TOKYO: Japan's biggest ad agency Dentsu Inc. has teamed up with with Toyota Motor Corporation and Sony Corporation to form a joint venture called Mediarag Corporation. Mediarag will procure and supply music and digital content to various multimedia terminals.

Mediarag is capitalized at 400 million yen and owned 34 percent by Dentsu and 33 percent each by Toyota and Sony, Dentsu, says a report in Japan Times. Dentsu has a capital of 58,967.1 million yen and total sales (unconsolidated basis) of 1,789,432 million yen for year ended 31 March 2002.

Dentsu also issued a statement that the full-scale operations of the new firm will begin after all contracts presently held by an independent company that shares the same name, Mediarag Corporation, are transferred to the venture.