Semiconductors
Eiko Trading Corporation has signed a sales contract with Yingli Green Energy Holding, under which the Chinese company will supply 17.35MW of PV modules to Eiko for planned projects in Germany. The shipment will be delivered between April and November this year. Eiko is engaged in the development and installation of PV systems in Japan as well as consulting, trading and investing in renewable energy projects with global partners. The company is looking to expand overseas and says Germany stands out as one of the most important long-term markets.
Telecommunications
Softbank has acquired a 14% stake in privately-owned Chinese internet company Oak Pacific at a cost of $96 million. The aim is for Softbank to create a stronger presence in China's internet market. Under the terms of the deal, the Japanese operator has the right to exercise stock warrants for another Ñ30 billion ($288 million) a year. This option will allow Softbank to raise its stake in Oak Pacific to 40%, making it the largest shareholder.
NTT DoCoMo, Japan's largest mobile-phone operator, plans to sell about Ñ100 billion ($958 million) of bonds in its first issuance in five years, to fund dividend payments and share buybacks. The debt sale will help DoCoMo meet its pledge to pay about Ñ200 billion of dividends and buy back as much as Ñ150 billion worth of shares in the year ending March 31, 2009. The company's inflow of cash has been shrinking after the wireless carrier began allowing customers to pay for mobile phones services in installments.
Nakayo Telecommunications said its sales reached Ñ17.8 billion ($169.9 million) in the fiscal year ending March 31, 2008, exceeding the companyÆs forecast by 3.2%. The operating loss amounted to Ñ218 million, which is less than the expected Ñ380 million. Net income is valued at Ñ116 million, 16% above the companyÆs forecast.
KDDI R&D Laboratories has developed an optical communications technology that enables data to be transmitted over regular Ethernet networks at speeds of 100 gigabits per second and for distances as far as 1,000km without the need for signal correction. The Ethernet protocol is the standard for office and home LANs. Data can now be sent at 10Gbps by using a bundle of 10 lines and a set of 10 transceivers. But looking toward the future, the telecommunications industry is developing the means of transmitting data at 100Gbps, hoping to have systems in operation in the early 2010s.
Korea
Telecommunications
Korean telecom operator SK Telecom has denied rumours that it will form a joint venture with China Telecom to develop CDMA business. The telecom operator said it will not take any steps before the restructuring of China's telecom industry. However, the company's collaboration with China Unicom will continue. Some analysts also think foreign telecom companies will be cautious about developing TD-SCDMA (ChinaÆs homegrown 3G technology) as the restructuring schedule has not yet been confirmed.
Subscribers to third generation video mobile communications services have surpassed 10 million across Korea. Industry sources say mobile carrier KTF's 3G service Show added 440,000 new users last month for a total of 5.28 million subscribers. SK Telecom's T Live added 470,000 new customers, bringing the total number to 4.68 million. LG Telecom's Revision A added 190,000 users.
KT Corporation is keen on acquiring mobile operators in emerging markets, according to a senior company executive. The carrier is betting on overseas mobile investments, which require less time and cost than fixed-line businesses, and plans to enter emerging markets through mergers and acquisitions rather than through greenfield investments. The move comes as competition for mobile assets in developing markets is intensifying as more and more major operators in developed markets are looking for investment opportunities in emerging mobile markets.
Hardware
Samsung Electronics plans to outsource the assembly of some of its LCD modules to Chinese television maker TLC Corporation starting from 2009. Guangdong-based TCL recently began building a module plant in its home province, which is expected to have an annual capacity of 22.3 million units. Samsung Electronics announced strong quarterly earnings last week, with its display division posting better-than-expected profits. The company will invest W1.8 trillion ($1.8 billion) this year to build a new LCD line at a plant that it operates together with Sony Corporation of Japan.
Samsung SDI became the worldÆs top seller of plasma displays in the first quarter, beating its domestic and Japanese rivals. Samsung SDI's PDP sales in the January-March period amounted to $451 million, which accounted for 31.8% of the global PDP market. Samsung SDI was trailed by domestic rival LG Electronics, which sold $419 million worth of PDPs and had a 29.5% market share. JapanÆs Matsushita Electric Industrial Co was third with sales worth $417 million.
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