KTF Co., South Korea’s second-largest mobile phone operator, said Thursday its board decided to form a joint venture with Dentsu Inc., Japan’s biggest advertising company, to produce and sell advertisements on cell phones. KTF will invest 2.5 billion won (US$2.2 million) in the Seoul-based joint venture and hold a 51-percent stake, the venture will begin operations in November this year, KTF said.
Dentsu will hold a 14-percent stake and Phoenix Communications Inc., KTF’s local ad agency, will own a 25-percent stake in the venture. Employees of the new company will hold the rest, KTF said. KTF said the partnership will allow the company to expand its reach in the fast-growing mobile phone ad market. Continue >>