
Docomo, chipmakers set up LTE venture

Japanese mobile operator NTT Docomo has signed a basic agreement with five companies - Fujitsu, Fujitsu Semiconductor, NEC, Panasonic Mobile Communications Co and Samsung Electronics Co - to establish a fabless joint venture company by the end of March 2012 to develop and sell semiconductor products for mobile devices. The joint venture company, using the six investing companies' backgrounds in mobile communication technology and experience in application specific integrated circuits (ASIC) design and foundry manufacturing, will develop small-size, low-power-consumption semiconductor products equipped with modem functionality. The joint venture company will focus on developing products for LTE and LTE-Advanced mobile communication standards. The products will be sold in markets globally. The envisioned joint venture company will be formed once all parties agree on the details, which are now being worked out through consultation. Docomo plans to invest JPY 450 million to establish a wholly owned subsidiary called Communication Platform Planning Co and headed by CEO Mitsunobu Komori, concurrently an executive vice president and chief technical officer of Docomo, by the middle of January.
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