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3G Lessons Learnt – Buyer Beware

BusinessWire has a press release from the folks at Analysys stating that 3G in Japan has hit 40 percent penetration. While we agree that “Mobile operators in Japan and South Korea have consistently led the world in the development of innovative mobile services and technology” and “They have unrivalled track records of introducing new handset capabilities and services, and they are currently the only markets to achieve mainstream adoption of services delivered by 3G networks,” that “40” number is way too low. According to a TCA offical report, the 50 percent mark was actually reached here back in February.

Intel Buys into Bitwallet

Intel Capital, Intel Corp.’s investment division, announced at a press conference held in Tokyo that it has invested in Bitwallet, Inc., a service provider of e-money EDY. Intel Capital has bought convertible bonds worth 5 billion jpy. According to the announcement Intel plans to contribute to the penetration of electronic money services not only in Japan but also throughout the world. Bitwallet plans to allocate the investment to procure reader/writer terminals to be used at Edy affiliated stores, and terminals to be used for payment business and by major distributors.

This is significant — Bitwallet is the joint venture established by DoCoMo, Sony and more than 35 banks, travel agencies, technology companies, etc. Bitwallet now has a banking license in Japan and serves as the e-money cash issuer and payment settlement operator. This investment from Intel VC — one of the first from an outside pure-VC-capital-growth-seeking partner into the JV — means that someone outside Japan also sees the huge potential in Felica/IC cash payments that DoCoMo and KDDI also see — Eds

KDDI Seeks Banking JV

KDDI said on Thursday it was in talks with the Bank of Tokyo-Mitsubishi UFJ to set up a new bank that would allow shoppers to pay for their purchases electronically using their mobile phones. Among the possible options, KDDI’s “au” brand mobile phone customers would be able to have bank accounts linked to their phones and use the devices to spend money up to the account balance, a KDDI spokesman said.

Flat-Rate 3G Data Card Announced

KDDI has announced it will introduce a new “WIN DATA CARD” sevice, that will enable wireless data communication though the corporate intranet, at a fixed-rate price. The service will offer packet transmission via the Intranet of an enterprise customer for remote users via “CDMA Packet Access” using KDDI’s W01K data card. Targeted at corporate clients who want to facilitate budget management of their communication charges each month the service will be priced at 8,800 jpy plus tax will be available starting August this year.

KDDI Announces 3G CDMA Data Card

Axalto today announced that it has launched the first third generation CDMA User Identification Module (UIM) commercial card in Japan with KDDI, one of Japan’s leading mobile service providers. The Axalto cards are designed to work together with KDDI’s CDMA 2000 EV-DO third generation mobile handsets. KDDI subscribers can now access both GSM and CDMA networks with just one card and users will be able to use the same telephone number both domestically and internationally.

Japan Launches Digital TV for Mobile Phones

Japan Launches Digital TV for Mobile PhonesNHK and five commercial TV broadcasters held a splashy launch party in Tokyo’s central Shinjuku train station on Saturday afternoon, announcing the official start of terrestrial ‘One-Seg’ broadcast services. The carriers have lined up accordingly: NTT DoCoMo has partnered with Nippon Television and Fuji Television, while KDDI has forged a partnership with TV Asahi.

The new digital tuner-enabled handsets, coming from Panasonic, Hitachi and Sanyo, should deliver up to three hours of TV viewing time by processing and decoding only the requested channel — as opposed to current analog units which run only about an hour and eat more juice as they decode all incoming broadcast channels. Vodafone’s 905SH from Sharp is rumoured to be available just in time for the World Cup in June.

WWJ has been covering this story since the spring of 2004 when early prototype handsets were first introduced at an NHK open-house event.