Docomo to sign a strategic deal with KTF of $600 million.(TOP NEWS)(KT Freetel Company Ltd.)(Brief article)

2.5G-3G, January, 2006

South Korea will witness new cellular technologies in the coming year. KTF, the second-largest cellular operator of South Korea, intends to roll out WCDMA-based 3G services. In order to do that, it has decided to tie up with NTT's DoCoMo, the leading mobile operator of Japan. It is reported that DoCoMo will acquire a 10 percent stake in KTF for approximately $600 million.

Following the deal, it will provide KTF with the necessary software and mobile hardware to enable the latter to roll out WCDMA 3G services. Currently, KTF is providing CDMA2000-based 3G services. The two companies are also planning to offer roaming service to their customers allowing them to use phone and messaging services in both South Korea and Japan.