KDDI Makes Move in Bangladesh
KDDI Makes Move in Bangladesh

KDDI Makes Move in Bangladesh

KDDI Makes Move in Bangladesh

KDDI takes 50% position in bracNet for operations in Bangladesh – targets future development activities in the region [JPN]

Machine Translation:

The contract between stockholders and the stock subscription contract in were concluded.
KDDI and [defuta] partners will be cooperation [itashimasu] as a strategic partner in the new business development with the developing country when the future with this investment.

– 1. About the investment in bracNetAs for KDDI, KDDI acquires 50% of the stocks of bracNet by this investment according to the third party allocation capital increase of bracNet.

The tie-up with a global communication business company will be decided with having achieved the turnaround with the EBITDA base in the fourth quarter of 2008, and KDDI and the partnership be united though [defuta] partners possess the ratio of the stock holdings of 60% after bracNet is established in cooperation with BRAC in 2005, and have initiated management.

As for the diffusion of the Internet, an early improvement is expected 2% from one side it, and unfinished a domestic infrastructure low though the demand for the communication over the Internet is a population large country in the seventh place in the world of about 160 million people Bangladesh, and is expected a large, high merchantability. BracNet begins at the early stage efficient infrastructure construction that uses the optical fiber together with fixation WiMAX, and offers high speed, stability, and broadband the Internet connection service. This company advances the increase of fixation WiMAX base station, and expands the Internet broadband use area in Bangladesh by this capital increase.

– 2. About the business development with the developing countryKDDI and [defuta] partners aim at development of a new market and a social support service by offering the investment and the technology and the business business model to the communication infrastructure business and the communication service of the developing country, and do the cooperation of the business development.

Four billion people who account for 70 percent of the world population live by the income of less than income 3,000 dollars a year, and the market scale is five trillion dollars in the developing country now It is said (about 450 trillion yen). It already catches as not the object of philanthropy but a customer of the business by offering the service along the purchasing power and the consumer behavior in the market in the developing country and the commodity, and movement to promote development and the growth of a new market positively has been paid to attention worldwide in some industrial fields. Such an activity achieves the improvement of the living standard of the developing country, promotes the increase of the productive capacity and the income, and is said that the possibility of an expansion of a further market and a new business opportunity is expected, and it leads to the solution of global, that is, the poverty reduction to the problem.

The business development with the developing country by KDDI forms a new market with the construction of a local communication infrastructure, and promotion of the spread of low-priced and high-quality Internet broadband. As for the Internet in the developing country, it closely functions to people’s lives as a cancellation of the digital divide like the remote learning and the telemedicine, etc. and substitutions of a traffic infrastructure, the living standard is improved, and the synergy effect such as the area developments and the poverty reductions by the expansion of a further market and it is expected.

[Defuta] partners excavate a lot of technology venture companies by centering on the United States, Europe, and Israel after it establishes it in United States California state in 1984, support, promote, and have invested. It concentrates on the improvement of the living standard of people in the developing country by investing in bracNet in Bangladesh in 2005 in recent years, and using the high technology of the post and computer age achieving the remote learning and the telemedicine. Moreover, this DEFTAbracNet model is a joint form with NGO in advance of the world, and it is a model who uses 40% of the profit for public interests of the education and the medical treatment, etc.A similar activity is scheduled to be expanded also to not only Asia but also Africa and the developing country in Latin America in the future.

It is thought that the technology of KDDI in the telecommunication field and the business are experienced, a truly effective and continued Internet and broadband environment for the developing country are maintained by the synergy on the [defuta] partners’ business experiences in the developing country and and international networks, and maintaining the society’s infrastructure and becomes possible.

KDDI and [defuta] partners use a wide network in Asia, Africa, and Latin America of the business knowhow and [defuta] partners whom the relation is deepened as a business partner in the market cultivation and the business development of Bangladesh, and KDDI has cultivated for years, and work on mid/long-term business development with the developing country of the future jointly positively.