Microsoft and NTT DoCoMo Form Joint Venture to Deliver Mobile Data Services

Cambridge Telcom Report, Nov 1, 1999

Microsoft Corp. (Nasdaq: MSFT) and NTT Mobile Communications Network Inc. (NTT DoCoMo) Tuesday announced they would broaden their existing relationship to deliver mobile data services in Japan by creating a joint venture company. Mobimagic Company Ltd. will be a Japanese corporation, equally held between Microsoft and NTT DoCoMo. The purpose of the joint venture will be to develop and market mobile data services for users of NTT DoCoMo's wireless networks.

Mobimagic plans to build a data center service for users of mobile telephones, Palm-size PCs, and other mobile computing devices. The data center, built on Microsoft's platform technology, is expected to begin operations in mid-2000. Mobimagic will initially offer business customers mobile access to e-mail, scheduling and other intranet-based applications over NTT DoCoMo's 64Kbps circuit-switched Personal Handyphone System (PHS) wireless network. The joint venture plans to extend the reach of its services to users of NTT DoCoMo's other networks, including its existing PDC and PDC-P networks, as well as its upcoming third-generation W-CDMA network.

Cellular phones using Microsoft microbrowser technology and Palm-size PCs running the Microsoft Windows CE operating system will be aggressively promoted in conjunction with widespread rollout of Mobimagic services. NTT DoCoMo and Microsoft will also cooperate on programs to encourage broader availability of wireless connectivity for notebook computers and Palm-size PCs.

"Mobility is central to Microsoft's vision, and we are excited about working with a world-class network provider like NTT DoCoMo to deliver mobile data services to our customers in Japan," said Steve Ballmer, president of Microsoft. "Microsoft's platforms and services combined with NTT DoCoMo's mobile networks will provide users with a wide range of scalable and robust data services to enrich their daily lives."

"NTT DoCoMo's vision for the next millennium revolves around providing mobile multimedia access any time, anywhere and to anyone," said Keiji Tachikawa, president of NTT DoCoMo. "This extended alliance with Microsoft, a company whose vision is aligned with our own, represents a significant step toward making both companies' visions a reality."

NTT Mobile Communications Network Inc. (NTT DoCoMo), Japan's largest mobile communications operator, provides a comprehensive range of wireless services including cellular phone, paging, satellite mobile communication, maritime telephone and in-flight telephones. Services are provided nationwide by nine regional subsidiaries. NTT DoCoMo had more than 27.7 million mobile phone subscribers as of September 1999, including both Personal Digital Cellular (PDC) and Personal Handyphone System (PHS) mobile phone customers. Consolidated sales reached 3.1 trillion yen in fiscal 1998, which ended in March 1999. NTT DoCoMo expects to introduce a third-generation mobile communications system based on the Wideband CDMA (W-CDMA) system in spring 2001. NTT DoCoMo was listed on the Tokyo Stock Exchange in October 1998. For further information, visit NTT DoCoMo's World Wide Web site at http://www.nttdocomo.com/.> Founded in 1975, Microsoft is the worldwide leader in software for personal computers. The company offers a wide range of products and services designed to empower people through great software -- any time, any place and on any device.

COPYRIGHT 1999 EDGE Publishing

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