DOCOMO to form alliance with Pioneer to enter intelligent transport systems business

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NTT DOCOMO Inc has announced an agreement on a business and capital alliance with Pioneer Corp, a leading manufacturer of car and home electronics, to integrate Pioneer’s in-car navigation telematics technologies and related peripheral development capabilities with DOCOMO’s mobile cloud expertise to make a full-scale entry into the field of intelligent transport systems (ITS).

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The envisioned in-car ITS system will use probe data gathered from Pioneer’s car-mounted navigation system and DOCOMO smartphones in moving vehicles to process detailed traffic information in Pioneer’s ITS cloud platform. ITS services that integrate this information with various other services will be jointly developed and launched for individual and corporate customers this year.

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In addition to developing such services and constructing ITS-related cloud infrastructure, the two companies will develop and sell compatible car-mounted communication devices.

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Under the capital alliance, DOCOMO plans to invest about 5 billion yen through a third-party allocation of new shares to acquire approx. 7% stake in Pioneer this coming June 28.

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DOCOMO and Pioneer already have partnered in the integration of car electronics and information services, including the “docomo Drive NetTM” navigation service, which incorporates DOCOMO’s smartphones placed in dashboard-mounted cradles.

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