TELECOMMUNICATIONS BUREAU,
MINISTRY OF PUBLIC MANAGEMENT,
HOME AFFAIRS, POSTS AND
TELECOMMUNICATIONS (MPHPT)
August 2002
2002
Contents
I.
Development of Japanese pro-competition policy ........................................................... 1
1. Outline......................................................................................................................... 1
2. Pro-competition policy in telecommunications business for
promoting IT revolution ............................................................................................... 2
3. Establishment of interconnection rules ....................................................................... 4
4. Outline of NTT Reorganization Scheme ..................................................................... 5
II.
Current situation surrounding the telecommunications business..................................... 6
1. Changes in the total number of telecommunications carriers..................................... 6
2. Current Status of Main Foreign Investment in Telecommunications Carriers............. 7
3. Changes in market size / investment in facilities and equipment ............................... 9
4. Shares of NTT / KDD and NCC ................................................................................ 10
5. Current Status of Rate Reductions ........................................................................... 12
III.
Internet ........................................................................................................................... 14
1. Total Internet user population and Internet diffusion rate.......................................... 14
2. International comparison of full-time Internet connection fees ................................. 16
3. Construction of fiber-optic networks ......................................................................... 17
4. Major support systems for fiber-optic networks and broadband access network ..... 19
IV.
Mobile communications.................................................................................................. 20
1. Status of diffusion of mobile phones ......................................................................... 20
2. Growth Factors in the Mobile Phone Market ............................................................ 21
V.
Introduction of new wireless system .............................................................................. 22
1. The third-generation mobile communications system .............................................. 22
2. The fourth-generation mobile communications system ............................................ 23
3. Wireless access system............................................................................................ 25
VI.
Diffusion of major radio stations ..................................................................................... 26
1. Transition in the Number of Cellular Phones ............................................................ 26
2. Transition in the Number of PHS Subscribers .......................................................... 26
3. Transition in the Number of Radio Pagers................................................................ 27
4. Transition in the Number of VAST Earth Stations..................................................... 27
References
Reference 1. Diffusion of cable television ............................................................................... 29
Reference 2. Current Status of Broadcasting Business in Japan ........................................... 30
i
2001.6
1999.7
1985.4
Review
Review of
of the
the framework
framework of
of
pro-competition
policy
pro-competition policy
Revision of the
Telecommunications
Business Law and
other Legislation
Reorganization of NTT
Privatization of Nippon
Telegraph and
Telephone Public
Corporation
○
○ Discussions
Discussions on
on the
the environment
environment for
for fair
fair competition
competition involving
involving all
all
sectors,
sectors, including
including contents
contents and
and applications.
applications.
2001)
2001)
○
○ The
The Telecommunications
Telecommunications Council’s
Council’s second
second recommendation
recommendation titled
titled
“Interconnection
“Interconnection rules
rules in
in the
the age
age of
of information
information technology”
technology” (July
(July
○
○ The
The first
first recommendation
recommendation from
from the
the Telecommunications
Telecommunications Council
Council
on
on the
the "Review
"Review of
of interconnection
interconnection rules"
rules" (December
(December 2000)
2000)
The
The first
first report
report on
on desirable
desirable pro-competitive
pro-competitive policies
policies in
in the
the telecommunications
telecommunications
business
business field
field for
for promoting
promoting the
the IT
IT revolution
revolution compiled
compiled by
by the
the
Telecommunications
Telecommunications Council
Council (December
(December 2000)
2000)
○
○ Telecommunications
Telecommunications Council
Council Report:
Report:
Introduction
Introduction of
of aa long-run
long-run incremental
incremental cost
cost methodology.
methodology.
○
○ Interconnection:
Interconnection:
Introduction
Introduction of
of aa price-cap
price-cap system
system (October
(October 2000)
2000)
○
○ User
User rates
rates regulation
regulation for
for NTT
NTT West/East:
West/East:
Abolition
Abolition of
of aa system
system by
by which
which the
the government
government officially
officially approves
approves the
the telecom
telecom
service
service fees
fees (November
(November 1998)
1998)
○
○ User
User rates
rates reform:
reform:
Lifting
Lifting of
of the
the restrictions
restrictions on
on foreign-capital
foreign-capital investment
investment in
in the
the Type
Type 11 carriers
carriers
(Excluding
(Excluding investment
investment in
in NTT
NTT and
and KDD)
KDD) (February
(February 1998)
1998)
○
○ Foreign
Foreign ownership
ownership restriction:
restriction:
Establishment
Establishment of
of new
new rule
rule on
on interconnections,
interconnections, including
including introduction
introduction of
of general
general
obligations
obligations for
for type-I
type-I carriers
carriers to
to interconnect
interconnect with
with other
other networks
networks (November
(November
1997)
1997)
○
○ Interconnection:
Interconnection:
Abolition
Abolition of
of the
the regulation
regulation on
on supply
supply and
and demand
demand (November
(November 1997)
1997)
○
○ Entry
Entry into
into the
the market:
market:
(Liberalization of the telecommunications business)
I.
Development of Japanese pro-competition policy
1.
Outline
1
2.
Pro-competition policy in the telecommunications carriers business for
promoting the IT revolution
○ On the basis of the first recommendation compiled by the Telecommunications Council
concerning the pro-competition policy in the telecommuncations industry to promote
the IT revolution (published on Dec. 21, 2000), the three-year deregulation plan
approved by the Cabinet on March 31, 2001, and others, the government submitted
revision bills of the Telecommunications Business Law and other related laws to the
151 Regular Diet session. The bills were legislated on June 15, 2001 and most of them
were put into force on Nov. 30 of the same year.
2
3
(Objective)
To support the expansion of NTT-Group businesses globally
(Outline)
i) Relaxation of restrictions on foreign investment in the holding
company (from less than 20 percent to one third of the total capital)
ii) Establishment of exceptional measures for the issuance of new
shares by the holding company
iii) Abolition of a system requiring the NTT Group to obtain official
approval when its holding company sells shares in NTT
Communications Corp.
Relaxation of NTT shares restrictions
(Objective)
To enhance free management of business operations by NTT
East and West, a new system will be established in which the two
companies are allowed to enter new sectors, such as Internetrelated services.
(Outline)
To enable NTT East and West to launch new telecommunications
businesses busing its facilities, technology or personnel after
obtaining the approval of the Minister of Public Management,
Home Affairs, Posts and Telecommunications. The two firms will
be allowed to do so as long as the new business does not
obstruct the smooth operation of their mainstay businesses, and
does not hamper fair competition in the telecommunications
market.
Expansion of the business of NTT East and West
(Objective)
Implementation of dramatic deregulation of existing restrictions to
the extent where it does not damage the interest of users
(Outline)
To abolish all official approval systems involving general
contractual conditions, interconnection agreements, and joint-use
agreements of non-dominant carriers, and to introduce a
notification system in the same manner as the tariff system.
Smooth implementation of cable laying, etc.
Drastic deregulation for the carriers
who are not dominant in the market
(Outline)
Establishment of regulations concerning a comprehensive review
of systems involving the telecommunications business, in the
supplementary provisions of the revised law.
Establishment of regulations concerning reviews
(Outline)
“Promotion of fair competition” should be clearly stipulated in the
purpose of the Telecommunications Business Law
Objective of the revision
Others
(Objective)
To promote effective use of fiber-optic networks by local
governments, public utilities, etc. and to enhance the flexibility of
network construction by telecommunications carriers
(Outline)
i) To introduce a system which enables provision of flexible
wholesale telecommunications services based on individual
contracts between telecommunications carriers (what is called
the “carrier’s carrier contract“).
ii) To abolish the traditionally provided services not included in the
general contractual agreement (subject to the official approval
system), and to introduce a notification system in which all
wholesale services will be reported to the authorities.
Introduction of the wholesale
telecommunications services system
(Objective)
To improve the flexibility of constructing networks by
telecommunications carriers
(Outline)
To make it clear that procedures for resolving disputes over the
use of electric poles, conduits, etc., stipulated in the
Telecommunications Business Law, will involve officially-owned
land. To establish procedures for mediation between a
telecommunications carrier and person or office in charge of
managing roads.
Promotion of establishment of an IT infrastructure
Further deregulation
To promote the IT revolution, efforts should be made to encourage fair competition and to maximize the profit of users
(Objective)
Establishment of a system to settle promptly and effectively
disputes involving interconnections and other problems between
telecommunications carriers
(Outline)
i) Establishment of a dispute-settlement committee (an organization
to be set up in accordance with Article 8), which is
organizationally independent of the division in charge of granting
official approvals and permissions.
ii) Introduction of simpler and speedier dispute-settlement
procedures (mediation, arbitration)
iii) Establishment of a system in which personnel changes of the
committee are made after approval by the Diet, and another
system in which new members are recommended to the Minister
of Public Management, Home Affairs, Posts and
Telecommunications.
Establishment of a committee to settle
disputes involving the telecommunications
carriers business
(Objective)
Establishment of a system in which all carriers benefiting from the
universal telephony service bear an appropriate amount of the
costs (external assistance).
(Outline)
Establishment of a system in which qualified telecommunications
carriers receive subsidies to cover part of the cost of providing
universal telephony service, through a designated, neutral and fair
corporation.
Establishment of a system concerning
universal telephony service
(Objective)
To create a typical pattern of telecommunications carriers that
dominate the market (both in the regional fixed telephony service
sector and the mobile communications sector), and to ensure
proper operation of their business.
(Outline)
i) To create typical patterns of anti-competition acts which should
be forbidden, and to formulate measures to promptly eliminate
such acts.
ii) Measures to enhance transparency and fairness of
interconnections (Measures to make it compulsory for carriers to
formulate and publish their general contractual agreements).
Establishment of asymmetric regulations
Establishment of rules for fair competition
Outline of partial revisions of the Telecommunications Law and related laws
3.
Establishment of interconnection rules
○November 1997:
○September 2000:
○October 2000:
○December 2000:
○April 2001:
○July 2001:
(1)
A law to revise part of the Telecommunications Business Law was
enforced《Formulation of basic rules on interconnection》
Establishment of rules concerning unbundling of subscriber lines
Establishment of rules concerning collocation
The first recommendation from the Telecommunications Council on
the “review of interconnection rules.”
Establishment of rules concerning unbundling of fiber optic
networks.
The second recommendation from the Telecommunications Council
concerning “interconnection rules in the age of information
technology.”
Unbundling of subscriber lines and fiber-optic networks
This means that telecommunications carriers divide network components and lease them
to Internet connection providers
Typical examples
-
(2)
Subscriber lines (not overlapped by telephone lines)
2,062 yen
Subscriber lines (overlapped by telephone lines)
187 yen
Subscriber fiber-optic lines
5,231 yen
Relay carriers’ fiber-optic networks
4.29 yen / meter + 157 yen
Collocation
This means that Internet connection providers install the equipment necessary for
connection, in the facilities of NTT East, NTT West, etc.
Procedures for collocation
(within one month)
Application
for prior
examination
(within six months)
Results of
prior
examination
Application
(within three months)
Start of
construction
Completion
(within one month)
(3)
Efforts made in response to the recommendation on “interconnection rules in the
age of information technology”
・Ministry ordinance
Further unbundling of fiber-optic networks and non-discriminatory treatment of domestic
and foreign carriers in taking procedures for the use of fiber-optic networks (inquiry to a
subcommittee on Sept. 21, 2001).
・Future efforts
Resale of public networks, further unbundling of subscriber lines, etc.
4
4.
Outline of NTT Reorganization Scheme
Holding Company
(Nippon Telegraph and
Telephone Corp.)
NTT
Communications
Corp.
-
-
Using its right as a shareholder to ensure that
regional communications services are provided
by the regional communications companies on
a stable basis
Promoting fundamental research and
development on telecommunications
NTT West Corp.
(Nippon Telegraph and
Telephone West Corp.)
-
-
Providing regional communications service in
Western Japan (Tokai, Hokuriku, Kansai, Chugoku,
Shikoku, Kyushu and Okinawa)
Being obliged to provide universal service of
telephony in Western Japan
NTT East Corp.
(Nippon Telegraph and
Telephone East Corp.)
-
-
Providing
regional
communications
service in Eastern Japan (Hokkaido,
Tohoku, Kanto, Tokyo and Shin'etsu)
Being obliged to provide universal
service of telephony in Eastern Japan
References
1.
special corporation,
private company
2. The holding company holds all shares of NTT East Corp. and NTT West Corp.
5
6
-
-
-
-
-
-
-
-
-
-
-
-
Longdistance/International
Carriers
Regional Carriers
Satellite Carriers
Mobile Communications
Cellular Phones
Radio Paging
PHS
Convenience Radio
Phone (CRP)
Ship Telephone
Airport Radio Telephone
Data communications
Radio access system
85
General Type II
Telecommunications Carriers
216
200
9
209
-
-
-
-
-
-
-
-
2
-
3
5
-
-
369
346
10
356
1
-
-
-
-
-
2
-
2
2
3
3
11
-
1
1
13
1987
567
512
18
530
1
-
-
-
1
-
-
20
2
23
2
4
5
35
-
1
1
37
1988
737
668
25
693
1
-
-
-
1
-
-
26
4
31
2
4
5
43
-
1
1
45
1989
903
813
28
841
-
-
1
-
2
2
-
33
8
46
2
7
5
60
-
1
1
62
1990
1,011
912
31
943
-
-
1
-
3
4
-
36
8
52
2
7
5
66
-
1
1
68
1991
1,106
1,000
36
1,036
-
-
1
-
3
4
-
36
9
53
3
7
5
68
-
1
1
70
1992
1,259
1,143
36
1,179
-
-
1
-
2
7
-
36
15
61
3
8
5
77
1
1
1
80
1993
1,675
1,550
39
1,589
-
-
2,218
2,063
44
2,107
-
-
1
2
2
1
1
7
23
31
17
82
2
11
5
100
9
1
1
111
1995
2
7
-
31
15
58
2
10
5
75
9
1
1
86
1994
3,260
3,084
50
3,134
-
-
2
2
-
6
28
31
21
90
4
16
5
115
9
1
1
126
1996
4,726
4,510
78
4,588
-
-
2
2
-
6
28
31
21
90
4
28
5
127
9
1
1
138
1997
6,024
5,776
95
5,871
-
-
2
2
-
-
28
31
21
84
5
47
6
142
9
1
1
153
1998
6,780
6,514
88
6,602
-
-
-
2
-
-
18
31
21
72
6
77
12
167
9
1
1
178
1999
7,900
7,550
101
7,651
-
-
-
2
-
-
9
19
21
51
5
159
21
236
9
1
3
249
2000
-
1
-
3
-
-
2
2
5
13
5
319
35
372
9
-
3
384
Apr. 1
2002
-
1
-
3
-
-
2
2
5
13
5
323
34
375
9
-
3
387
Jun. 1
2002
-
1
-
3
-
-
2
2
5
13
5
329
33
380
9
-
3
392
Sept. 1
2002
112
112
113
9,348 10,521 10,576 10,768
8,893 10,025 10,080 10,263
113
9,006 10,137 10,192 10,376
-
-
-
3
-
-
5
3
8
19
5
274
32
330
9
-
3
342
Apr. 1
2001
Notes:
1. Type I carriers offer services by establishing their own telecommunications circuit facilities.
2. Type II carriers offer services by leasing telecommunications circuit facilities.
3. NTT was reorganized into two regional Type I carriers (NTT East Corp. and NTT West Corp.) and one long-distance/international carrier (NTT Communications
Corp.) under one holding company (NTT) on July 1, 1999.
4. On October 1, 2000, DDI Corp., KDD Corp. and IDO Corp. were merged into DDI Corp. (KDDI)
87
0
Special Type II
Telecommunications Carriers
Total
85
Type II Telecommunications Carriers
-
-
-
New Type I
Telecommunications Carriers
Others
-
-
NTT DoCoMo, Inc. and its
group companies
1
1
1
1
7
KDD
2
1986
1.
NTT
Type I Telecommunications Carriers
1985
II. Current situation surrounding the
telecommunications business
Changes in the total number of telecommunications carriers
2.
Current Status of Main Foreign Investment in Telecommunications
Carriers
(1)
Type I telecommunications carriers
Carrier
Cable & Wireless IDC Inc.
J-COM Kanto Co., Ltd.
J-COM Kansai Co., Ltd.
KVH Telecom Co., Ltd.
PCCA Private Limited
PanAmSat International
Systems, Inc.
MCI WorldCom Japan, Ltd.
Metromedia Fiber Network
Japan K.K.
Global One Communications
Network, Inc.
Primus Japan K.K.
K.K. Telegloble Japan
RSL COM Service Japan K.K.
Singapore Telecom Japan,
Co., Ltd.
Reach Networks Japan K.K.
Reach Networks K.K.
EGN B.V.
T Systems Japan K.K.
Sony Corp.
FLAG Telecom Japan Limited
New Century Global Net Corp.
Genuity Japan K.K.
Asia Global Crossing Japan
Corporation
World Exchange
Circle Asia Corporation
J-COM Kitakyushu Co., Ltd.
J-COM Shonan Co., Ltd.
J-COM Sapporo Co., Ltd.
Kisarazu Cable TV
J-COM Gunma Co., Ltd.
GTE Far East (Services) Ltd.
AT&T Communications
Service Japan Ltd.
Williams Communications, Inc.
Sprint International Japan Co.,
Ltd.
Tyco Networks Japan Co., Ltd.
C2C Japan Co., Ltd.
Qwest Communications
Japan Co., Ltd.
Japan Telecom Co., Ltd.
Power Band Co., Ltd.
J-phone Co., Ltd.
ORBCOMM Japan Limited
Foreign
capital ratio
(As of Sept. 1, 2002)
Major foreign investors
98.02%
59.00%
58.11%
100.00%
100.00%
100.00%
Cable & Wireless plc (C&W), etc.
Liberty Japan, Inc., Liberty Jupiter, Inc., Microsoft Holding Inc.
Liberty Japan, Inc., Liberty Jupiter, Inc., Microsoft Holding Inc.
KVH Telecom Holding SCDRL
Corporate Access Group LTD.
Hughes Electronics etc.
100.00%
100.00%
MCI WorldCom, Inc.
Metromedia Fiber Network Service, Inc.
100.00%
Global One Communications World Holding
100.00%
100.00%
100.00%
100.00%
Primus Telecommunications Group, Inc.
Teleglobe Communications Corp.
RSL COM Asia Pacific Ltd.
Singapore Telecommunications Ltd.
100.00%
100.00%
100.00%
100.00%
44.56%
100.00%
100.00%
100.00%
100.00%
Reach Networks Hong Kong Limited
Level 3 International Inc.
Equant Finance B.V.
Deutsche Telecom AG
Moxley & Co., State Street Bank and Trust Company, etc.
FLAG Telecom Ireland Limited
NCG Holdings L.P.
Genuity Inc.
Asia Global Crossing Limited
100.00%
54.39%
44.78%
41.00%
46.32%
45.78%
59.00%
100.00%
100.00%
World Exchange Communications
Grand River Group Limited, etc.
Liberty Japan, Inc., Liberty Jupiter, Inc., Microsoft Holding Inc.
Liberty Japan, Inc., Liberty Jupiter, Inc., Microsoft Holding Inc.
Liberty Japan, Inc., Liberty Jupiter, Inc., Microsoft Holding Inc.
Liberty Japan, Inc., Liberty Jupiter, Inc., Microsoft Holding Inc.
Liberty Japan, Inc., Liberty Jupiter, Inc., Microsoft Holding Inc.
Verizon Hawaii International
AT&T TransOceanic Communications L.L.C.
100.00%
100.00%
Williams Communications Participations
Sprint International Holding Inc.
100.00%
100.00%
100.00%
TCN Holding Luxemburg
C2C Pte Limited
Qwest Communications International
45.00%
64.20%
69.72%
37.91%
Vodafone International Holdings BV
J.H. WHITNEY IV LP, World View Technology Partners III LP
Boderphone International Holdings B.V., etc.
ORBCOMM Asia Limited
Note: This list includes companies with foreign capital ratio of more than a third.
7
(2)
Special Type II telecommunications carriers
Carrier
IBM Japan, Ltd.
Information Service International-Dentsu, Ltd.
Xpedite
Compaq Computer K.K.
Cable & Wireless Japan Ltd.
Concert Global Network Japan
Deutsche Telecom K.K.
Reach Holdings Singapore Japan
Saiki-Tech Communications Japan Co., Ltd.
TMI Telemedia International Hong Kong Ltd.
IXnet Japan Co., Ltd.
UUNet Japan Co., Ltd.
MCI International (Japan) Co., Ltd.
AT & T Communications Service Japan Ltd.
MCI WorldCom Communications Japan Ltd.
Far East Data Ltd.
DoCoMo AOL, Inc.
PSINet Japan Inc.
Coyote Network Systems, Inc.
Magde Web Japan Co., Ltd.
Equant Co., Ltd.
Primus Telecommunications K.K.
City Telecom (Japan) Co., Ltd.
Telegroup Japan, Inc.
RSL COM Japan, K.K.
Teleglobe Services Japan, Inc.
Pacific Gateway Exchange Japan Inc.
GINGA Communications International, Inc.
Singapore Telecom Japan Co., Ltd.
Nippon WorldxChange Ltd.
Genuity International Inc. (Japan)
AIC Telecom (Japan) Ltd.
i-Tel Corp.
AT & T Global Network Services Japan LLC
Verizon Global Solutions Holdings Limited
Cignal Telecommunications Japan K.K.
Korea Telecom Japan K.K.
REUTERS Japan Ltd.
Telecom New Zealand Japan K.K.
Wherever Japan K.K.
At Home Japan Ltd.
KPN Japan, Ltd.
Nittan Telecom (Japan) Ltd.
Global Crossing Japan Corp.
M3Com (Japan) K.K.
AboveNet Japan KK
Savvis Japan Ltd.
Bazillion Inc.
WAM!NET Holding Japan KK
Hewlett-Packard Japan, Ltd.
At Network Japan KK
Streamscape
Enron Broadband Services Network
QoS Network Services Japan
Sprint International Holding, Inc.
Angstrom Network Japan
iBasis Japan Co., Ltd.
XA Aliance Co., Ltd.
Infoserve Technology Co., Ltd
BELGACOM Japan Co., Ltd
PCCW Communications Japan Co., Ltd
SK Cyberpass Co., Ltd.
Chinalink Networks Co., Ltd.
Japan run xun Communications Co., Ltd.
8
Foreign
capital ratio
100.00%
34.00%
100.00%
100.00%
85.80%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
90.00%
40.30%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
85.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
57.2%
100.00%
100.00%
100.00%
100.00%
40.0%
100.00%
90.0%
100.00%
100.00%
100.00%
99.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
99.8%
100.00%
(As of Sept. 1, 2002)
Major foreign investors
IBM WTC (U.S.A)
GE Information Service (U.S.A)
Xpedite Systems Inc. (U.S.A)
Digital Equipment Corp. (U.S.A)
Cable & Wireless plc. (U.K.)
Concert Global Networks (U.S.A) Inc.
Deutsche Telekom AG (Germany)
Reach Ltd. (Hong Kong)
SAIKI TECH INVESTMENT HOUSE (ISRAEL) LTD.
TMI Telemedia International Hong Kong Ltd.(Hong Kong)
Saturn Global Network Holding Ltd. (U.K.)
UUNet Technologies Inc. (U.S.A)
MCI International, Inc. (U.S.A)
AT & T Corp. (U.S.A)
MCI WorldCom, Inc. (U.S.A)
Far East Enterprises, Ltd. (U.S.A)
America Online, Inc. (U.S.A)
PSINet Inc. (U.S.A)
Coyote Network, Systems, Inc. (U.S.A)
Tullett & Tokyo Forex Europe B.V.(the Netherlands)
EGN B.V. (the Netherlands)
Primus Telecommunications International, Inc. (U.S.A)
City Telecom (H.K.) Ltd. (Hong Kong)
Telegroup, Inc. (U.S.A)
RSL Communications Ltd. (U.S.A)
Teleglobe International Corp. (U.S.A)
Pacific Gateway Exchange Inc. (U.S.A)
Unitrendix Corp. (U.S.A)
Singapore Telecommunications Ltd. (Singapre)
WorldxChange Communications (U.S.A)
Genuity International Inc. (U.S.A)
AIC (Asia Pacific) Ltd. (Hong Kong)
Impact Telecommunications, Inc. (U.S.A)
AT & T Corp. (U.S.A)
Verizon International Holdings Limited (Bermuda (U.K. territory))
Cignal Global Communications Holding B.V. (the Netherlands)
Korea Telecom (South Korea)
Reuters Group PLC (U.K.)
Telecom New Zealand International Ltd. (New Zealand)
Wherever Technology Corp. (Taiwan)
At Home Corp. (U.S.A)
Royal KPN N.V. (the Netherlands)
Nittan Telecom Ltd. (Hong Kong)
Asia Global Crossing (U.S.A)
Millenium 3 Communications, Inc. (U.S.A)
AboveNet Communications, Inc. (U.S.A)
Savvis Communications, Inc. (U.S.A)
Bazillion Inc. (U.S.A)
WAMNET Inc. (U.S.A)
Hewlett-Packard Company (U.S.A)
Network Inc. (U.S.A)
Streamscape Network Inc. (U.S.A)
Enron Corporation (U.S.A)
QoS Network Services Ltd. (Ireland)
Sprint International Holding, Inc. (U.S.A)
Angstrom Networks Ltd. (U.S.A)
iBasis Global, Inc. (U.S.A)
OMM Holdings Limited (Cayman Islands (U. K. territory))
Infoserve Tech Corp. (U.S.A)
BELGACOM S.A. (Bergen)
PCCW Holdings Limited (Cayman Islands (U. K. territory))
SK Telink (Korea)
Chinalink Networks Limited
Chinamotion (Hong Kong)
3.
Changes in market size / investment in facilities and equipment
(1)
Changes in market size of type-1 carriers
①
②
The market size (combined sales) of type 1 carriers in fiscal 2001 was 17,245.3 billion
yen (up 9.8 percent from the previous year)
Supported by the growth of the mobile communications business, the combined sales
surged from the previous year.
(100 million yen)
200,000
171,236
172,453
169,826
155,783
150,000
138,615
133,048
121,370
100,289
100,000
50,000
0
(2)
95
96
97
98
99
00
02 Fiscal year
（Projection）
01
Equipment investment by type-1 carriers (Plans for fiscal 2002)
①
②
③
The total amount of equipment investment projected for fiscal 2002 is 2,882.3 billion yen
(down 3.8 percent from the previous year’s total)
This represents the second-highest amount in equipment investment projected by all
industries (37,671.9 billion yen).
Equipment investment by type-1 carriers is the second largest, next to that of the
electrical power and gas industries.
(Unit: 1 trillion yen)
※ The combined amount of equipment investment by all industries:
37,671.9 billion yen (down 9.1 percent)
3.2
(▲12.5)
2.9
2.9
(▲15.4) (▲20.7)
3.5
3.0
2.5
(▲24.0)
2.5
1.5
(▲8.2)
2.0
1.5
1.5
(▲1.7)
1.4
(▲20.4)
Mobile
communications
business:
1.5 (▲10.3)
1.0
0.5
0.5
(▲26.1)
0.3
(▲17.2)
0.0
C
on
n
ea
Iro
R
st
ru
ct
io
n
ee
s
e
st
at
d
st
an
le
s
l
hi
ne
ry
ic
at
as
un
,G
m
er
om
ac
ile
al
m
ob
ic
c
es
m
m
tri
ic
to
he
ec
rv
Au
C
El
Se
ow
ec
lp
el
ca
It
tri
pe
ec
Ty
El
io
ns
bu
si
ne
ss
9
4.
Shares of NTT and NCC
(1)
Sales of NTT-Group companies in each type of service (FY2001)
Voice communications
(5,431.3 billion yen)
Leased line
(1,145.9 billion yen)
NCC (26.3%)
NCC (16.2%)
NTT
(73.7%)
NTT
(83.8%)
Data transmission
(467.4 billion yen)
NTT
(53.5%)
NCC (46.5%)
Mobile communications
(6,033.5 billion yen)
NTT Docomo
(60.5%)
NCC (39.5%)
Note:
1. “NTT” indicates the combined sales of NTT East, NTT West, and NTT
Communications.
2. The figures in the charts of voice communications, leased line, and data transmission
services are those of the fixed telephone service providers.
3. The figure for mobile communication indicates the combined sales of all mobile
communications service providers.
10
(2)
Telephone (Subscriber Telephone + ISDN) Market Share of NTT and NCCs
(Share of traffic in FY2000)
(1) Share of NTT and NCCs in
all traffic
NCCs:
15.48 bil.times (13.79 bil.times)
18.5% (16.6 %)
(2) Share of inter-prefectural traffic
NTT and NCCs in all traffic
NCCs:
8.97 bil.times (8.52 bil.times)
46.5% (45.4%)
Inter-prefectural
traffic:
19.31 bil.times
(18.76 bil.times)
Total traffic:
83.85 bil.times
(82.93 bil.times)
NTT:
10.34 bil.times (10.24 bil.times)
53.5% (54.6 %)
NTT:
68.37 bil.times (69.14 bil.times)
81.5% (83.4%)
(3) Share of NTT and NCCs in
local traffic
NCCs:
Figures in parenthesis represent the
share of traffic in FY 1999.
2.31 bil.times (1.77 bil.times)
4.5% (3.5%)
Notes:
1. Figures for NCCs include those of KDDI Corp.,
Japan Telecom Co., Ltd., J-COM Tokyo, JCOM
East Communications, Corp., MCIWC, C&W
IDC and 8 power-utility-company-based NCCs
(HOTnet, TOHKnet, HTnet, CTC, OMP, CTNet,
STNet and QTNet).
Local traffic:
51.19 bil.times
(50.63 bil.times)
NTT:
48.88 bil.times (48.89 bil.times)
95.5% (96.5%)
(3)
Changes of NCCs' share in all traffic
10.5%
FY1997
37.3%
NCCs' share in all traffic
NCCs' share in inter-prefectural traffic
13.7%
FY1998
42.4%
16.6%
FY1999
45.4%
18.5%
FY2000
46.5%
0
10
20
30
40
50%
11
5.
Current Status of Rate Reductions
(1) Long-distance call (Tokyo-Osaka)
3 minutes, daytime, weekdays
450
400
350
300
250
200
¥¥440000
▲95%
150
100
50
¥¥8800
0
July 21, 1983
NTT
Mar. 1, 2001~
NTT-C, JT
KDDI
¥¥5544
¥¥4455
¥¥2200
Mar. 1, 2001~
TTNet
Dec. 1, 2000~
C&WIDC
April 1, 2001~
Fusion,
Dec. 12, 2001~
HEISEI DEN DEN
Jan., 2002~ MEDiA
(2) Local call
3 minutes, daytime, weekdays
15
10
¥¥1100
TTNet,
QTNet ¥9
NTT East ¥9
TTNet ¥8.7
¥¥99
¥¥99
∼
∼
¥¥88..77
5
NTT East and
West, KDDI, JT,
NTT-C ¥8.5
TTNet, QTNet
MEDiA ¥8.2
¥8.4
HEISEI DEN DEN
¥7.5
¥¥88..55
∼
∼
▲25%
∼
¥¥88..44
▲15%
0
12
Nov. 17, 1976~ Jan.7, 1998~ TTNet
NTT
April 1, 1999~ QTNet
Jan. 10, 2001~
May 1, 2001~
¥¥88..22
∼
∼
¥¥77..55
MEDiA Jan. 30, 2002~
HEISEI DEN DEN
Feb. 1, 2002~
(3) International call (Japan-U.S.A)
3 minutes, daytime, weekdays
2000
1500
1000
¥¥11,,553300
KDD: ¥450 (Nov. 23, 1996)
JT: ¥440 (Dec. 20, 1996)
C&W: IDC ¥440 (Dec. 20, 1996)
▲90∼
∼96%
500
MCIWCJ: ¥150 (Dec. 1, 1998)
JT ¥180: (Oct. 1, 1999)
C&W IDC: ¥180 (Oct. 5, 1999)
KDDI: ¥180 (Nov. 1, 1999)
TTNet: ¥132 (Nov. 1, 1999)
DTJ: ¥75 (Dec.10, 2000)
NTT-COM: ¥160 (April 3, 2000)
Fusion: ¥45 (Sept. 1, 2001)
MEDiA: ¥45 (Jan. 30, 2002)
HEISEI DEN DEN: ¥45
(Feb. 1, 2002)
0
April 1, 1985~
KDDI
(4) Cellular phone (800MHz digital system)
Call rate (cellular phone → fixed phone, intra-prefectural)
20000
Basic fee
400
15000
300
▲75%
10000
¥¥1177,,000000
▲73%
200
¥¥226600
5000
100
¥¥44,,330000
¥¥7700
0
NTT DoCoMo,
Mar. 25, 1993~
Note:
J-Phone,
June 1, 1999~
NTT DoCoMo,
Mar. 25, 1993~
NTT DoCoMo and nine
other companies,
Dec. 1, 2000~
On March 25, 1993, the "800MHz digital cellular phone service" started.
NTT DoCoMo reduced the basic charge to 4,500 yen (including a free call allowance
worth 200) in June 2000.
13
14
3.3%
11.55
6.4%
11.0%
16.94
19.1%
27.06
34.0%
47.08
60.5%
55.93
97.6%
Environment surrounding telecommunications business
Penetration rate in
enterprises
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
(1)
Penetration rate in
households
End of 2005
872
(Estimate)
Total Internet user population and Internet diffusion rate
Number of Internet users
(Japan)
End of CY1995 End of CY1996 End of CY1997 End of CY1998 End of CY1999 End of CY2000 End of CY2001
11.7%
50.4%
68.2%
80.0%
88.6%
95.8%
（％）
100.0%
1.
※ Businesses are those having more than 300 workers on their payrolls, and are located in Japan
(excluding businesses in the agriculture, forestry, fisheries and mining industries).
Source: WHITEPAPER Information and Communications in Japan 2001, etc.
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
(Unit: 1 million)
10,000
III. Internet
14
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
4,500,000
10,000
Cable
Cable Internet
Internet
99-6
99-9
99-12
00-3
00-6
1,235
00-9
2,537
00-12
9,723
2,076,302
1,787,598
3,300,926
01-3
01-6
01-9
01-12
650,796
510,339
400,760
291,333
70,655
178,737
112,182
1,524,564
02-3
Current Status of Broadband Penetration - Number of Subscribers
171.0 thousand
156.7 thousand
3,028,556
2,378,795
3,915,740
3,610,199
2,699,285
(As
(As of
of the
the end
end of
of Aug.
Aug. 2002)
2002)
・Businesses:
47
・Businesses: 47
(As
(As of
of the
the end
end of
of Aug.
Aug. 2002)
2002)
ＤＳＬ
ＤＳＬ
・Subscribers:
3,915,740
・Subscribers: 3,915,740
02-6
02-9
153.3 thousand
145.6 thousand
162.6 thousand
115.1 thousand
139.9 thousand
133.4 thousand
96.7 thousand
130.3 thousand
1,204,564
78.4 thousand
921,867
62.5 thousand
46.3 thousand
32.9 thousand
21.6 thousand
・Subscribers:
1,710,000
abt. 1,710,000
・Subscribers: abt.
270
・Businesses:
270
・Businesses:
(As
(As of
of the
the end
end of
of July
July 2002)
2002)
15.4 thousand
6.6 thousand 9.2 thousand
3.2 thousand
211
19
99-3
abt. 21,000
84,903
68,600
50,930
34,930
26,400
18,188
12,337
abt. 9,300
abt. 4,700
abt. 200 abt. 500 abt. 1,400
(As
(As of
of the
the end
end of
of July
July 2002)
2002)
・Subscribers:
abt. 21,000
21,000
・Subscribers: abt.
・Businesses:
25
・Businesses: 25
Wireless
Wireless
(As
(As of
of the
the end
end of
of July
July 2002)
2002)
(for
(for General
General users)
users)
・Subscribers:
84,903
・Subscribers: 84,903
・Businesses:
10
・Businesses: 10
Fiber-optic
Fiber-optic networks
networks
abt. 18,500
abt. 15,000
abt. 10,500
abt. 8,000
abt. 6,500
0
abt. 900 abt. 2,500 abt. 3,100 abt. 5,000
00-9 abt. 450
00-12
01-3
01-6
01-9
01-12
02-3
02-6
02-9
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
(2)
Changes in the total number of subscribers to high-speed and ultra-high-speed
Internet services
15
15
16
16
8Mbps
/1Mbps
3,100
NTT East
1.5Mbps
/512kbps
2,900
1,950
NTT-C
Total
5,050 yen
20020606
1,950
NTT-C
Total
4,850 yen
Yahoo
8Mbps
/900kbps
2,453
Total
2,453 yen
1.5Mbps
/128kbps
7,085
Total
7,085 yen
Verizon Communications
(New York)
768kbps
/128kbps
5,903
Total
5,903 yen
BT
(London)
512kbps
/256kbps
4,353
Total
4,353 yen
FT
(Paris)
500kbps
/128kbps
2,932
2,012
FT
Total
4,944 yen
DT
(Germany)
768kbps
/128kbps
2,056
2,519
DT
Total
4,575 yen
Internet access rate
Note:
1. The rates indicated are those of July 2002.
2. Exchange rates of July 10, 2002 were used to convert rates in each country (US$1 = ¥118.18; £1 = ¥182.65; 1 euro = ¥116.90; 1 won = 0.09 yen)
3. Taxes were not included for all rates.
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
Communications service fees
KT
(Korea)
1.5Mbps
/256kbps
2,700
Total
2,700 yen
Current Conditions in Electronic Communications (International comparison of full-time Internet connection fees (ADSL))
（yen）
2.
3.
Deployment of fiber-optic networks
(1)
Current status in terms of cable length used
(As of the end of FY2001; unit: 1,000km)
Item
Cable length
Backbone networks
(2)
Fiber-optic cable
283
257
Access networks
1,400
291
Total
1,683
548
Changes in ratio of fiber-optic cables to all cables (cable length)
(Unit: %)
End of Fiscal
Year
FY91
FY92
FY93
FY94
FY95
FY96
FY97
FY98
FY99
FY00
FY01
Backbone
networks
36.4
42.1
48.0
55.4
60.3
65.8
70.9
78.1
86.0
89.4
90.6
Access
networks
2.3
2.9
3.8
4.7
6.4
9.7
13.2
15.2
17.7
18.9
20.7
Total
8.6
10.1
12.4
15.1
17.3
21.4
25.1
27.7
32.6
31.4
32.5
Note: Since the end of FY2000, the total length of the International cables has been deducted
from the total length of the relay carriers’ cables.
(3)
Trends in actual investment in fiber-optic networks
(Unit: ¥1 billion)
End of Fiscal
Year
FY94
FY95
FY96
FY97
FY98
FY99
FY00
FY01
Backbone
networks
3,414
2,972
3,387
3,446
2,247
2,859
2,037
1,957
Access
networks
1,299
2,447
3,315
3,033
2,415
2,774
2,052
2,153
Total
4,713
5,419
6,702
6,479
4,662
5,633
4,089
4,110
17
(4)
Target of fiber optic Infrastructure
Coverage (target)
100%
Make efforts to complete nationwide fiber-optic
access networks by FY2005"
(Policy Measures for Economic Rebirth: November
1999)
nationwaide
Efforts made to
complete the network
as early as 2005
From 2001:
Reorganization
Establishment of the IT Strategy
Headquarters
January 6, 2001:
Enforcement of the Basic Law on
Information Technology (IT Basic Law)
From 1995:
Special Financing System for the
Development of the Optical Subscriber
Loop System
59%
August 1994:
Set up Advanced Information and
Telecommunications Society
Promotion Headquarters
From 1991:
Provisional Measures Law
for Telecommunications
Infrastructure
Actual result
1994
Initial plan
(Telecommunications Council
Report of May 1994)
FY
1994
1995
1996
1997
1998
1999
2000
2001
Coverage
abt. 10%
abt. 13%
abt. 16%
abt. 19%
abt. 27%
abt. 36%
abt. 43%
abt. 59%
2000
2001
18
2005
2010
4.
Major support systems for fiber-optic networks and broadband access
networks
Financing Systems
No/low interest financing by the
Development Bank of Japan
No/low interest financing by the Development Bank of
Japan for perators introducing broadband access
networks such as fiber optic/DSL, etc.
(No interest for public corporation, low interest for
private corporation)
No-interest loan
(NTT-C / the Third Sector)
Low-interest loan
(NTT-C' / Private Sector)
Ultra-low interest financing by the
Development Bank of Japan and
Telecommunication Advancement
Organization (TAO)
TAO makes interest-based assistance for private
corporation with low interest financing from the
Development Bank of Japan.
Tax benefit incentives
Special redemption
for corporate tax
Operators introducing broadband access networks such as fiber
potic/DSL, etc. can apply for a special 6-18% redemption for corporate
tax.
Decrease of the tax
standard for fixed
assets tax
Operators introducing broadband access networks such as fiber
optic/DSL, etc. can decrease the tax standard for fixed assets tax by 2025%.
Guarantee of
liabilities
TAO guarantees the debt liabilities of operators introducing broadband
access networks such as fiber potic/DSL, etc.
To receive the following support, applicants should obtain
authorization of deployment plans from MPHPT in line with the
Provisional Measures Law for Telecommunications Infrastructure
Improvement.
19
IV. Mobile communications
1.
Status of diffusion of mobile phones
8,000
As of the end of Mar. 2002: 73.211 million subscribers
Cellular phones: 69.121 million
PHS: 5.7 million
As of the end of Aug. 2002: 77.267 million subscribers
Cellular phones: 71.622 million
PHS: 5.645 million
7,000
Mar. 31, 2000: 63.883 million subscribers
Cellular phones: 60.942 million
PHS: 5.842 million
6,000
Revised forecast for mobile telephone market
5,000
Year 2000
25.0~32.5 million
↓
42.8~47.3 million
↓
6.2~6.7 million
Forecast in April 1996
Forecast in February 1997
Forecast in Sept. 1999
Year 2010
59.9~66.2 million
7.5~10.0 million
Source: Telecommunications Technology Council Report
4,000
July 95: Market entry of PHS carriers
3,000
April 94: Introduction of competition, by 4 carriers in
each regional block (market entry of digital
mobile carriers) and COAM system
July 93: NTT DoCoMo split into 9 companies
2,000
July 92: NTT separated mobile communications service
December 88: NCCs' entry
1,000
December 79:
NTT started service
April 85:
Telecom Reform
433
213
138
24
0
4
Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Nov. Mar. Aug.
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
00
01
02
02
¥200,000
Deposit
Subscription fee
Monthly basic
charge
Call charge
(3 minutes)
¥100,000
¥80,000
¥72,000
¥30,000
(Analog)
¥18,000
Abolished
¥45,800
¥15,000
¥9,500
(800MHz, digital) ¥8,800
¥280
(Analog)
¥260
(800MHz, digital) ¥260
¥21,000→¥9,000→¥6,000→Free
¥8,400
¥6,600
Abolished
¥6,800
¥4,900
¥4,500
¥230→¥200→¥150→¥ Abolished
¥200→¥180→¥110→¥80→¥70 (Dec. 2000)
Note: Figures are cellular phone rates of NTT DoCoMo (standard plan rate for 3 minutes during daytime hours on weekdays [when the person
receiving the call is using a standard telephone within the central business zone of NTT DoCoMo]).
20
2.
Growth Factors in the Mobile Phone Market
● Mobile phone market is growing with an annual increase of 10 million subscribers each
year.
26.91 million (FY96) → 38.25 million (FY97) → 47.31 million (FY98) →
56.85 million (FY99) → 66.78 million (FY2000) (Cellular phone: 60.94 million, PHS: 5.84
million) → 74.817 million (As of the end of Mar.) (Cellular phone: 69.12 million, PHS:
5.697 million)
● High growth is fostered by pro-competition policy and technological innovation which
accelerate rate reduction and diversification
Pro-competition policy
• Realization of fair and competitive markets containing six carriers
in each market
(1)
July 1992: Separation of mobile business unit from NTT
July 1993: Division of the mobile business carrier separated from NTT into 9 companies
(2)
1994: Introduction of competition by 3 or 4 carriers in each market block
This became the most pro-competitive policy in the world
(3)
Permission for 3 PHS carriers in each market block
(4)
April 1994: Introduction of COAM (Customer Owned and Maintained) system
(5)
Dec. 1998: Nine NTT Personal Group companies transferred their PHS business to NTT
DoCoMo Group companies in each region. (5 or 6 cellular and PHS carriers in each
regional block)
Technological innovation
• Digitalization and drastic technological innovation in terminal
equipment
(1)
1993: Digital mobile phone services launched - Higher quality, privacy function, etc.
(2)
Down-sizing and weight-reduction of terminals, longer battery life, low-priced terminals
New subscription fees
Basic fees
Communication fees
Rate reduction and
diversification
1997
0
6800
130
→
→
→
2002
0
4500
70
• Rapid reduction and diversification of rates
(1)
With the implementation of the above-mentioned pro-competition policy and the progress
of technological innovation, we succeeded in cutting our rates sharply. The new
subscription fee was reduced to zero starting December 1996. The basic charge was cut
by about 34% and the telephone call rate, by about 46% during the past five years, said
NTT DoCoMo, Inc.
(2)
April 1994: Introduction of "Low-volume call rate" tariff opened market to personal users.
(3)
April 1995: NTT DoCoMo introduced "Area-by-area call rate" tariff (3 min. ¥70: 800MHz,
digital).
21
V. Introduction of new wireless systems
1.
The third generation mobile communications system (IMT-2000)
※IMT-2000: International Mobile Telecommunications - 2000
◎ Characteristics
¾ Realization of an internationally unified system → Global service that can be used
worldwide
¾ High transmission speed about 200 times faster than that of existing mobile telephones
(capable of transmitting simple, moving images)
¾ Capable of providing a voice-communications service whose quality is as good as that of
the fixed telephone network.
◎ Schedule for launching services
− NTT DoCoMo Group････････ In May 2001, this group launched the third-generation
mobile communications service on an experimental basis.
(Japanese/European system)
In October 2001, this group launched the full-fledged
service.
− J-Phone･･･････････････････ This group launched the experimental service in June 2002.
(Japan/European System)
It will start the full-fledged service in December 2002.
− KDDI Group ･･･････････････ This group launched the service in April 2002. (North
American system)
The 2 GHz service will be launched in April 2003 on an
experimental basis, and the full-fledged service, in
October, 2003.
∼Changes in the mobile communications system∼
∼
◆The first-generation mobile telephone (analogue system)
This system was launched in 1979, using the frequency band of 800MHz. Voice communications service
only.
◆The second-generation mobile telephone (digital system)
This system was launched in 1993, using the frequency bands of 800MHz and 1.5GHz. Voicecommunications and low-speed data transmission services (transmission speed of 9.6 – 64 kbps)
◆PHS (Personal Handy Phone System)
This system was launched in 1995, using the frequency band of 1.9 GHz. Voice-communications and lowspeed data transmission services (transmission speed of 32 – 128 kbps)
2Mbps (384kbps immediately after this system was introduced)
Indoor applications
384 kbps → moving images
Base station
Fixed network
Multimedia devices
Fixed/mobile
network
Indoor equipment
64 kbps
mobile
device
Multimedia devices
Telephone
Devices installed
in a car
22
Other IP network
Switching
center
64,128,144kbps
Other mobile network
Base
station
64∼
∼384kbps
PDA
2.
The fourth-generation mobile communications system
Image of the system
The next-generation mobile communications system will come after IMT-2000. The
following high technology will be achieved.
・The downstream (from the base station to terminal devices) transmission speed will be
increased to 50-100 Mbps. (In the case of IMT-2000, the maximum speed of both the
downstream and upstream transmission is 2Mbps.)
・Multimedia mobile communications, including the transmission of high-definition, moving
images.
・Increased compliance with the Internet protocol, and is compatible with IPv6.
・Introduction of the next-generation mobile communications technology, including
wireless technology software (the technology that makes it possible to flexibly change
the frequency, communications system, etc. via software)
Classification of mobile
移動通信システムの分類
communications systems
High speed
Moving speed
IMT 2000
Digital
mobile
phone
Walking
environment
(Secondgeneration
system)
(Third-generation
system)
4G System
(Fourth-generation
system)
PHS
Wireless access /
Wireless LAN
Stationary
environment
0.01
0.1
1
10
100
Communication speed (Mbit/s)
23
Application Schedule
2001:
Recommendation from the Telecommunications Council (June)
(Basic concept, plans involving technological development /
standardization, methods of achieving such plans, etc.)
⇒ Proposal to ITU
2002:
Formulation of the policy on the frequency bands for future mobile
communications, such as the fourth-generation mobile communications
2005 :
Improvements and sophistication of the existing systems
Establishment of the technology required for the fourth-generation mobile
communication system
Around 2006: International allocation of the frequency bands for the fourth- generation
mobile communications system (WRC-2006?)
By 2010:
To put the fourth-generation mobile communications system into practical
use
Trends of mobile communications
移動通信の変遷
1980’s
Starting period
Mainly voice
communications
Analogue,
Mobile / car
telephone,
Cordless telephone
(First generation)
24
1990’s
Growing period
2000’s
Expanding period
(customization of mobile devices Personal use)
Voice / ordinary data
~64 kbps
Digital,
Mobile / car
telephone,
Cordless telephone
(2 - 2.5 generation)
voice / ordinary data
~384kbps (~2Mbps)
IMT- 2000
(Third generation)
Maturing period
50-100 Mbps
Multimedia mobile
communications
systems, including
image and broadband
services
(Fourth generation)
3.
Wireless access system
○ E-Japan Priority Policy Program (Decided by the IT Strategy Headquarters on March
29, 2001)
Extracts
Before the end of the year 2001, the frequency band available for high-speed wireless Internet access
will be expanded. At the same time, the allocation of frequency will be reviewed and the re-allocation
will be carried out by FY2002, to secure the frequency for fourth-generation mobile communications
systems, etc.
Frequency bands
System
Maximum
transmission speed
Transmission
distance
Point-to-Point
(P-P)※1
Around 10Mbps※2
Around 5km※3
2.4 GHz band
Point-to-multipoint
(P-MP)※1
Around 2 Mbps
Around 400m※3
22/26/38 GHz
band
Point-to-Point
(P-P)
Around 156 Mbps
Around 4km
26/38 GHz band
Point-to-multipoint
(P-MP)
Around 10 Mbps
Around (radius)
1km
25 GHz band
Point-to-Point
Point-to-multipoint
Around 100 Mbps
Around 100m
Institutionaliz
ation
Number of
companies
entered
1999.10
(Expansion of
the frequencyusable areas)
12
11※4
1998.12
10※4
2002.2
――
Notes:
1. P-P:
A system used when one radio station communicates with another radio subscriber station.
P-MP:
A system used when one base station communicates with more than one subscriber station.
2. The most widely-used system (IEEE 802.11b)
The revision of the current regulation in February 2002 enabled higher-speed telecommunications of
more than 20 Mbps.
3. Because this frequency band is used for other purposes as well, the transmission distance is greatly
affected by the surrounding environment. (High-directional antenna capable of extending transmission
distance three-fold will be introduced around the spring of 2002.)
4. Some companies use both systems. As a result, the number of the companies in this market totaled 15.
Subscriber
P-MP communications system
Base station
Subscriber
Fiber optics
P-P
communications
system
Subscriber
Subscriber
25
VI. Diffusion of major radio stations
1.
Transition in the Number of Cellular Phones
69,121
70,000
NCC's Digital phone
NTT DoCoMo's Digital phone
NTT DoCoMo's Analog phone
NCC's Analog phone
65,000
60,000
60,942
55,000
51,139
50,000
45,000
41,530
40,000
35,000
31,527
30,000
25,000
20,877
20,000
15,000
10,204
10,000
4,331
5,000
868
1,378
1,713
2,131
0
FY89 FY90 FY92 FY93 FY94 FY95 FY96 FY97 FY98 FY99 FY00 FY01
2.
Transition in the Number of PHS Subscribers
(Unit: 1,000 terminals)
8,000
6,858
7,000
6,030
6,000
7,017 6,994
6,727
5,778 5,707 5,842 5,698
4,939
5,000
3,961
4,000
2,822
3,000
2,000
1,508
1,000
615
133
0
FY87 FY88 FY89 FY90 FY91 FY92 FY93 FY94 FY95 FY96 FY97 FY98 FY99 FY00 FY01
26
3.
Transition in the Number of Radio Pagers
(Unit: 1,000 subscribers)
12,000
NTT DoCoMo
NCC
10,611
10,074
10,000
9,353
8,064
8,000
7,116
6,689
5,911
6,000
5,083
4,247
3,766
4,000
3,520
2,071
2,000
1,439
1,137
0
FY88 FY89 FY90 FY91 FY92 FY93 FY94 FY95 FY96 FY97 FY98 FY99 FY00 FY01
4.
Transition in the Number of SA Earth Stations
(Unit: Number of VASTs)
9,000
8,876
8,872
FY00
FY01
8,588
8,024
8,000
6,931
7,000
6,000
5,611
5,000
4,279
3,793
4,000
3,227
3,000
2,597
2,000
1,066
1,157
FY90
FY91
1,000
0
FY92
FY93
FY94
FY95
FY96
FY97
FY98
FY99
27
References
28
Reference I.
Status of diffusion of cable television
Reference II.
Current Status of Broadcasting Business
in Japan
Reference I.
1.
Status of diffusion of cable television
Changes in the total number of subscriber households, diffusion rate
[10,000 households]
Diffusion rate [%]
1400
30.0
27.1
Subscriber households
Diffusion rate [％]
1200
20.0
1000
25.0
21.8
1303
17.0
800
600
20.0
14.6
15.0
1048
947
11.0
794
672
400
10.0
500
5.0
200
0.0
0
FY1996 (37.5%) FY1997 (34.4%) FY1998 (18.1%) FY1999 (19.3%) FY2000 (10.6%) FY2001 (24.4%)
※ The data are as of the end of each fiscal year. The figures in the parenthesis are the rate of yearto-year increase in the total number of subscriber households. The diffusion rate was calculated
using official family register data as of the end of each fiscal year.
2.
Changes in the total number of cable television facilities
1200
800
937
973
1030
FY1996 (12.9%)
FY1997 (3.8%)
FY1998 (5.9%)
984
946
994
FY2000 (-3.9%)
FY2001 (5.1%)
400
0
FY1999 (-4.5%)
※ The data are as of the end of each fiscal year. The figures in the parenthesis are the rate of yearto-year increase in the total number of cable television facilities.
3.
Changes in the total number of cable television service providers
800
600
708
720
738
686
400
646
669
Note
200
0
FY1996 (10.5%)
FY1997 (1.7%)
FY1998 (2.5%)
FY1999 (-7.0%)
FY2000 (-5.8%)
FY2001 (3.6%)
※ The data are as of the end of each fiscal year. The figures in the parenthesis are the rate of yearto-year increase in the total number of cable television service providers.
Note: The data, up to FY1999, are the total of the figures collected by each Telecommunications
Bureau (including overlapped figures). (The data for FY2000 including the overlapped figure is
660.)
29
Reference II. Current Status of Broadcasting Business in
Japan
1.
Operating Status of Broadcasters
AM broadcasters
Shortwave
broadcasters
FM broadcasters
FM sound multiplex
broadcasters
FY92
FY93
FY94
FY95
FY96
FY97
FY98
FY99
FY00
48
48
48
48
48
48
48
48
48
48
48
48
48
48
-
-
-
2
2
2
2
2
2
2
2
2
-
-
-
-
2
-
-
-
42
46
46
49
51
51
52
53
55
-
-
-
-
55
-
-
-
1
1
1
1
0
-
-
-
-
0
-
-
-
FM teletext
multiplex
broadcasters
Community
broadcasters
1
6
16
Aug. 2001 Oct. 2001 Dec. 2001 Feb. 2002 Mar. 2002 Apr. 2002 Jun. 2002 Aug. 2002
37
40
40
40
41
44
-
-
-
-
44
-
-
-
30
68
93
118
128
139
-
-
150
152
-
152
152
156
3
3
1
-
-
1
1
-
1
1
1
FM teletext multiplex
broadcasts by
community broadcasters
TV broadcasters
119
122
123
125
128
128
129
129
129
-
-
-
-
129
-
-
-
TV sound multiplex
broadcasters
113
116
119
122
126
68
28
28
28
-
-
-
-
26
-
-
-
25
25
25
24
25
24
23
21
19
-
-
-
-
16
-
-
-
2
13
16
17
18
-
-
-
-
18
-
-
-
16
16
15
15
-
-
-
-
15
-
-
-
TV teletext
multiplex
broadcasters
TV data multiplex
broadcasters
TV teletext multiplex and
TV data multiplex
broadcasters
BS analog TV
broadcasters
2
2
2
2
2
2
2
2
2
2
2
2
2
2
2
2
2
BS analog sound
multiplex broadcasters
3
3
3
3
3
2
2
2
2
2
2
2
2
2
2
2
2
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
BS digital TV
broadcasters
1(8)
1(8)
1(8)
1(8)
1(8)
1(8)
1(8)
1(8)
1(8)
BS digital radio
broadcasters
1(10)
1(10)
1(10)
1(10)
1(10)
1(10)
1(10)
1(10)
1(10)
BS digital data
broadcasters
1(9)
1(9)
1(9)
1(9)
1(9)
1(9)
1(9)
1(9)
1(9)
1(113)
1(112)
1(112)
1(111)
1(111)
-
1(110)
1(108)
1(106)
BS analog data multiplex
broadcasters
CS digital TV broadcasters (using a
satellite that does not orbit above 110
degrees of east longitude)
1(56)
2(71)
2(115) 2(120)
CS digital radio
broadcasters
1(6)
2(8)
2(11)
2(11)
2(8)
2(8)
2(6)
2(6)
2(6)
2(6)
2(6)
2(6)
2(6)
CS digital data
broadcasters
1(1)
2(2)
2(4)
2(4)
2(2)
2(2)
2(3)
2(3)
2(3)
2(3)
2(3)
2(3)
2(3)
CS digital TV broadcasters using
a satellite that orbits above 110
degrees of east longitude
2(15)
2(15)
2(15)
2(15)
2(15)
2(15)
2(15)
2(15)
2(15)
CS digital FM broadcasters using
a satellite that orbits above 110
degrees of east longitude
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
CS digital data broadcasters
using a satellite that orbits above
110 degrees of east longitude
2(8)
2(8)
2(8)
2(8)
2(8)
2(8)
2(8)
2(8)
2(8)
CS analog TV
broadcasters
2(6)
2(9)
2(10)
2(13)
2(13)
2(13)
0(0)
0(0)
0(0)
0(0)
0(0)
0(0)
0(0)
0(0)
0(0)
0(0)
0(0)
CS-PCM sound
multiplex broadcasters
2(6)
1(4)
1(3)
1(2)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
1(1)
Notes：
1. Numbers of broadcasters include NHK, the University of the Air and other broadcasters.
2. Figures in parenthesis are the numbers of program supplying broadcasters who entrust broadcasting to
facility supplying broadcasters (broadcast station licensees) and broadcasters on telecommunications
services.
30
2.
Diffusion of Terrestrial Broadcasting
TV Broadcasting
AM Broadcasting
FM Broadcasting
Short Wave
Broadcasting
Commercial broadcasters
NHK
Available nationwide. Four to six broadcast
channels are viewable in approx. 90% of
total household.
Available nationwide. In major areas, two to
four channels are broadcast.
Available almost nationwide. In major areas,
two channels are broadcast. In addition,
foreign language broadcasting and
community broadcasting are conducted.
One channel is broadcast nationwide.
One general and one education
channel are broadcast nationwide.
Radio 1 and Radio 2 are broadcast
nationwide.
One channel is broadcast
nationwide.
(Overseas broadcasting is
conducted.)
Note: In addition to the above, the University of the Air Foundation broadcasts one TV and one FM channel,
targeting a major part of the Kanto Region as its coverage area.
3.
Current Status of DBS in Japan
(1)
DBS via broadcasting satellite (Transition of the number of household receivers)
Transition of the number of household receivers
Unit: 1,000 households
12,000
11,238
(02.5)
11,139
The number of contracts with NHK satellite broadcasting
10,621
The number of contracts with WOWOW INC.
11,164
9,464
10,000
8,762
8,142
8,000
7,332
6,570
5,850
6,000
5,001
3,803
4,000
2,651
2,351
1,747
2,000
1,204
1,257
2,055
2,278
2,401
97.3
98.3
2,534
2,667
2,589
(02.6)
2,687
1,493
801
537
21
0
89.9 90.3
91.3
92.3
93.3
94.3
95.3
96.3
99.3 01.3 02.2 02.3 02.6
31
(2)
DBS via Communication Satellites
1)
Transition of receiver's contract
(Unit: 1000 cases)
CS TV
(Digital)
2)
FY94
FY95
FY96
FY97
FY98
FY99
FY00
Jul.,
2001
-
-
236
631
1,373
2,248
2,618
2,761
Feb.,
2002
Apr.,
2002
Aug.,
2002
3,011
3,086
3,260
Numbers of licensees and channels by type of broadcasting
(i)
BS analog broadcasting
Satellite
BSAT (BSAT-1a)
Type of broadcasting
- High-definition TV
broadcasting
- Standard definition TV
broadcasting
- Standard definition TV
sound multiplex
broadcasting
- Standard definition TV
data broadcasting
Licensees
- NHK
Number of
channels
1
- NHK and 1 commercial
broadcaster
- Commercial
broadcasters
3
- 1 commercial
broadcaster
1
2
(ii) BS digital broadcasting
Satellite
Type of broadcasting
- High-definition TV
broadcasting
- Standard definition TV
broadcasting
BSAT (BSAT-2a)
- FM broadcasting
- Data broadcasting
Licensees
- NHK and 6 commercial
broadcasters
- NHK (simulcast) and 7
commercial
broadcasters
- 10 commercial
broadcasters (including
1 simul-broadcaster)
- 9 commercial
broadcasters (including
1 simul-broadcaster)
Number of
channels
7
21
23
9
(iii) Analog broadcasting
Satellite
JSAT (JCSAT-2)
Type of broadcasting
PCM sound broadcasting
Data broadcasting
Number of
licensees
1
1
Number of
channels
17
2
Notes: One broadcaster of JCSAT-2 data broadcasting also operates PCM sound broadcasting.
32
(iv) CS digital broadcasting (using a satellite that does not orbit above 110 degrees of east
longitude)
Broadcasting Satellite
JSAT (JCSAT-3)
JSAT (JCSAT-4)
SCC (SUPERBIRD-C)
Type of broadcasting
Standard definition TV broadcasting
FM broadcasting
Data broadcasting
Standard definition TV broadcasting
Data broadcasting
FM broadcasting
Data broadcasting
Number of
licensees
55
5＊1
2＊2
58
1＊2
1
1＊3
Number of
channels
106
105
24
72
16
402
2
Notes:
1. Three broadcasters of JCSAT-3 radio broadcasting also operate standard definition TV
broadcasting.
2. All data broadcasters also operate standard definition TV broadcasting.
3. All data broadcasters also operate FM broadcasting.
(v) CS digital broadcasting using a satellite that orbits above 110 degrees of east
longitude
Broadcasting Satellite
SCC (N-SAT-110)
JSAT (N-SAT-110)
Type of broadcasting
- High-definition TV broadcasting
- Standard TV broadcasting
- FM broadcasting
- Data broadcasting
- Standard TV broadcasting
- Data broadcasting
Number of
licensees
1＊1
7
1＊2
6＊3
8
2＊4
Number of
channels
2
23
20
8
38
2
Notes:
1. High-definition TV broadcasting is operated only when the standard TV broadcasting is not
operated. The high-definition TV broadcaster is also one of the standard TV broadcasters.
2. The FM broadcaster is also one of the standard TV broadcasters.
3. Three of the data broadcasters are also among the standard TV broadcasters.
4. Two of the data broadcasters are also among the standard TV broadcasters.
33