Tokyo, Japan – NTT DoCoMo is hoping to boost its music and video services by buying a 35 percent stake in NextWave Wireless’s PacketVideo software unit.
The all-cash, $45.5 million deal builds on a partnership between the two companies that goes back more than a decade, with PacketVideo’s Core multimedia player, pvPlayer, installed in more than 90 DoCoMo handset models.
The new deal is intended to guarantee a steady stream of new mobile applications for DoCoMo in the run-up to the launch of its planned Long Term Evolution (LTE) services at the end of next year. LTE is expected to bring faster up- and downloads, along with better sound and image quality.
Toshio Miki, Associate Senior Vice President and Managing Director of DoCoMo’s Communication Device Development Department, said: “PacketVideo has been a key supplier of software to DoCoMo, and has made important contributions to the success of our services in the Japanese market. We are pleased to become an equity partner of PacketVideo and are very confident of the company’s continued growth and long-term success.”
PacketVideo has become NextWave‘s main focus since it announced plans for a major reorganization a couple of months ago. PacketVideo has also been working on the Google Android and Apple iPhone platforms.