Japan - Broadband Market - Overview, Statistics and Forecasts

Synopsis

Entering 2012, Japan had over 36 million broadband lines in place, making it the third largest broadband country in the world after the US and China. Much of the success of broadband in Japan is owed to the stunning growth surge that occurred back in 2003 on the back of DSL broadband technology. Since then Japan has established the second largest FttX market at around 30% of the world market after China which represents about 40% of the world market. These infrastructure deployments and the move to Next Generation Network architecture have driven VoIP subscriptions to over 25 million with Softbank and NTT taking the market lead. Japan has also been an early adopter of triple-play models which provide TV, broadband internet and voice telephony as packaged services from a single provider. This report provides an overview of the broadband market and the available access methods – including cable modem, DSL, FttX and wireless broadband. BuddeComm forecasts on broadband and FttH are included up to 2017.

Key Developments:

Continued decline in DSL subscriptions which comprise 20% of the total broadband market; FttX subscriptions reach over 21 million comprising 60% of the total market; implementation of strong government policies over a decade results in 90% of households having access to FttX; plans by major service providers to lower the prices for FttX broadband services by up to nearly 40% into 2012; strong growth in WiMAX over the 2 million subscriber mark and a start in field trial for WiMAX-2; continued rise in VoIP usage as traditional fixed-line services decline

Companies covered in this report include:

NTT; KDDI; Softbank; eAccess; J:COM; USEN; KDDI; UQ Communications; Hulu; K-Opticom; Tepco

Table of Contents

• 1. Synopsis
• 2. Broadband market
  • 2.1 Background
  • 2.2 Overview
  • 2.3 Broadband statistics
    • 2.3.1 Aggregate broadband subscribers
    • 2.3.2 Broadband subscribers by access type
  • 2.4 Forecast broadband subscribers: 2012-2012; 2017
  • 2.5 Electric power utilities
• 3. Broadband policy
  • 3.1 Overview
  • 3.2 Regulatory framework
  • 3.3 U-Japan
  • 3.4 New IT reform strategy
  • 3.5 Next Generation Broadband strategy FY 2010
  • 3.6 Japan’s New Generation Network
• 4. broadband TECHNOLOGIES
  • 4.1 Overview
  • 4.2 Broadband charges into 2011
  • 4.3 Cable modems
  • 4.4 Digital Subscriber Line (DSL)
    • 4.4.1 Background
    • 4.4.2 Statistics
  • 4.5 Fibre-to-the-Home (FttH)
    • 4.5.1 Background
    • 4.5.2 Statistics
  • 4.6 Forecast FttX subscribers: 2010-2012; 2017
  • 4.7 World Interoperability for Microwave Access (WiMAX)
    • 4.7.1 WiMAX auction
    • 4.7.2 UQ Communications
    • 4.7.3 WiMAX 2
    • 4.7.4 Willcom
  • 4.8 Broadband Internet via satellite
• 5. Voice over Internet Protocol (VoIP)
  • 5.1 Background
  • 5.2 Statistics
• 6. Internet Protocol TV (IPTV)
  • 6.1 Hulu
  • 6.2 Softbank acquisitions
• 7. Broadband Survey results
  • 7.1 2008
  • 7.2 2009
  • 7.3 2010
• 8. Forecasting methodology
• 9. Related reports

• Table 1 – Broadband subscribers and households – September 2011
• Table 2 – Broadband subscribers and market share by access type – September 2011
• Table 3 – Broadband subscribers by access type – 1998 - 2012
• Table 4 – Broadband subscriber annual change and market share by access type – 2001 - 2011
• Table 5 – Forecast broadband subscribers and penetration – lower band: 2011-2012; 2017
• Table 6 – Forecast broadband subscribers and penetration – higher band: 2011-2012; 2017
• Table 7 – Broadband household connectivity and service availability – 2006 - 2008; 2011
• Table 8 – Tariffs for broadband services – 2008
• Table 9 – DSL subscribers and market share by operator – September 2011
• Table 10 – FttH subscribers and market share by operator – September 2011
• Table 11 – Change in ARPU from FttH – 2005 - 2010
• Table 12 – Forecast FttX subscribers and penetration - lower band: 2010-2012; 2017
• Table 13 – Forecast FttX subscribers and penetration - higher band: 2010-2012; 2017
• Table 14 – WiMAX subscribers - UQ Communications: 2009 - 2012
• Table 15 – VoIP subscribers and annual change – 2004 - 2011
• Table 16 – VoIP subscribers and market share by operator – September 2011
• Table 17 – NTT services and charges – 2009

• Chart 1 – Japan broadband subscribers and population penetration – 2000 - 2012
• Chart 2 – Japan cable modem subscribers and population penetration – 1998 - 2012
• Chart 3 – Japan DSL subscribers and population penetration – 1999 - 2012
• Chart 4 – Japan FttX subscribers and population penetration – 2002 - 2012

• Exhibit 1 – Differences between NXGN and NWGN
• Exhibit 2 – Representative charges per service in Tokyo – 2008
• Exhibit 3 – NTT IPTV services and features – 2009 - 2010