TOKYO — Japanese web TV Tokyo, leading telecom NTT, financial daily Nihon Keizai Shimbun and four other companies will set up a video distribution company for broadband networks that will launch in March.
Move made Monday comes as broadband takes its first tentative steps in Japan with major players such Pacific Century CyberWorks Japan ready for commercial service this year.
Company, called Television Tokyo Broadband Entertainment, will be capitalized at 465 million yen ($4.1 million) with TV Tokyo holding a 34.4% stake, NTT East 19.4% and the Nihon Keizai 13.1%. TV Tokyo will provide most of the content, starting with financial news and animation.
In addition, the company is gearing up content for the launch in May of third-generation (3G) mobile telephones in Japan that will allow customers to receive high-speed Internet transmissions over their handsets.
Company is aiming to be in the black in about two years as it looks for yearly sales of $43.8 million in its third year of operation.