Japanese media reports that the Japanese telecom operator KDDI Corp. is considering developing mobile communications business in Myanmar. KDDI has conveyed a willingness to participate in the tender held recently to Myanmar Government, and plans to build base station and communications infrastructure in collaboration with Sumitomo.
In Myanmar, just like fixed telephone services, Mobile communications business is monopolized by state-owned enterprises. Myanmar population is about 62 million, but only 3.09 million use mobile phones, accounting for only about 5%. Thus, in KDDI’s eyes, Myanmar market is expected to expand significantly. In Japan, the mobile phone has long been popular and the market is almost saturated. KDDI thinks further development space is very limited in developed countries, and thus chooses to open up the Asian market.
KDDI previously entered into the market in Mongolia, Brazil and Paraguay, but only business in Mongolia subsists. Myanmar will become KDDI's second overseas market if issue to enter Myanmar is determined.
Note: KDDI is Japan's second largest mobile operator and also a leading operator in world’s CDMA technology business.