NTT Docomo to set up joint venture with Baidu

Telecom Lead Asia: Japanese telecom operator NTT Docomo is setting up a
joint venture with Chinese search engine Baidu. NTT Docomo will buy 20 percent
equity stake in the joint venture for $22.5 million.

 

The Japanese major is on a content buying spree. In the
last 12 months, NTT Docomo announced a series of acquisitions.

 

The joint venture is aimed at working together on
offering digital content and services to mobile phones users in China.

 

Both companies announced their intention to start the
joint venture in January 2011.

 

The proposed joint venture will work under the Baidu Yi
Xin name.

 

The partnership will leverage Docomo’s experience in
value-added services to work with Baidu’s content.

 

Baidu Yi Xin will offer Japanese content to its users
from August.

 

As part of the alliance, Baidu will work with DeNA, a
mobile game networks in Japan, and mobile e-commerce companies.

 

The two will be distributing Japanese content that has
been adapted and localized to fit in the Chinese market.

 

NTT Docomo on a mobile content buying spree

 

NTT Docomo is increasing its presence in the mobile
content space. In the last 12 months, the Japenese telecom major announced a
series of acquisitions.

 

The acquisitions are significant for the Japanese major
as it is spreading its presence in the 3G and 4G market.NTT DOCOMO serves
over 56 million customers in Japan, including 49 million using i-mode, a mobile
e-mail/Internet platform, and 54 million using FOMA, the world’s original 3G
mobile service based on W-CDMA.

 

On Friday, NTT Docomo finalized the acquisition of Italian
mobile content and apps provider Buongiorno for 209 million euros.

 

The Japanese telecommunication giant will pay 2 euros a
share in cash to own nearly 94 percent of the Italian company.

 

Buongiorno makes apps for entertainment such as music and
gaming and provides e-payment solutions, with more than 80 percent of its sales
outside of Italy.

 


NTT Docomo is also placing increasing emphasis on its growing range of
personal-cloud services, in addition to continuing to diversify its lineup of
smartphones and other mobile devices and developing advanced technologies
centered on mobility.

 

NTT Docomo to pick up 25% stake in VMG Media Vietnam


NTT Docomo acquired approximately 25 percent stake in
Vietnam’s largest mobile content provider, VMG Media, which has a market share
of 25 percent in the country.

 

The stock purchase, worth approximately 370 billion
Vietnam Dong or about 1.4 billion Japanese yen, represents NTT Docomo’s first
investment in Vietnam.

 

VMG offers both content and content platforms. With its
investment, Docomo will share its expertise and know-how with VMG, such as in
content distribution, with the aim of boosting VMG’s business and expanding
Docomo’s value-added services in Asia-Pacific.

 

Docomo will work together with VMG’s largest stakeholder,
Vietnam Posts and Telecommunications Group (VNPT), the country’s largest
telecom operator, which holds about 29 percent stake in the company, to promote
VMG’s business.

 

NTT Docomo picks up stake in Wi-Fi compatible SD and SDHC cards
firm Eye-Fi


Recently, NTT Docomo invested in Eye-Fi, a provider of
Wi-Fi compatible SD and SDHC cards.  NTT Docomo has led the $20 million
Series D investment round of funding for Eye-Fi, with a $14 million investment.


The companies plan to integrate Docomo’s mobile personal cloud system for
individual-oriented cloud-based services and other related services and
Eye-Fi’s View cloud service and multiplatform, instant photo/video uploading
system. Docomo will combine its Otayori Photo Service, which sends uploaded
photos to 3G-capable digital photo frames, and Eye-Fi’s SD/SDHC card, which
instantly uploads photos from digital cameras. 


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