Recent Regulatory and Policy Developments, Japan 10 May, 2010 Shoji MIHARA Director, Multilateral Economic Affairs Office International Economic Affairs Divisions Global ICT Strategy Bureau Ministry of Internal Affairs and Communications, Japan 1 Ministry of Internal Affairs and Communications (MIC), JAPAN Broadband Service Subscribers in Japan MIC (Unit: 10 thousands contracts) 2,000 Optical Fibers (FTTH) 1,800 17.2mil 1,600 1,400 DSL 1,200 1,000 11.18 mil 800 Cable Internet 600 FTTH exceeded DSL (June 2008) 4.11 mil 400 200 Start WiMAX service Feb. 2009 Now, services are providing all over the Japan. 0 Note: Reported numbers compiled by MIC in accordance with the provisions of the Rules for Reporting on Telecommunications Business.(Numbers compiled before the end of December 2009 were reported voluntarily by carriers) Ministry of Internal Affairs and Communications (MIC), JAPAN 2 Future Application in the Mobile Terminals MIC Data communication (Internet access) Telephone (Voice) 2G ~kbps 3G ~384kbps Image transmission (Camera phone) 3.5G ~14Mbps 3.5G upgraded ~42Mbps ~100Mbps Real-time / HD Image Transmission (HD Video) 3.9G 4G ~1Gbps “Hello, …” Game Video telephony Photo/Video mail TV Weather forecast Navigation system Informatio n E-mail Online 3D Game 3D Communicatio n Mobile Medical Care DVD Download Credit payment Electronic money Music download Live HDTV Ministry of Internal Affairs and Communications (MIC), JAPAN 3 MIC Mobile WiMAX & XGP Service in Japan Operator UQ Communications Inc. Willcom Inc. Adopted System Mobile WiMAX XGP Number of BSs/ Area cover ratio (by March 2013) About 19,000 base stations 93% area coverage(1,161 cities) About 20,000 base stations 92% area coverage(846 cities) Capital Investment (by March 2013) 132.3billion yen 111.3billion yen Subscribers (by March 2013) 5 million 2.40million Pilot Launch from February 2009 Field Trial from April 2009 Commercial Service from July 2009 - Maximum 40Mbps Download - Maximum 10Mbps Upload Commercial Service from October 2009 - Maximum 20Mbps Download - Maximum 20Mbps Upload Service Outline Ministry of Internal Affairs and Communications (MIC), JAPAN 4 Japan will start LTE (3.9G/Super 3G) service on this December MIC Outline of the 3.9G license Policy 1475.9 (3) Use restriction* 15MHz (2) 10MHz 1485.9 1495.9 1510.9 Public service (1) 10MHz 1.7 GHz band Guard band Guard band 1.5 GHz band (MHz) IMT-2000 (4) 10MHz 1844.9 1854.9 1859.9 (MHz) *Unavailable in some areas including Tokyo, Tokai, Kinki areas, until the end of March 2014, when its use for digital MCA expires. Assign 10 MHz or 15 MHz to up to 4 entities for prospective entrants or existing operators. Achieve 50% or higher population coverage within 5 years in 11 districts for 3.9G and 3.5G upgradedsystem. (using newly assigned frequency bands as well as already-assigned frequency bands). Allow the use of the frequency bands for 3G or 3.5G to flexibly respond in various ways to 3.9G deployment. Four existing operators applied for license Start this winter!! License for 3.9G (Assigned on 10 June 2009) (↑) Use restriction* 10MHz(↓) 10MHz (↓) 15MHz (↓) 1475.9 1485.9 1495.9 1510.9 (1427.9) (1437.9) (1447.9) (1462.9) Public service 1.7 GHz band Guard band Guard band 1.5 GHz band (MHz) (↑) IMT-2000 10MHz (↓) 1844.9 1854.9 (1769.9) (1779.9) Ministry of Internal Affairs and Communications (MIC), JAPAN 1859.9 (MHz) 5 Change in Network by Telecom & Broadcast Convergence Telecommunications Broadcasting Terrestrial Broadcasting Satellite Broadcasting Cable Television Satellite Wireless Fixed Vertical <Convergence> ICT Network Voice telephone Web Information Contents TV / Images Radio Music ・・・・ Horizontal Wired Communications Wireless Communications Transmission infrastructure 6 New Converged Services (1) IP multicast service IP Multicast Network Head end Broadcast server Local office Local office Subscriber Local office ONU STB ONU STB OLT Splitter Router Router 収容局 Router Router Optical Fiber Local office (2) Digital signage (image) Daytime: Broadcast Nighttime: Data transmission 1) Data transmission during nighttime hours Broadcast Telecom Data for Bus Company A Bus Company A Television Service Railway Company B Broadcast Station Data for Railway Company B 2) Data accumulation ・・・ 3) Data update of Digital signage Bus Train New Legal Structure towards Convergence Current Legal Structure New Legal Structure Broadcasting Telecommunications Broadcast Act Act to Regulate the Operation of the Cable Sound Broadcasting Service Telecommunications Business Act Cable Television Broadcast Act Act Concerning Broadcasting of Telecommunication Services Act Concerning Wire Broadcasting Telephone Business Broadcast Act Telecommunications Business Act Radio Act (wireless) Radio Act Wire Telecommunications Act (wired) Wire Telecommunications Act 8 Outline of Amendment - (1) Broadcast Act Outline (1)Expansion of Management Choice Current laws A broadcast operator cannot choose its own operating structure. (ex. A terrestrial broadcaster After revision A broadcast operator can choose its own operating structure. should own its broadcast stations.) (2)Rationalizing broadcast regulations Current laws Cable television operator must receive permission from MIC. After revision Cable television operator must register with MIC. (3)Clarifying ownership limitations of broadcasters Current laws MIC can establish ownership limitations into broadcasters in MIC ordinance. After revision MIC can establish ownership limitations into broadcasters in MIC ordinance, within the range from minimum 10% to maximum 33%. 9 (2) Radio Act Outline (1)Flexible Use of Radio Frequency Current laws Broadcast operators cannot provide telecommunication services through their broadcast stations, and telecommunications carriers cannot provide broadcast services through their radio stations. After revision Companies can provide both telecommunications services and broadcasting services under a single license. (2) Promotion of the Prompt Introduction of New Services and New Products Current laws Antenna power of a license-free radio station must be under 0.01 watts. After revision The limit of antenna power of a licensefree radio station will be 1watt. 10 (3) Others Outline (1)Expansion of Dispute Settlement Function Current laws After revision Telecommunications carriers can apply the dispute resolution to Telecommunications Dispute Settlement Commission (TDSC), and content providers cannot apply the dispute resolution. Both content providers and telecommunications carriers can apply the dispute resolution to TDSC. (2) Consumer Protection Current laws Telecommunications carriers should explain terms and conditions of their services, but broadcasters are not obliged to explain their terms and conditions under any laws. After revision Broadcasters that provide paid services must explain terms and conditions of those services just as is already obligating telecommunications carriers. 11 Thank You! Shoji MIHARA (s.mihara@soumu.go.jp) Ministry of Internal Affairs and Communications (MIC), JAPAN