Japanese operators eAccess and Willcom, both subsidiaries of telecoms giant Softbank Corp, have confirmed that the previously announced merger of their respective operations was finalised on 1 June 2014, as planned. According to a press release, the enlarged company, called Ymobile Corporation, ‘will continue to expand the growth of both mobile and fixed broadband businesses provided by eAccess, as well as the personal handy-phone systems (PHS) business provided by Willcom, while paying special attention to the smartphone market where there is big potential for growth’. The merged company will serve more than ten million subscribers, including 4.4 million eAccess customers and 5.7 million subscribers to Willcom’s services.
As previously reported by TeleGeography’s CommsUpdate, in December 2013 the two subsidiaries signed a Memorandum of Understanding (MoU) to merge their operations, in order to better utilise their business resources. Further, in March 2014 Softbank Corp’s Yahoo Japan agreed to purchase 99.68% of the capital and 33.29% of the voting shares of the enlarged company for JPY324 billion (USD3.18 billion), although the broadband provider backtracked on its announcement in May, by revealing that rather than acquiring the merged eAccess/Willcom, it will instead provide services using the carrier’s infrastructure, with the two companies maintaining their independence.