This paper discusses the characteristics and formation of inter-firm relationships in the telecommunications industry. The formation and partner selection are key issues for managers arranging inter-firm relationships. We focus on inter-firm relationships conducted by the telecommunications carriers and discuss the characteristics of the industry and possible or preferred formations and propose an analytical framework for inter-firm relationships in the industry. The discussion and proposed framework are validated by actual observed inter-firm relationships. We observed that major telecommunications firms choose equity-based relationships rather than other types and we show a framework that can help people to recognize strategic directions for preparing a valuation of inter-firm relationships in the industry.