Rakuten to Invest $362 mn in Base Stations to Enhance Customer Experience

Rakuten Group announced a significant investment of 54.4 billion yen (approximately $362.81 million) to construct cellular base stations to enhance customer experience. This strategic move comes shortly after the Japanese government assigned the company’s carrier a coveted frequency allocation for enhanced connectivity.
Rakuten 5G + 4GThe allocation of this frequency is expected to breathe new life into Rakuten’s mobile phone business, which has faced challenges in capturing market share from well-established incumbents known for their robust and high-quality networks.

Rakuten Mobile said it will begin building a mobile network utilizing the 700 MHz band in order to provide even higher-quality mobile service to customers. Rakuten Mobile will leverage its unique network technology and existing base station sites to build out base stations in a cost-efficient and effective manner.

As part of their ambitious plans, Rakuten aims to establish 10,661 base stations operating on the 700 MHz frequency spectrum (platinum band frequency). This expansion is set to transform the company’s cellular operations, making them profitable by 2026.

Rakuten in a news statement said it remains committed to its goal of reducing capital expenditure by approximately 300 billion yen between 2023 and 2025. This move is a testament to the company’s strategic vision and determination to enhance its position in the competitive Japanese telecommunications market.

With this substantial investment and the allocation of the platinum band frequency, Rakuten Group is poised to reinforce its presence in the mobile communications sector, offering consumers an enhanced and more reliable network experience.