(Nikkei BP Group)
(No.1 High-Tech News Site in Japanese)
| IIJ, Toyota, Sony Launch Data Communications Company
November 3, 1998 (TOKYO) -- Internet Initiative Japan Inc. (IIJ), a major
Internet service provider, Toyota Motor Corp. and Sony Corp. set up
a telecommunications company called Crosswave Communications on Oct.
|The company aims to provide high-capacity data communications lines,
according to information obtained by Nikkei Communications.
Crosswave Communications is capitalized at 100 million yen (US$836,000),
with IIJ, Toyota and Sony holding equity stakes in a 4:3:3 ratio. Koichi
Suzuki, president of IIJ, has been appointed president.
The objective of the new company is to enter into "telecommunications
business activities as prescribed in the Telecommunications Business
Law, and all incidental business activities."
Crosswave Communications will build an optical-fiber backbone to provide
a high-speed data communications infrastructure that operates independently
of existing telephone networks. This will be the first time in Japan
that a backbone network will be built by a Type-1 telecommunications
carrier acquiring an indefeasible right of use (IRU) for optical-fiber
Synchronous Optical Network (SONET)/Synchronous Digital Hierarchy (SDH)
technology will be utilized, to significantly reduce the cost of network
Crosswave Communications aims to provide innovative services, in terms
of charges, and readily available bandwidth and service options. It
will respond to the growing demand for data communications, an area
that is expanding at a brisk pace as the Internet and other technologies
become more widely available.
The company will start building the domestic infrastructure when it receives
approval as a Type-1 carrier, and national services will begin in April
1999. International services are planned to begin in April 2000.
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