KDDI Corp., Japanâ€™s second biggest telecommunications operator, announced on Tuesday that it would inject capital into a WiMAX wireless broadband
project, teaming up with local partners and Intel Corp.
The companies will form a joint venture to bid for a license for next-generation high-speed wireless data communications services using mobile WiMAX technology.
KDDI was the first to promote mobile WiMAX technology and it aims to surpass NTT DoCoMo Inc., the biggest telecommunications operator in Japan, in terms of transmission speeds for wireless data communications services.
The Internal Affairs and Communications Ministry is going to allow introducing 2.5-gigahertz frequency band for the next generation of high-speed wireless communications in Japan. The ministry began accepting applications on Sept. 10 for two available allocations for new licensees.
Wireless Broadband Planning K.K., a KDDI subsidiary for the joint venture, will receive a capital injection on Sep.27, bringing the total of ￥850M($7.1M). KDDI will own 32.26 percent while Intel Capital would own 17.65 percent and East Japan Railway Co. 17.65 percent as well as others.
Intel Corp. will contribute to the consortium by developing WiMAX-ready chips for various devices.
It is expected that Japanese users will be able to access the internet with laptop computers, portable video game players and cameras by using the WiMAX service.
It is said that Mobile WiMAX is as fast as ADSL and is able to provide stable Internet connections in cars and trains traveling as fast as 200 kph (124 mph).