Microsoft, NTT DoCoMo Form Wireless Venture for Japan
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The deal is reportedly worth US$1.9 billion, with each company kicking in 100 billion yen (US$950 million) for the venture.
The new company, to be called Mobimagic Co. Ltd., will be formed as a Japanese corporation equally held by Microsoft (MSFT) and NTT DoCoMo. Mobimagic's charge is to develop and market co-created mobile data services to run via the NTT DoCoMo network.
The company will first offer wireless e-mail access and intranet applications over NTT DoCoMo's circuit-switched Personal Handyphone System wireless network.
The two companies touted their common vision of a wireless world as the impetus for the alliance.
In related news, NTT DoCoMo Tuesday announced that its "Internet access by mobile phone" i-mode service has exceeded initial expectations by attracting more than 2 million Japanese subscribers in its first eight months of service. The service was launched in February, and met its target of 1 million users in half the projected time span.