The new company, not yet named, will be based in Sweden and will focus on the further development of wireless communications based on Oracle Portal-to-Go, which was announced last October. Portal-to-go is a set of technologies aimed at allowing telecommunications companies to provide Internet content and transactions to wireless customers, primarily via Web-enabled cell phones.
Telia, which has an existing partnership with Oracle, is one of several European telecommunications companies partnering with Oracle to test mobile services delivered via Portal-to-Go.
The demand for wireless Internet services and the use of other WAP (wireless application protocol) handheld devices is expected to increase, especially throughout Europe, where wireless usage is much more prevalent than it is in the United States.
According to market research firm The Yankee Group, there will be more than 1 billion mobile phone users by 2003, with about 60 percent capable of receiving wireless Internet.
Oracle and Telia said they plan to deliver their first services this spring and will start the new company with 25 employees.