Towards 2020
KDDI: Three Core Objectives
Challenges
Providing Broadband Internet to Bangladesh with WiMAX
Bangladesh has the 7th largest population in the world (160 million), with yearly GDP growth of around 6.2%. However, the Internet penetration of the country has remained at just 2% since 2003.
KDDI recognized that infrastructure development could trigger a rise in demand for Internet access, offering a huge business opportunity. In 2009, we invested in BRACNet, the largest Internet service provider in Bangladesh.
This first fixed-WiMAX provider in the country, BRACNet now provides Internet and intranet services for corporate customers, running 110 Internet centers (“e-huts”) for individual consumers across the country. Supported by KDDI’s technology and telecommunications know-how, BRACNet provides an efficient infrastructure using fixed-WiMAX technology and an optical fiber network, delivering low-cost broadband Internet services nationwide.
Read more in the news release linked below.
The First Japanese Carrier to Open a Data Center in Africa ‐TELEHOUSE
Johannesburg, Cape Town
With the success of the World Cup and other recent major events, South Africa has grown in international prominence over the last few years. South Africa is also a major business hub where African companies forge alliances with international firms coming into the region. In December 2009, we opened TELEHOUSE Cape Town, the first data center to be opened by a Japanese telecom company in Africa. This center was followed by TELEHOUSE Johannesburg in March 2010.
Read more in the news release linked below.
KDDI Announces Launch of TELEHOUSE Data Centers in UK and South Africa 
Creating New Value
Expanding the Global Money Transfer/Mobile Payment Platform Business
KDDI is expanding its money transfer/mobile payment platform business in cooperation with American financial solution provider Microfinance International Corporation (MFIC).
The integration of communications and finance is growing around the globe at a rapid pace. Telecoms, IT, and finance companies in many developed countries are racing to be number one in the mobile finance market. At the same time, mobile money is gaining backing from industries, governments and aid organizations due to the enormous potential for market growth and financial inclusion.
Here at KDDI, we are taking advantage of the strategic partnerships we have built up with over 600 global telecom carriers to combine our worldwide mobile network with global money transfer technology?an essential components in mobile money business. Expanding our communications-based financial services will lead to new value for our customers in the global market.
Read more in the news release linked below.
KDDI Invests $22M in MFIC to Jointly Build Mobile Payment Platform Worldwide
Entering the Immigrant Market?Mobile Virtual Network Operators
KDDI is expanding into the global immigrant market. We are leveraging the expertise we built through our “au” mobile phone business, as well as the strong carrier partnerships in the international telecommunications industry we have been developing for more than a half-century. There are about 200 million immigrants around the world. Most have moved from lesser-developed nations to the leading global powers. These immigrants are instrumental in driving the world economy today.
Nearly US$320 billion is sent annually by immigrants back to their home countries. Total remittances have grown by 11.5% in the last few years.
As a first step to entering this fast-growing market, KDDI invested in two US-based MVNOs in early 2010. These MVNOs primarily served the immigrant population.
There are 40 million foreign-born (first generation) immigrants in the U.S., comprising more than 10% of the total population. On average that figure is increasing by 1 million every year.
We are planning to expand and develop our immigrant market business through a combination of specific services and products, including handsets, international calling, mobile content, and mobile money-transfer services.
