside Asia. The Alliance partners also agreed to exploit, on a case-by-case basis, the potential for collaboration in competing for and carrying out mega-projects around the globe.
In April 2005, both parties agreed to further strengthen their alliance by establishing an independent joint venture company for escalator production in China. The joint venture is the main source of escalators for both parties and offers a full range of escalator products based on KONE and TELC designs.