UPDATE 1-Japan to give new licences to KDDI, Willcom -paper

(Adds comments, details)

TOKYO, Dec 18 (Reuters) - Japan's telecommunications regulator has decided to give licences for high-speed wireless Internet access to Carlyle-controlled [CYL.UL] handy-phone firm Willcom Inc and a group led by mobile phone operator KDDI Corp (9433.T), the Nikkei business daily said on Tuesday.

The two have been competing with mobile carriers NTT DoCoMo Inc (9437.T) and Softbank Corp (9984.T) for the two licences for WiMAX, which enables quick Internet access on laptops and other mobile devices while on the move.

DoCoMo and Softbank are likely to revise their business plans and possibly lease networks from the licensed firms, the Nikkei said.

KDDI spokeswoman Maki Sato said the company plans to spend 144 billion yen ($1.3 billion) on the project by the end of the 2013 business year, but declined to confirm the report, saying it had not heard from the government on its decision.

A communications ministry official in charge of mobile businesses also said nothing had been decided.

In contrast to WiFi, which works only near a transmitter, WiMAX (Worldwide Interoperability for Microwave Access) provides Internet access while the user is travelling in a car or on a train.

"The WiMAX is a difficult project, and without solid plans it could fail," said Daisaku Masuno, a telecoms analyst at Nomura Securities, shrugging off the implication of some stock moves after the news.

"It will take the project more than four years to turn profitable no matter who ends up getting the licences and no matter how good the projects are."

KDDI, which will partner with firms such as Intel Corp (INTC.O) and Kyocera Corp (6971.T), plans to launch WiMAX services in 2009.

Willcom also plans to supply high-speed services in 2009, using next-generation PHS technology.

KDDI finished the morning session up 0.3 percent at 781,000 yen, outperforming a 0.8 percent fall on the benchmark Nikkei average .N225.

Japan's biggest carrier DoCoMo fell 1.1 percent to 175,000 yen, while Softbank, Japan's smallest mobile phone operator, added 0.7 percent to 2,300 yen. (Reporting by Mayumi Negishi and Aiko Hayashi; Editing by Mike Miller)