Japan’s DoCoMo jumps onto WiMAX bandwagon

Japanese telecom giant NTT DoCoMo Inc. announced it will form a joint venture with ACCA Networks Co. Ltd. in order to take advantage of ACCA’s plans to build a mobile WiMAX network in the country using 2.5 GHz spectrum.
The Japanese government decided to ban existing, third-generation mobile carriers from 2.5 GHz licenses in order to encourage new market entrants. Thus, DoCoMo is forming a joint venture with ACCA in order to play in the WiMAX market without owning the spectrum directly. Per the government’s rules, DoCoMo is only taking a one-third stake in the operation.
“ACCA Networks agreed to the partnership based on DoCoMo’s extensive experience and know-how in mobile technologies,” according to a statement from the two companies. “DoCoMo, which has been pursuing the launch of 2.5GHz broadband wireless services, sees a good fit with ACCA Networks’ goal to provide services with globally standardized technologies through open, cooperative relationships that leverage each partner’s strengths.”
Under the companies’ agreement, DoCoMo will provide around $164 million to the joint venture, while ACCA will invest around $259 million.
DoCoMo is the latest carrier to signal its interest in the WiMAX playground. Indeed, Sprint Nextel Corp. and Clearwire Corp. in the United States are building a WiMAX network in the 2.5 GHz band, and Vodafone Group plc in Europe recently joined the WiMAX Forum.
DoCoMo, long one of the world’s leading vendors of wireless data services, has fallen by the wayside of late as other carriers stride into the market with super-fast wireless data services.