Tokyo, Dec 8, 2010 (IRG) - KDDI Corp. is seeking mergers and acquisitions mainly in Asia to offer more consumer services in overseas markets, as it looks outside of its saturated home market for further growth. KDDI is said to be under negotiations with potential overseas partners.
KDDI's current overseas business accounts for a very small part of its total revenue. To steer away from the competitive domestic market, KDDI is looking toward global expansion through consumer services. The company had previously set an overseas revenue target of 200 billion yen ($2.4 billion) by the fiscal year ending March 2013. Its group revenue for the current fiscal year is at 3.4 trillion yen ($41 billion).
The company has been struggling to hold onto its domestic market share after lagging rival carriers in the fast-growing smartphone market. The largest carrier, NTT DoCoMo, maintains a solid subscriber base, while No. 3 player Softbank, Japan's only carrier of Apple's iPhone, has been stealing customers away from KDDI. With data traffic rapidly expanding, KDDI aims to differentiate itself from rivals by utilizing all the network platforms and seamlessly interconnecting the services.
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