JTower and NTT Docomo announced that they have formed a capital and business alliance with the aim of strengthening cooperation in the field of infrastructure sharing.
As part of the alliance, Docomo plans to acquire a stake in JTower shares owned by Nippon Telegraph and Telephone Corporation (NTT) and become a shareholder with 2.5% voting rights in the future.
NTT Docomo started using JTower’s infra-sharing solution for its 4G network in 2016 and has expanded the use of the solution nationwide. In addition, from October 2020, the company started using 5G IBS at the time JTower installed 5G IBS in Tokyo Metropolitan Government as the first 5G infra-sharing solution in Japan, and also started using smart poles in the Nishi-Shinjuku area of Tokyo. Both companies said they continued to promote the use of infra-sharing through these activities.
“JTower and Docomo will use this alliance as an opportunity to strengthen collaboration. In addition to considering ways to develop new indoor and outdoor networks and efficient use of existing towers, companies will develop an efficient 5G network that will lead to a reduction in capital investment and other costs, power consumption and installation sites. In the future, the companies will aim to realize the early expansion of the 5G coverage by promoting infra-sharing, ”the companies said in a joint release.
The partners also noted that the alliance seeks an efficient installation of base stations by sharing information on JTower’s Infra-Sharing-related developments and Docomo’s targeted buildings and locations for base stations, as well as developing and exploiting new infra-sharing equipment through sharing technologies and knowledge of both companies.
Last month, Japanese mobile operator Rakuten Mobile and JTower had entered into a capital alliance aimed at sharing infrastructure in indoor and outdoor environments.
Under the terms of the agreement, the two companies will share equipment and towers to accelerate the development of 4G and 5G networks across Japan.
JTower also noted that the use of shared infrastructure enables network development in a short time and at a low cost compared to when each mobile network operator installs their own network separately. “To contribute to the development of a broader network, in 2020 we realized the first 5G indoor Infra-Sharing in Japan at the Tokyo Metropolitan Government’s headquarters, and in the outdoors we are strengthening our structure by launching new businesses such as tower sharing that covers rural areas. and smart poles, mainly in urban areas, “the company said.