Synopsis
Japan’s Ministry of Internal Affairs and Communications (MIC) began urging domestic telecommunications operators in 2005 to have Next Generation Networks in place by 2007. Japan saw substantial network developments over the following years as the MIC pushed to completely replace the domestic fixed-line telephone network with a fully Internet Protocol (IP) based system by early 2010, at a cost of around ¥50 billion. Although NTT still dominates Japanese telecoms infrastructure, KDDI and Softbank are steadily taking steps to compete more efficiently and effectively with NTT and in the past year have seen a substantial advantage over the incumbent in net additions to their networks. The fixed-line telecoms business in Japan has been undergoing a major transformation as the traditional telephony voice services move into decline. The growing popularity of IP telephony in particular has dealt a blow to fixed-line giant NTT’s traditional business model. This report examines Japanese national infrastructure and international infrastructure (including submarine cable and satellite networks). It also provides an overview of media convergence in Japan, with coverage of CATV, satellite TV and digital terrestrial TV markets.