August 1, 2018 NEC Networks & System Integration Corporation

NESIC establishes joint company with KDDI for construction of mobile infrastructure

NEC Networks & System Integration Corporation (Head Office: Bunkyo-ku, , President: Yushi Ushijima, : 1973, NESIC) today announced the establishment of K&N System Integration Corporation (KNSI), which will operate a business involving mobile infrastructure construction as a joint company with KDDI CORPORATION (KDDI). The investment ratio is 51% for NESIC and 49% for KDDI.

NESIC will handle every process from wireless engineering to the installation of base stations with a consistent approach. In particular, it has strength in the area design technology, enabling the effective allocation of base stations.

KNSI is developing and refining base station area design tools and automatizing operation processes by combining NESICʼs technologies with KDDIʼs mobile network operation technologies. This challenge will enable KNSI to effectively contributing to the prompt deployment of a high-quality network by installing mobile base stations, including 4G LTE. Going forward, KNSI will incorporate its accumulated know-how into AI and aim for speedy and effective installation design and the construction of base stations.

A profile of the joint company is as follows: Company Name K&N System Integration Corporation

President Masao Wada (Chairman of the Board in NESIC)

Description of Construction of base stations for mobile business communications, base station area design, fixed communication, etc.

Address Nishi-, Shinjuku-ku, Tokyo

Date of May 15, 2018 establishment

Capital/Shareholder 250 million yen (as of August 1, 2018) composition NESCI: 51%, KDDI: 49%

Number of Approx. 110 employees

NEC Networks & System Integration Corporation is committed to increasing customer value by redesigning future communications

from the user’s perspective.

2