5 Japanese Tech Companies (And Samsung) Set Up LTE Mobile Chip Venture

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Big news from Asia’s mobile market today: Japan’s biggest mobile carrier NTT Docomo (55 million customers, over US$50 billion in sales per year) is teaming up with five other tech powerhouses to develop chips for next-generation mobile devices. Docomo’s partners are NEC, Fujitsu, Fujitsu Semiconductor Ltd., Panasonic, and Samsung.

The goal is to use synergies in the six companies’ expertise in developing small and eco-efficient chips to supply to mobile device manufacturers in Japan, Korea, and other places. Docomo says the main focus will be on “products for LTE and LTE-Advanced mobile communication standards”.

The carrier plans to set up a subsidiary ( “Communication Platform Planning Co.”) as early as next month, capitalize it at US$5.8 million, and turn that subsidiary into a fabless joint venture with the other partners in March next year. According to Japan’s biggest business newspaper The Nikkei, Docomo plans to become the biggest shareholder in the joint venture.