Telecom Carriers Voice Concerns over NTT Docomo Buyout
Newsfrom JapanEconomy Politics
Tokyo, Nov. 11 (Jiji Press)--Twenty-eight Japanese telecommunications carriers submitted a letter to communications minister Ryota Takeda on Wednesday expressing their concerns about the buyout of NTT Docomo Inc. <9437> by its parent.
The carriers, including KDDI Corp. <9433> and SoftBank Corp. <9434>, asked the minister to draw up measures to ensure fair competition and instruct the parent company, Nippon Telegraph and Telephone Corp. <9432>, to act accordingly.
In September, NTT announced a tender offer to buy NTT Docomo shares held by general investors and others, accounting for about 34 pct of all NTT Docomo shares, for about 4.3 trillion yen, by next Monday.
The telecom carriers said in the letter that NTT taking full control of NTT Docomo would effectively mean a merger between the mobile phone unit and two regional telecom units--NTT East Corp. and NTT West Corp.--allowing the group to gain market dominance and exclude rivals.
They claimed that the NTT Docomo buyout could harm the interests of telecom users, such as preventing price reductions. They demanded that a panel of related experts holds open discussions on the matter.
[Copyright The Jiji Press, Ltd.]