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Matsushita (Panasonic) and NEC Agree to strategic co-operation in
mobile handset business NEC Corporation (NEC) and Matsushita Electric Industrial Co Ltd (MEI) plus one of MEI's principal subsidiaries, Matsushita Communication Industrial Co Ltd (MCI), have announced that they have signed an agreement to form a development alliance aimed at strengthening global business expansion of their technologies and products in the field of advanced mobile handsets. The merging of the mobile phone market with the Internet, along with the achievement of larger-capacity and higher-speed networks, has enabled the introduction of a wide variety of new media and new technologies such as music, video and broadcasting, creating many new business opportunities in the emerging mobile multimedia market. The mobile handset, as the primary means of accessing the Internet in this market, is now becoming a highly advanced device adopting many new features and technologies. With this background in mind, Matsushita and NEC - both industry leaders in mobile Internet technologies and the development of third-generation (3G) (W-CDMA) mobile terminals - have agreed to join forces to spur the creation of an innovative mobile Internet market, to accelerate the expansion of 3G businesses around the world through more efficient use of development resources and faster development time, and to introduce reliable and high quality handsets backed by the combined know-how and expertise of both companies. Through the agreement signed today, Matsushita and NEC will implement a significant global business development alliance in such areas as technical standardisation, core engineering development, and software development in the mobile handset field. The agreement comprises the following key aspects: (1) Cooperation in designing common specifications/architectures for third-generation mobile handsets, and in developing application software and other related products; (2) Joint development of new mobile terminals for the mobile multimedia market; (3) Close cooperation on quality validation for new products; (4) Possible OEM supply of various products, when necessary, ranging from 2.5G GSM/GPRS to 3G devices. Both companies also plan on making development results of this alliance available to other manufacturers. This cooperative agreement brings together the expertise of both Matsushita and NEC in development engineering and product planning, and will focus primarily on 3G mobile handsets. Both companies intend to concentrate on introducing products in a timely manner for the rapidly expanding global mobile multimedia market. Pooling together their creative visions, resources, and desires to succeed, Matsushita and NEC each aim to become the world's leaders in advanced mobile handsets, jointly creating and enhancing the expansion of the mobile multimedia field. About the NEC Corporation NEC Corporation is a leading provider of Internet solutions, dedicated to meeting the specialised needs of its customers in the key computer, network and electron device fields through its three market-focused in-house companies: NEC Solutions, NEC Networks and NEC Electron Devices. NEC Corporation, with its in-house companies, employs more than 150,000 people worldwide and saw net sales of 5,409 billion yen (US$43 billion) in fiscal year 2000-2001. http://www.nec.com About Matsushita Electric Industrial Matsushita Electric Industrial Co., Ltd., best known for its Panasonic, National, Technics, and Quasar brand names, is a worldwide leader in the development and manufacture of electronics products for a wide range of consumer, business, and industrial needs. http://www.panasonic.co.jp/global/top.html About Matsushita Communication Industrial Matsushita Communication Industrial Co., Ltd. is a principal subsidiary of Matsushita Electric Industrial Co., Ltd., and specialises in four business areas: mobile communications, automotive multimedia, AV & security, and system solutions. One of the world's first 3G handset manufacturers for trial services in Japan, the company recorded consolidated sales of 1,060 billion yen (US$8.56 billion) for the fiscal year ended March 31, 2001. http://www.mci.panasonic.co.jp/english
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