Japan's KDDI establishes China JV with Toyota Tsusho

World IT Report, Apr 9, 2003

Japan's second largest cellular operator, KDDI and Toyota Tsusho Corp. have formed a joint venture aimed at gaining a market share in mainland China, as the nation liberalizes it immense telecommunications market.

The venture is based on expectations for rapid liberalization following China's impending entrance into the World Trade Organization (WTO).

The Joint Venture will establish an amalgamated company in China by November 2001. The Company will be called the KDDI China Corporation, and will be based in Beijing.

KDDI's will bring its telecommunication technology and services to the venture, and Toyota Tsusho will bring its strong sales network., to jointly provide various solution services such as network construction consulting, maintenance, housing service, as well as promoting active development of KDDI group's operations in the Chinese market.

The venture's initial capital will be 200 million yen ($1.67 million), of which 80 percent is to be contributed by KDDI, and 20 percent by Toyota Tsusho. -(World IT Report)