A smart phone used to test Rakuten's under-construction mobile network at its network facility in Tokyo.a year of free service to the first 3 million customers who sign up. Rakuten has been building a 4G LTE mobile network from scratch — the company will be the first to build a fully virtualized radio access network , which it says will significantly reduce operating costs relative to its competitors.
Rakuten's aggressive customer acquisition strategy is predicated on the expansive scope of its core business operations. So long as Rakuten the roughly $11.8 billion in annual revenue from its core business, the company can comfortably treat the mobile business as a loss-leader until it gains favorable market positioning.
This underscores the company's aggressive customer acquisition strategy, much in the same way as Reliance Jio — formed within the
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