Rakuten Mobile hikes capex as its EBITDA leaves the red

Rakuten Mobile plans to lift capital spending to JPY200 billion (about US$1.3 billion) as it pushes to build out its network faster in response to growing subscriber numbers. The company says it needs to accelerate construction work to keep pace with demand, even as its earnings before interest, tax, depreciation and amortization (EBITDA) have moved into positive territory.

The capex increase marks a shift from a period of heavy losses tied to network rollout toward a focus on scaling and improving service with a now-viable core business. Rakuten Mobile is betting that higher upfront investment will support continued subscriber growth and strengthen its position in Japan’s mobile market.

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