Communications Usage Trend
Survey in 2005 Compiled
MIC has compiled the "Communications Usage Trend Survey" as of the end of CY2005 in order to grasp the
usage trends in telecommunications and broadcasting services within households (households and household
members), companies (enterprises) and offices (establishments).
[Highlights of the survey results]
The number of Internet users via mobile terminals has been increasing further, surpassing those via personal
computers (PCs) for the first time.
With respect to terminals for accessing the Internet by individual users, the number of Internet users via
mobile terminals, including cellular telephones, increased by 10.98 million from the end of the previous
year (an increase of 18.8 percentage points over the previous year) to 69.23 million, surpassing those via
PCs (66.01 million, an estimated figure) for the first time. This shows a further increase in the number of
Internet users via mobile terminals.
More than a half of the Internet users (57.0%, or 48.62 million, of the total number [85.29 million],
estimated figures) are using both personal computers and mobile terminals.
The number of Internet users subscribing to broadband access networks continues to be on the rise.
When looking into the ratio of each broadband network, while the ratio of fiber-optic circuits has been
increasing, that of digital subscriber lines, or DSL, recoded a decrease for the first time.
The number of broadband access network users increased by 4.6 million (an increase of 10.8
percentage points compared to the figure as of the end of previous year) to 47.07 million (an estimated
figure), showing a continuous increase in the number of broadband users, or reaching 55.2% to the total
number of Internet users.
About two-thirds of households have access to the Internet via PCs (65.0%) and 68.1% of corporate
Internet users have subscribed to broadband access network services.
With regard to types of broadband circuits to which residential users' PCs are connected, while the
usage ratio of fiber-optic circuits grew from 6.1% to 14.8%, that of DSLs decreased from for the first time
from 39.2% to 34.2%. The same trend was seen in companies and offices.
Internet users have been continuously increasing.
The number of Internet users who have accessed the Internet in 2005 reached 85.29 million (an
estimated figure), increased by 5.81 million (a 7.3 percentage point growth over the previous year).
Thanks to the increase, the population coverage ratio of Internet users increased by 4.5 percentage points
to 66.8% (an estimated figure).
The digital divide between age groups still exists.
Differences in the usage rates for age groups, annual income groups, gender groups and sizes of cities
were narrowed in comparison with those in the previous year. However, the differences in the usage
rates for the age groups of their 60s or older and younger age groups are still remarkable (e.g., a
difference of 20 percentage points between their 50s and their early 60s).
When comparing the usage rate for cellular telephones with that for PCs, that for cellular telephones is high.
The PC usage rates extremely differ by age groups.
The cellular telephone usage rate (71.9%) exceeds the PC usage rate (56.7%) by 15 percentage
points, as is seen by age groups. In particular, the cellular telephone usage rate for the age group "ages
between 6 through 12" overwhelmingly exceeds the PC usage rate by 37 percentage points.
The cellular telephone usage rates for their 20s through 40s surpass 90%, even for their late 60s
exceeds 50%. On the other hand, the PC usage rates for their 20s through 40s exceed 70%, that for
their 50s is 55%, and that for their late 60s is 22.7%. With respect to the digital divide by age groups,
since skills and knowledge are needed to operate PCs, the older the age group grew, the lower the PC
usage rates decline.
Although IP telephony services have been introduced into corporate users, the number of residential IP
telephony users has slowed down in the growth rate.
The corporate usage rate for IP telephony services has grown by 11.6 percentage points year on year to
39.4%. On the contrary, the residential usage rate for IP telephony services has slightly increased by 2.3
percentage points to 15.0%, showing a stagnant growth rate lower than that of the year before (an
increase of 5.4 percentage points).
Some measures for protecting personal information have been taken by corporate users on a swift pace.
The corporate user rate of information and communications networks who take some measures for
protecting personal information have grown by 16.7 percentage points over the previous year to 73.2%,
indicating that measures for protecting personal information have been taken by corporate users on a swift
pace. Of such measures, "improved training at office" recorded the highest rate of 45.7%, followed by
"appointment of a chief information officer (CIO)" (41.4%).
[Outlines of the survey]
The "Communications Usage Trend Survey," which is composed of the following three sections:
"Households/household members," "Companies (enterprises)," and "Offices (establishments)" has been
conducted annually since 1990* as a statistical survey authorized by MIC in accordance with the Statistical
Report Coordination Law. The survey on "Companies (enterprises)" was conducted in 1993 as the annual
survey (except 1994), and "household members" was added in 2001.
[Details of the survey method]
Households
Survey period
Survey area
Households (including single
households) headed by
Object samples
someone aged 20 or older
surveyed
as of April 1, 2005
Number of
samples
Effective replies
(Rate)
Items surveyed
Sampling Method
Method of survey
6,400
Companies (Enterprises)
As of January 2006
Nationwide
Enterprises with more than
100 regular employees,
excluding the industries of
"Agriculture," "Forestry,"
"Fisheries" and "Mining" as
defined in JSIC.
3,000
Offices (Establishments)
Establishments with more
than 5 regular employees
excluding the industries of
"Postal Services" and
"Telecommunications" as
defined in JSIC.
5,600
3,982 (12,879 persons)
1,406
2,821
(62.2%)
(46.9%)
(50.4%)
Usage trends in information and communications services,
rates of ICT equipment possession, etc.
Random sampling (Stratified Random sampling
Random sampling
Two-stage Sampling on
(Systematic Sampling on
(Systematic Sampling on
sizes of cites, towns and
regular employee size for
regular employee size for
villages)
each industry)
each industry)
Mail survey (postal service)
Appendix
Communications Usage Trend Survey in 2005
Key Survey Results
Contents
1
Internet usage ..................................................................................................... 1
(1) Internet penetration (for households and companies)........................................1
(2) Internet users as a proportion of the population (householders)........................1
(3) Internet usage by device (householders)...........................................................2
(4) Demographic breakdown of internet usage (householders) ..............................3
(5) Impact of demographic factors on internet usage (householders) .....................3
(6) Frequency of internet usage (householders) .....................................................5
(7) Purpose of internet usage (householders).........................................................6
(8) Usage of e-commerce (companies)...................................................................7
(9) Corporate websites (companies) .......................................................................7
2. Broadband penetration....................................................................................... 8
(1) Home computer internet access (households)...................................................8
(2) Broadband users (householders).......................................................................8
(3) Corporate internet access (large companies) ....................................................9
(4) Small business internet access (small companies)............................................9
3 Usage of telecommunications devices ........................................................... 10
(1) Cell phone vs. computer usage (householders)...............................................10
(2) Impact of demographic factors on cell phone and computer usage
(householders) .......................................................................................................11
(3) Ownership of telecommunications devices (households) ................................12
(4) IP phone penetration (companies/households) ...............................................13
(5) Penetration of ubiquitous technology* (companies).........................................14
(6) Computers-to-employees ratio (companies)....................................................15
(7) Telecommunications equipment ownership (small companies).......................16
4 Network configuration ...................................................................................... 17
(1) Home LANs (households)................................................................................17
(2) Internal networks (companies).........................................................................18
(3) Inter-company networks (companies)..............................................................19
(4) Network installation (companies) .....................................................................20
(5) Types of corporate networks (companies).......................................................21
5 Safety and security ........................................................................................... 22
(1) Internet concerns and annoyances (householders aged 15+) .........................22
(2) Safeguarding privacy (householders) ..............................................................23
(3) Network usage issues (companies) .................................................................24
(4) Safeguarding privacy (companies) ..................................................................25
(5) Role of CIO* (companies)................................................................................26
1
Internet usage
(1) Internet penetration (for households and companies)
Internet penetration rates have levelled off in recent years, remaining at 87.0%
for households and 99.1% for large companies, while the penetration rate for small
companies has risen slightly to 85.7%.
Internet penetration for households and companies
Large companies (over 300 employees)
100
90
80
70
60
50
98.4
（％）
88.6
Small companies
(5 – 300 employees)
44.8
40
30
20
10
88.1
97.6
95.8
99.1%
(large companies)
98.3
98.2
86.8
87.0% (households)
85.7%
(small companies)
81.4
68.0
60.5
82.6
79.1
81.8
Households
31.8
34.0
19.1
0
End 1999
End 2000
End 2001
End 2002
End 2003
End 2004
End 2005
(2) Internet users as a proportion of the population (householders)
The number of people who used the internet in the past year was 85.29 million,
up 5.81 million (7.3%) since the end of last year. Continuing growth in absolute
user numbers was matched by a commensurate increase in the proportion of
internet users relative to the total population, which rose 4.5% to 66.8%.
Internet users as a proportion of the population (householders)
Millions
90
80
70
60
50
40
30
20
10
0
60.6
Internet users
62.3
66.8
54.5
Proportion of population
60
44.0
50
37.1
85.29
million
21.4
9.2
13.4
6,942
4,708
7,730
7,948
40
30
5,593
20
2,706
1,155
70 %
10
1,694
0
End 1997
End 1998
End 1999
End 2000
End 2001
End 2002
End 2003
End 2004
End 2005
Notes
1. Internet user numbers shown here are projections based on the number of survey respondents aged six and
over who accessed the internet during the past year, from any device (including computer, cell phone/PHS, PDA
and game console) and for any purpose (including private, school-related and work-related).
2. The figure for internet users as a proportion of the population is an estimate calculated by dividing the total
population as of October 2005 (127.71 million, the intermediate projection given by the National Institute of
Population and Social Security Research in Future Population Projections for Japan) by the projected number of
internet users (85.29 million).
3. Figures for 1997 to the end of 2000 are quoted from the Communications White Paper. Figures for 2001 to the
end of 2005 are taken from the Communications Usage Trend Survey.
4. The survey sample in 1999 was respondents aged 15 to 69. This was expanded to respondents aged 15 – 79
in 2000, then to all respondents aged six and over from 2001 to reflect increasing internet usage by school-age
students. As a result of these demographic changes, it is not always possible to make direct comparisons
between survey results from different years.
1
(3) Internet usage by device (householders)
The number of personal internet users employing mobile terminals (chiefly cell
phones) to access the internet rose by a further 10.98 million (18.8%) to reach
69.23 million, surpassing internet access by computer (66.01 million) for the first
time and indicating continued growth in the trend towards mobile internet usage.
The majority of internet users (48.62 million or 57.0%) access the internet from
both computers and mobile terminals; the number of users who access the internet
from a computer only fell by 5.21 million.
Internet usage by device (householders)
Computer
Cell phone/PHS/PDA
Computer only
15.85 million (18.6%)
69.23 million (81.2%)
66.01 million (77.4%)
Computer and cell
phone/PHS/PDA
48.62 million (57.05%)
1.33 million
(1.6%)
19.21 million (22.5%)
Game
console/television
1.63 million (1.9%)
Game console/television
only
0.01 million (0.0%)
0.07
million
(0.1%)
Cell phone/PHS/PDA only
0.2 million
(0.2%)
Note
Percentages represent proportion of all internet users aged six and over. Subtotals
may differ slightly due to rounding off.
Total: 85.29 million
For comparison, the results from the Communications Usage Trend Survey in 2004
are shown below.
Computer
64.16 million (80.7%)
Computer only
21.06 million (26.5%)
Cell phone/PHS/PDA
58.25 million (73.3%)
0.14 million (0.2%)
Computer/cell
phone/PHS/PDA
42.04 million (52.9%)
Cell phone/PHS/PDA
15.11 million (19.0%)
0.92
million
(1.2%)
Game
console/television
1.27 million (1.6%)
Game console/television only
0.04 million (0.1%)
0.17 million
(0.2%)
2
Total: 79.48 million
(4) Demographic breakdown of internet usage (householders)
Although variation in internet usage rates according to age, gender, city size and
household income has decreased since the previous survey, internet usage rates
are still much lower among people aged 60 or more — for instance, there is a
difference of 20% between the 50 – 59 age group and the 60 – 64 age group.
Demographic breakdown of internet usage (householders)
(1) By age
(%)
100
90.7
93.9
92.3
95.0
90.5
90
80
69.4
70
92.8
90.6
84.8
75.3
65.8
74.9
62.8
65.9
55.2
49.0
60
50
42.0
40
27.3
30
19.3
15.4
20
6.9 7.2
10
0
All people
aged 6 and
over
13-19
6-12
20-29
30-39
40-49
End 2004
60-64
70-79
55-69
80+
End 2005
(2) By gender
(%)
90
80
70
60
50
40
30
20
10
0
50-59
(3) By city size
90
80
70
60
50
40
30
20
10
0
79.8
75.1
70.3
64.0
Males
End 2004
(%)
79.3
78.2
73.5
68.4
68.0
56.9
Designated major cities,
special economic zones,
towns with prefectural offices
Females
End 2005
Other cities
Towns and villages
End 2004
End 2005
(4) By household income
(%)
90
80
70
60
50
40
30
20
10
0
74.9
68.8
64.0
63.4
72.4
76.7
74.1
78.7
75.6
80.3
85.1
79.3
77.5
81.4
55.8
48.1
Under ¥2 million
¥2 million –
less than ¥4 million
¥4 million –
less than ¥6 million
¥6 million –
less than ¥8 million
¥8 million –
less than ¥10 million
End 2004
¥10 million –
less than ¥15 million
¥15 million –
less than ¥20 million
¥20+ million
End 2005
(5) By age and gender (end 2005)
(%)
93.9 93.8
100
90
80
70
94.5 95.5
94.0 91.6
93.1
88.0
80.9
79.8
70.3
69.8
65.9 66.0
68.1
60
51.5
50
42.1
33.5
40
30
20
28.1
12.3
10
8.1 6.7
0
All people
aged 6 and
over
6-12
13-19
20-29
30-39
40-49
Males
Females
3
50-59
60-64
65-69
70-79
80+
(5) Impact of demographic factors on internet usage (householders)
Among the demographic characteristics considered in the survey, age group had
the greatest impact on internet usage followed by household income, while city
size and gender were of negligible significance.
The “12 and under” and “50 and over” age groups had a negative influence (i.e.,
respondents in these age groups were less likely to use the internet), with the “60
and over” age group having a particularly strong negative influence. Looking at
household income, the “less than ¥6 million” categories had a negative impact,
while the “¥6 million and over” categories had a positive impact.
Impact of demographic factors on internet usage (householders)
-3
-2
-1
13 – 19
0.71
0.71
20 – 29
0.81
0.75
30 - 39
0.73
0.68
0.46
0.63
40 - 49
-0.37
-0.23
50 - 59
60+
Designated major cities, special economic
zones, towns with prefectural offices
Other cities
Towns and villages
Under ¥2 million
¥2 million – less than ¥4 million
Household
income
*
¥4 million – less than ¥6 million
-1.83
-1.91
0.22
0.09
-0.04
-0.02
-0.32
-0.17
-0.64
-0.54
-0.55
-0.36
-0.01
-0.15
0.06
0.10
¥6 million – less than ¥8 million
¥8 million – less than ¥10 million
0.21
0.17
¥10+ million
0.25
0.29
Sample size: 450 respondents broken down by
age and gender
3
-0.50
-0.63
6 – 12
City size
2
-0.15
-0.11
Female
Age group
1
0.15
0.11
Male
Gender
-
End 2004
End 2005
Range
Gender
Age
City size
Household income
End 2004
0.30
2.64
0.54
0.88
End 2005
0.22
2.66
0.26
0.84
Note: The impact rating is determined via multivariate analysis using type II quantization*. A positive figure
indicates a factor that promotes internet usage, while a negative figure indicates a factor that hinders internet
usage. The higher the number, the greater the impact.
* Type II quantization is a form of multivariate analysis involving the use of qualitative data for both predictor and nonpredictor variables. Here, the impact in each category (called the category score) is calculated with internet usage as the
non-predictor variable and the demographic characteristics as the predictor variables.
4
(6) Frequency of internet usage (householders)
Of those householders who access the internet at least once a day, over half
(55.3%) do so using a cell phone, while 43.9% use a computer, a difference of
11.4%.
Cell phones are preferred over computers across all age groups, particularly in
the younger age brackets (13 – 19 and 20 – 29), where the proportion rises to over
60%. The proportion for computers is lowest in the 13 – 19 age bracket at 36.2%,
but relatively constant at around 40% from 20 to 59 years of age. Few children
aged 6 – 12 use the internet on a daily basis, with the cell phone and computer
figures both in the range 14% - 15%.
Frequency of internet usage (householders)
(1) Using cell phone
0%
20%
40%
60%
55.3
Totals
18.9
At least once a day
15.1
6 – 12
8.4
14.2
15.3
6.2
49.7
50 – 59
8.9
12.2
4.6
7.9
10.4
12.2
11.7
27.8
5.7
11.8
7.5
27.3
29.3
65+
10.0
20.1
42.9
60 – 64
4.1
10.0
19.6
8.3
5.6
19.8
50.8
40 – 49
5.9
15.5
56.7
30 – 39
No response
16.3
69.0
20 – 29
Less often
7.6
34.9
64.3
13 – 19
9.7
At least once a month
At least once a week
19.5
n = 7,498
100%
80%
4.5
13.5
15.5
15.2
(2) Using computer
0%
10%
20%
30%
40%
50%
60%
70%
80%
n = 7,619
100%
90%
Less often
43.9
Totals
28.5
At least once a day
6 – 12
13 – 19
18.4
49.4
29.0
48.2
50 – 59
10.0
29.4
49.2
37.9
22.7
5
6.4
5.6
6.1
6.5
10.2
15.7
3.9
9.8
11.4
13.5
4.4
8.9
12.4
25.6
4.6
5.6
12.0
25.4
40.2
No response
11.5
26.0
46.3
5.6
13.4
33.3
40 – 49
65+
34.8
36.2
30 – 39
8.1
At least once a month
At least once a week
32.8
14.4
20 – 29
60 – 64
13.9
6.0
9.3
13.5
(7) Purpose of internet usage (householders)
When accessed from a cell phone, the internet is overwhelmingly used for
contacting and/or sending information to friends and colleagues via email or
equivalent (69.5%); the next most common uses are downloading or listening to
digital audio content (26.2%) and viewing news and weather forecasts (25.1%).
These findings indicate a strong preference for obtaining and exchanging
information while in transit. When accessed from a computer, meanwhile, the
internet is generally used for obtaining information on products, services,
businesses and retailers (55.4%), contacting and/or sending information to work
associates and friends (54.4%), and viewing news and weather forecasts (50.2%).
Thus, computer-based internet usage is spread among various categories,
whereas mobile internet usage tends to be concentrated in one category.
Cell phones are used more than computers in two categories only: contacting
and/or sending information to friends and colleagues, and accessing digital
content. In all other categories, computers are used more than cell phones,
particularly for obtaining information on products and services and viewing news
and weather forecasts.
Purpose of internet usage (householders)
10
0
20
30
40
Contacting and/or sending information to friends and
colleagues via email or equivalent
50
60
70
69.5
54.4
Downloading or listening to digital audio content
16.3
26.2
25.1
Viewing news and weather forecasts
50.2
13.3
Obtaining information on products, services,
businesses and retailers
55.4
11.2
Downloading or viewing digital images and video
content
19.1
8.6
Purchasing or transacting on goods and services
39.7
6.8
Quizzes, competitions and questionnaires
15.1
3.1
Online games (net games)
Internet banking
Obtaining information on government procedures
and services
Job searching
10.0
1.9
8.8
1.5
21.7
1.5
Cell phones (n = 7,498)
7.1
e-Learning and correspondence programs 0.2
2.4
Computers (n = 7,619)
Submitting government applications and 0.0
2.5
notifications, paying taxes
Other
No response
1.2
4.0
22.4
10.6
6
80 (%)
]
(8) Usage of e-commerce (companies)
Some 30.9% of companies use e-commerce in the form of procurement and
sales over the internet. Very large companies with 2,000 or more employees are
more than twice as likely to use e-commerce as small companies with 100 – 299
employees (60.7% versus 27.0%).
Usage of e-commerce (companies) (by number of employees)
(%)
70
60
50
40
60.7
30
20
10
30.9
38.5
38.2
40.0
300 – 499
500 – 999
1,000 – 1,999
27.0
0
Overall
100 – 299
2,000+
(9) Corporate websites (companies)
The majority of companies (85.6%) have their own websites, which are
increasingly used as a means of disseminating information about the company.
Almost 100% of very large companies with 2,000 or more employees have a
website; the percentage of smaller companies with websites is less, but the figure
is steadily rising and closing the gap on larger companies.
Corporate websites (companies)
100
90
80
70
60
50
40
30
20
10
0
（％）
90.7 91.9
85.6
79.1
Overall
83.1
84.5 87.7
93.6 92.1
96.6 98.2
97.5 99.1
1,000 – 1,999
2,000+
74.5
100 – 299
300+
300 – 499
End 2004
7
500 – 999
End 2005
2
Broadband penetration
(1) Home computer internet access (households)
Broadband now accounts for two-thirds (65.0%) of all home computer
connections, but growth in broadband take-up has slowed to three percentage
points over the last year. During the same period, optic fiber connections more
than doubled, from 6.1% to 14.8%, while DSL connections fell for the first time,
from 39.2% to 34.2%.
Home computer internet connections (households) — multiple response
0
10
20
30
40
50
60
(%)
70
62.0
65.0
Broadband total
39.2
DSL
34.2
15.5
16.1
Cable television line
6.1
Optic fiber
3G cell phone
1.2
1.3
Fixed line
1.3
0.5
14.8
End 2004
End 2005
18.4
19.2
ISDN
20.4
Telephone line (dial-up)
16.4
Note
1. Sample is defined as respondents who access the internet from a computer at home.
2. “Broadband total” comprises DSL, cable television/CATV, optic fiber (FTTH), 3G cell phone (when used as to
provide the computer’s internet connection) and fixed line services.
3. Narrowband includes the above plus cell phone and PHS lines.
(2) Broadband users (householders)
The number of broadband users continued to rise, reaching an estimated 47.07
million, an increase of 4.6 million (10.8%) since last year. This represents 55.2% of
all internet users, up 1.8% since last year.
（million）
Broadband and narrowband users (householders)
85.29 million
9,000
77.30 million
8,000
7,000
79.48 million
69.42 million
37.01
million
6,000
5,000
4,000
49.87
million
51.23
million
46.6％
2,000
19.55
million
66.3％
28.2％
26.07
million
42.47
million
53.4％
47.07
million
33.7％
0
End 2002
44.8％
71.8％
3,000
1,000
38.23
million
End 2003
End 2004
Broadband users
Narrowband users
8
End 2005
55.2％
(3) Corporate internet access (large companies)
Broadband now accounts for 68.1% of corporate internet connections, indicating
a continued rise in the adoption of broadband by industry. Optic fiber connections
also rose from 35.4% to 50.2%, while DSL connections fell for the first time, from
33.9% to 29.2%.
Corporate internet connections (large companies) — multiple response
10
0
20
30
40
50
60
61.1
Broadband
68.1
35.4
Optic fiber
50.2
33.9
DSL
29.2
3.3
3.7
Cable television
Fixed line
-
1.1
19.5
16.1
ISDN (permanent connection)
18.0
15.7
Dedicated line
12.1
9.6
Telephone line (dial-up)
ISDN (dial-up)
End 2004
End 2005
8.9
8.9
3.5
3.1
Other
No response
(%)
80
70
1.7
1.6
Note: “Broadband” includes optic fiber, DSL, cable television and fixed line connections
(4) Small business internet access (small companies)
Broadband connections at small companies lifted from 49.6% last year to 55.2%,
an increase of 5.6 percentage points. Optic fiber connections increased from
15.8% to 27.0%, while DSL connections fell for the first time, from 29.9% to 24.1%.
Small business internet connections (small companies)
10
0
20
30
16.3
15.8
Optic fiber
24.1
(%)
55.2
29.9
End 2003
End 2004
End 2005
5.7
3.4
3.9
Cable television
49.6
60
27.0
20.0
DSL
0.7
0.5
0.2
23.5
21.5
18.7
ISDN (permanent connection)
10.9
10.5
8.9
10.0
8.2
7.2
Dial-up line
Dedicated line
ISDN (dial-up)
50
42.7
Broadband *
Fixed line
40
3.3
8.5
* Sum total of optic fiber, DSL, cable television and fixed line connections
11.4
9
3
Usage of telecommunications devices
(1) Cell phone vs. computer usage (householders)
Overall, cell phone usage is more than 15% higher than computer usage (71.9%
versus 56.7%) in all age groups. The only exception is the 6 – 12 age bracket,
where computer usage is approximately 37% higher than cell phone usage.
Cell phone usage is over 90% in the 20 – 49 age bracket, and still around 50%
in the 65 – 69 age group. Computer usage is over 70% in the 20 – 49 age bracket,
falling to 55% among 50 – 59 year olds and 22.7% among 65 – 69 year olds.
These results indicate that computers, which are more difficult to master than cell
phones, have created a significant digital divide between generations.
Viewed by gender, city size and household income, the difference in usage rates
was greater for computers than for cell phones. As household income rises, the
discrepancy between computer and cell phone usage narrows.
Cell phone versus computer usage rates (householders)
(1) By age
100
(%)
96.6
90
80
81.6 78.0
71.9
94.2
78.3
90.1
80.9
75.8
71.2
70
69.3
58.5
56.7
60
55.0
48.3
50
36.5
40
30
25.8
22.7
21.1
20
7.9
10
7.7
0
All people
aged 6 and
over
6 – 12
13 – 19
20 – 29
30 – 39
40 – 49
Cell phone
(2) By gender
(%)
65 – 69
70 – 79
1.1
80+
Computer
90
80
70
60
50
40
30
20
10
0
76.0
68.1
64.7
70
60 – 64
(3) By city size
90
80
50 – 59
60
49.1
50
40
30
20
10
0
(%)
70.7
67.3
62.5
55.0
48.1
Designated major cities,
special economic zones,
towns with prefectural offices
Female
Computer
Male
Cell phone
75.5
Towns and villages
Other cities
Cell phone
Computer
(4) By household income
(%)
90
80
70
60
50
40
30
20
10
0
70.8
55.2
53.4
34.4
Under ¥2 million
60.7
63.8
81.6
80.8
78.6
77.4
71.9
64.7
68.5
69.6
67.4
40.3
¥2 million –
less than ¥4 million
¥4 million –
less than ¥6 million
¥6 million –
less than ¥8 million
Cell phone
¥8 million –
less than ¥10 million
Computer
10
¥10 million –
less than ¥15 million
¥15 million –
less than ¥20 million
¥20+ million
(2) Impact of demographic factors on cell phone and computer usage
(householders)
Among the demographic characteristics considered in the survey, age group had
the greatest impact on both cell phone and computer usage rates, followed by
household income. In general, demographic factors had a greater impact on
computers than on cell phones.
The “12 and under” and “50 and over” age groups had a negative influence (i.e.,
respondents in these age groups were less likely to use computers), with the “60
and over” age group having a particularly strong negative influence. Looking at
household income, the “less than ¥6 million” categories had a negative impact.
These findings are similar to the trends for internet usage.
Impact of demographic factors on cell phone and computer usage
(householders)
-3
-2
-1
-
-0.05
-0.21
Female
6 - 12
-1.92
-0.23
0.38
0.64
13 - 19
0.88
0.74
20 - 29
Age
0.76
0.64
30 - 39
0.65
0.41
40 - 49
50 - 59
60 +
-0.38
-1.82
0.05
0.12
-0.04
-0.03
Other cities
Towns and villages
Under \2 million
By household
income
-0.21
0.01
-0.53
-0.85
\2 million - less than \4 million
-0.11
-0.63
\4 million - less than \6 million
-0.08
\6 million - less than \8 million
-0.04
0.00
0.14
0.15
0.21
\8 million - less than \10 million
0.10
0.43
\10+ million
* Sample size : 450 respondents
broken down by age and gender
0.28
-1.04
Designated major cities, special economic
zones, towns with prefectural offices
City size
2
0.05
0.21
Male
Gender
1
Cell phone
Computer
Range
Cell phones
Computers
Gender
0.10
0.41
Age
2.80
2.57
City size
0.09
0.33
Household income
0.68
1.28
11
3
(3) Ownership of telecommunications devices (households)
Cell phones are owned by 89.6% of households and computers by 80.5%.
These strong penetration rates have slowed in recent years. Fax machines have
likewise leveled off after achieving penetration of approximately 50% of
households.
Household ownership of telecommunications devices
(%)
100
91.1
90
89.6 Cell phones
93.9
86.1
78.2
80
75.4
77.5
80.5 Computers
75.6
70
71.7
64.2
60
58.0
57.7
52.9
50.8
50
37.7
40
40.4
32.6
30
53.9
50.5
50.4
Fax machines
41.4
Car navigation
33.8 systems
34.2
31.9
30.6
33.5
23.8
20
11.5
16.0
17.5
11.0
11.1
10
Internet-compatible
12.0
9.0
9.3
3.2
0
End 1998
End 1999
End 2000
End 2001
End 2002
3.2
End 2003
4.5
End 2004
11.1 TV games
4.1
Internet-compatible
appliances
End 2005
Note: The “Internet-compatible TV games” category was added to the survey in 2001, followed by “Internetcompatible appliances” in 2002.
12
(4) IP phone penetration (companies/households)
The industry IP phone penetration rate rose 11.6 points since last year to reach
39.4%, or roughly 40% of large companies. IP phone systems are used mainly for
calls between different company locations (27.4%), as well as internal calls
(25.7%) and external calls (21.9%).
The household IP phone penetration rate rose only 2.3 points to 15.0%, a
slowdown in growth from last year’s 5.4 points.
(1) IP phone penetration in industry
50
(2) Purpose of IP phones (companies)
(%)
30
(%)
39.4
40
27.4
25.7
25
21.9
12.1
20
9.9
27.8
30
13.0
15
20
10
11.1
15.8
15.3
10
5
0
8.9
0
End 2003
End 2004
Calls between different
company locations
End 2005
Company-wide
Internal calls
Some sections only
(3) IP phone penetration in households
(%)
16
15.0
14
12.7
12
10
8
7.3
6
4
2
0
End 2003
End 2004
13
End 2005
External calls
(5) Penetration of ubiquitous technology* (companies)
The highest penetration rate for ubiquitous technology was networked devices
such as cameras and sensors (12.9%), followed by non-contact IC cards (10.9%),
positioning systems such as GPS and cell phones (4.5%) and RFID tags (2.8%). In
each of these areas, at least 10% of companies were planning to introduce the
technology in the near future, suggesting a further increase in penetration rates.
Company size has a significant effect on penetration rates. Very large
companies with 2,000 or more employees have higher usage rates — for example,
34.5% for networked devices and 44.5% for non-contact IC cards, compared to
just 10.9% and 7.3% respectively for small companies with 100 – 299 employees.
Penetration of ubiquitous technology (companies)
(%)
30
25
20
13.5
14.8
15
10
10.5
10.9
12.9
5
0
2.0
(1) Networked cameras and sensors
Used throughout the company
7.9
14.7
10.9
3.0
0.5
(2) Non-contact IC cards
4.0
4.5
(3) Positioning systems such
as GPS and cell phones
Used in some offices/divisions only
0.2
2.6
2.8
(4) RFID tags
Planning to use
* Here, “ubiquitous technology” is a generic term used to refer to business technology with next-generation
communication features, such as RFID tags, non-contact IC cards, networked cameras and sensors, and cell
phones and other types of positioning systems.
14
(1) Networked devices such as cameras and sensors
(%)
50
40
30
20
10
0
34.5
23.0
18.0
12.9
10.9
Overall
100 – 299
employees
17.6
12.2
300+
employees total
300 – 499
employees
500 – 999
employees
1,000 – 1,999
employees
2,000+
employees total
(2) Non-contact IC cards
(%)
50
44.5
40
30
20
10
28.2
20.3
10.9
20.1
11.3
7.3
0
Overall
100 – 299
employees
300+
employees total
300 – 499
employees
500 – 999
employees
1,000 – 1,999
employees
2,000+
employees total
(3) Positioning systems such as GPS and cell phones
(%)
50
40
30
20
10
0
15.3
4.5
Overall
3.4
100 – 299
employees
9.0
7.4
300+
employees total
8.6
3.4
300 – 499
employees
500 – 999
employees
1,000 – 1,999
employees
2,000+
employees total
(4) RFID tags
(%)
50
40
30
20
10
11.1
2.8
1.8
Overall
100 – 299
employees
5.2
4.2
4.4
6.2
300+
employees total
300 – 499
employees
500 – 999
employees
1,000 – 1,999
employees
0
15
2,000+
employees total
(6) Computers-to-employees ratio (companies)
38.1% of companies provide one or more computers per employee for in-house,
inter-company and internet access, while a further 22.9% provide one computer
per two employees. Thus, over 60% of companies provide at least one computer
per two employees. Larger companies (in terms of the number of employees) are
more likely to provide at least one computer for every employee.
Computers-to-employees ratio (companies)
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2.1
End 2004
36.1
20.5
13.8
4.3
2.4
20.8
1.9
End 2005
38.1
One or more computers
per employee
22.9
One computer per
two employees
One computer per
three employees
11.9
One computer per
four employees
3.9
1.4
19.9
One computer per five
or more employees
None
No response
Computers-to-employees ratio by company size
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2.0
100 – 299 employees
36.7
12.3
22.2
21.2
4.1
1.6
1.8
37.4
300 – 499 employees
14.9
23.6
18.4
3.3
0.7
2.7
41.3
500 – 999 employees
8.0
27.9
4.4
14.9
1,000 – 1,999
employees
47.0
2,000+ employees
23.0
19.1
53.0
One or more computers
per employee
One computer per
two employees
One computer per
three employees
One computer per
four employees
10.3
16.5
5.7 3.1
17.9
One computer per five
or more employees
0.9
0.3
1.7
None
1.1
0.0
1.3
No response
(7) Telecommunications equipment ownership (small companies)
Small companies have high ownership rates for cell phones (70.4%), computers
(93.5%) and fax machines (95.6%), although ownership of radio pagers has almost
halved since last year, falling 3.9% to just 4.5%.
Telecommunications equipment ownership (small companies)
100
93.2 93.5
(%)
80
67.0
97.8 95.6
70.4
60
40
20
11.4
9.7
4.0
3.7
8.4
4.5
0
Cell phones
PHS
PDAs
Radio pagers
End 2005
End 2004
16
Computers
Fax machines
4
Network configuration
(1) Home LANs (households)
57.0% of households with two or more computers employ a home LAN. This
figure is up 5.0% from last year, although growth in LAN usage has dropped to
less than half the previous increase of 11.4%.
Roughly half the home LANs are configured using cable only, although growth in
cable LANs has clearly levelled off (0.7% this year, 1.0% last year). Growth in fully
wireless LANs has plummeted from 5.6% last year to just 0.8% this year, while
LANs configured using a combination of cable and wireless components have
increased by a relatively solid 3.5%.
Home LANs (households)
10
0
20
30
40
50
60
(%)
35.5
End 2002
End 2003
End 2004
27.4
3.3
8.1
Both cable and
wireless
End 2005
11.6
9.9
28.4
40.6
15.5
52.0
Cable only
Fully wireless
29.1
16.3
* The distinction between cable and wireless configurations was
introduced to the survey in 2003.
17
57.0
(2) Internal networks (companies)
The proportion of companies with internal networks has remained relatively
constant in recent years, and this year was no different at 89.6%.
Larger companies are more likely to have internal networks deployed throughout
the company (96.0% of companies with 2,000 or more employees versus 65.3% of
companies with 100 – 299 employees). Smaller companies are more likely to have
internal networks that reach only certain part of the company, which accounts for
the lack of company-wide networks.
Internal networks (companies)
(%)
100
90
80
70
60
50
40
30
20
10
0
77.9
86.4
85.5
29.4
28.1
57.0
57.4
End 2000
End 2001
90.6
91.6
89.5
89.6
23.0
24.7
22.2
19.0
67.6
66.9
67.3
70.6
End 2002
End 2003
End 2004
End 2005
34.4
43.5
End 1999
Company-wide
Certain offices/divisions only
Internal networks (companies) — by company size
(%)
100
90
80
70
60
50
40
30
20
10
0
89.5
89.6
95.3
86.6
19.0
22.2
25.4
70.6
67.3
61.2
87.6
98.0
96.8
90.4
21.2
13.2
74.1
77.2
11.3
10.7
86.7
86.1
99.0
97.3
8.5
8.4
90.5
88.9
99.1
97.1
4.1
1.1
95.0
96.0
22.3
65.3
End 2004 End 2005 End 2004 End 2005 End 2004 End 2005 End 2004 End 2005 End 2004 End 2005 End 2004 End 2005
Total
100 – 299
employees
Company-wide
300 – 499
employees
500 – 999
employees
1,000 – 1,999
employees
Certain offices/divisions only
18
2,000+
employees
(3) Inter-company networks (companies)
As with internal networks, the proportion of companies with inter-company
networks has levelled off, reaching 60.2% in the latest survey.
Once again, larger companies are more likely to maintain inter-company
networks — 75.9% of companies with 2,000 or more employees compared to
57.0% of companies with 100 – 299 employees (a difference of 18.9 percentage
points).
Inter-company networks (companies)
(%)
70
60
50
40
30
20
10
0
59.3
59.0
End 2003
End 2004
54.4
60.2
40.4
End 2000
End 2002
End 2005
Inter-company networks (companies) — by company size
(%)
100
90
80
70
60
50
40
30
20
10
0
85.6
77.5
73.6
73.9
75.9
65.5
59.0 60.2
53.2
Total
80.3
57.0
100 – 299
employees
58.9
300 – 499
employees
End 2004
19
500 – 999 1,000 – 1,999
2,000+
employees employees
employees
End 2005
(4) Network installation (companies)
Two-thirds of companies (65.2%) chose to outsource part or all of the work
involved in construction and installation of their corporate networks.
Looking at the effect of company size on outsourcing, 63% of companies with
100 – 299 employees used outsourcing. This figure increase to 74.2% for
companies with 300 – 499 employees but declines thereafter, reaching a low of
64.2% for very large companies with 2,000 or more employees. Larger companies
are also more likely to perform the entire installation process in-house (i.e., with no
outsourcing).
Network installation (companies)
0%
10%
20%
30%
40%
50%
34.8
End 2005
70%
80%
42.3
32.8
End 2004
60%
100%
24.9
39.2
All work performed in-house
90%
26.0
Some work outsourced
All work outsourced
Network installation (companies) — by company size
0%
100 – 299
employees
300 – 499
employees
500 – 999
employees
1,000 – 1,999
employees
2,000+
employees
20%
40%
60%
37.4
37.0
25.8
44.1
80%
100%
25.7
30.1
31.4
43.3
25.3
31.4
44.3
24.3
35.8
41.4
All work performed in-house
Some work outsourced
Note: Figures rounded off; totals may not add to 100%
20
22.9
All work outsourced
(5) Types of corporate networks (companies)
The most common backbone networks are Ethernet WAN and IP-VPN (both
20.4%), while IP-VPN is the most common branch network (14.0%).
Ethernet WAN is the most common choice for both backbone and branch
networks, while IP-VPN is declining in popularity.
Types of corporate networks (companies) — backbone networks
0%
20%
40%
60%
80%
100%
0.5 1.8
End 2004
13.8
24.7
15.1
4.1 3.2
18.3
2.1
16.4
0.21.6
End 2005
20.4
20.4
Ethernet WAN
IP-VPN
Dedicated
line
15.0
14.8
Dial-up
Internet VPN
Frame relay
6.1
Cell relay
2.8
Other
13.1
5.5
Don’t know
No
response
Types of corporate networks (companies) — branch networks
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0.1 1.1
End 2004
9.9
15.1
7.4
15.7
4.8 1.9 2.7
41.2
1.3 0.11.8
End 2005
13.4
Ethernet WAN
14.0
IP-VPN
8.0
Dedicated
line
13.6
Internet VPN
7.0
Dial-up
Frame relay
Notes
1. Backbone network: network linking major nodes and computer centers
2. Branch network: network used to connect to minor nodes
21
34.5
6.3
Cell relay
Other
Don’t know
No
response
5
Safety and security
(1) Internet concerns and annoyances (householders aged 15+)
The most common concern with the internet was privacy of personal information
(56.9%), followed by computer viruses (46.9%) and reliability/security of electronic
payment systems (34.6%).
Only 11.6% of respondents had no concerns or annoyances, indicating that the
majority of users experience some degree of unease when using the internet.
Internet concerns and annoyances (householders aged 15+)
— multiple response
10
0
Privacy of personal information
Computer viruses
Reliability/security of electronic payment systems
Too much illegal/harmful information/content
Internet charges too expensive
Computers and other devices too expensive
Computers and other devices hard to understand
Connection speeds too slow
Reliability/security of authentication technology
Lack of protection of intellectual property rights
Too hard to find information
No need for it
Don't trust e-mails to arrive properly
No information of interest to me on the internet
Other
No concerns or annoyances
No response
20
30
40
50
(%)
60
56.9
46.9
34.6
26.5
21.2
19.2
14.8
13.6
13.5
10.5
8.8
4.7
3.9
2.3
1.4
11.6
9.9
22
(2) Safeguarding privacy (householders)
Half of all internet users (49.4%) employ some form of strategy to safeguard the
privacy of person information. This figure is almost identical to that from last year’s
survey. The most common privacy strategy is to avoid giving out personal details
on the internet (31.9%), followed by thinking twice before downloading (24.2%).
Types of privacy safeguards (householders) — multiple response
10
0
20
30
40
51.5
49.4
Total (all types)
33.9
31.9
(Don't give out personal details on
the internet)
25.1
24.2
(Think twice before downloading)
23.7
21.8
(Don't give out credit card
details on the internet)
17.6
18.1
(Avoid sites that offer prizes
and incentives)
5.3
(Installed anti-spyware software)
(Other)
50
End 2004
End 2005
9.6
2.4
2.5
27.6
None
No response
16.7
23
20.9
33.9
(%)
60
(3) Network usage issues (companies)
The most common network issue for companies was difficulty implementing
security measures (68.2%), followed by virus threats (61.3%). These findings are
similar to last year’s survey, when security issues were most commonly
nominated. Personnel issues also featured strongly, particularly security
awareness among employees and lack of suitably trained personnel.
Network usage issues (companies) — multiple response
0
10
20
Difficult to restore operations after a failure
Hard to quantify the benefits
High access charges
Limited benefit to our company
Slow connection speeds
40
50
60
70
66.8
68.2
Difficult and/or complex security measures
Virus threats
Insufficient awareness of security among
employees
Shortage of suitably trained
operation/administration personnel
Operation/administration costs
30
61.3
61.3
44.0
47.4
39.4
29.7 36.3
29.8
27.4
23.3
18.0
17.9
16.8
End 2004
14.5
10.8
End 2005
11.5
11.4
10.7
4.7
5.4
5.0
5.1
6.2
Authentication technology not reliable
4.8
Other 1.4
1.5
2.2
No issues of concern
3.7
0.9
No response
2.3
Electronic payment systems not reliable
Insufficient protection of copyright and
intellectual property
24
80 (%)
(4) Safeguarding privacy (companies)
Following the enactment of the Privacy Act on April 1, 2005, the proportion of
companies using networks (both internal and external, including the internet) that
have taken steps to safeguard the privacy of personal details rose to 73.2%, an
increase of 16.7% since last year. Meanwhile, the proportion of companies with no
privacy safeguards fell from 34.5% to 18.0%, indicating a growing awareness of
the importance of personal information security.
Larger companies are more likely to have privacy safeguards in place (around
90% of companies with 500 or more employees compared to around 70% of
companies with 100 – 299 employees).
The most common privacy safeguards are internal training programs (45.7%).
The next three most common responses all increased significantly from last year:
appointing Privacy Officers (41.4%), formulating privacy policies (29.7%) and
reducing the amount of personal information collected (27.8%).
Use of privacy safeguards (companies) — by company size
(%)
100
80
60
89.6
88.8
84.3
76.0
73.2
68.7
89.2
92.5
79.9
68.6
67.9
60.2
56.5
51.7
40
20
0
Overall
100 – 299
employees
300+
employees total
300 – 499
employees
1,000 – 1,999
2,000+
employees employees total
500 – 999
employees
End 2005
End 2004
Types of privacy safeguards (companies) — multiple response
0
10
20
30
40
50
56.5
Total (all types)
30.9
Internal training programs
45.7
23.4
Appointed a Privacy Officer
Formulated a privacy policy
Reduced the amount of personal
information collected
Reconfigured systems and/or
procedures
Tighter selection criteria for
subcontractors (such as Privacy Logo)
Use the Privacy Logo
Other
41.4
13.6
No response
29.7
20.0
19.2
20.0
27.8
4.5
7.0
5.0
5.8
6.8
8.7
End 2004
End 2005
34.5
None
Don't know
60
18.0
4.9
4.2
4.1
4.6
25
70
80 (%)
73.2
(5) Role of CIO* (companies)
Only 2.0% of companies have a full-time CIO, and only 16.0% have a part-time
CIO. Most companies (72.4%) have no plans to establish a CIO position.
Role of the CIO (companies)
0%
End 2003
1.9
2.0
10%
20%
12.1
9.3
12.1
8.7
30%
40%
50%
60%
70%
68.9
80%
90%
100%
5.8
1.4
End 2004 2.5
13.1
62.2
1.5
End 2005 2.0
12.5
6.0
72.4
5.6
Full-time
Part-time — his/her duties are mostly ICT/IT related
Part time — his/her duties are mostly elsewhere
No CIO, but we plan to appoint one
No CIO, and no plans to appoint one
No response
* CIO = Chief Information Officer, the person responsible for coordination and supervision of management
strategies and information/communication strategies.
26