Goin' Mobile Japan! #27: Special Edition | Print |

Japan’s Mobile Market At-glance: Summary of carrier market share, 3G protocols and Mobile IP.

Trends of the Wireless Telecommunication Market in Japan
According to the Telecommunications Carriers Association (“TCA”) in Japan, mobile phone subscribers, not including PHS (Personal Handy-phone System), reached 95,762,300 as of February 2007. This number equals approximately 75% of the entire population (127,767,994) of Japan. On the other hand, according to the CTIA and the US Census Bureau, 74% (233,725,955 of 301,424,514) of the entire U.S. population owns a mobile phone; this percentage rate is almost identical to the penetration rate of cell phones in Japan. The following data provides an overall summary of Japan’s wireless market over the past two years.

Market Shares of Carriers
DoCoMo currently dominates 54.6% of the mobile market followed by 28.9% for KDDI and 16.5% for Softbank. KDDI has gained market share over the past two years whereas the other two carriers have shown a decline. In terms of the number of subscribers, KDDI has the most aggressive growth rate of 10.8% when compared with 3.3% growth for DoCoMo and 4.2% growth for Softbank.
Market Shares of Carriers
http://www.tca.or.jp/eng/database/daisu/yymm/0702matu.ht ml
http://www.tca.or.jp/eng/database/daisu/yymm/0602matu.ht ml

Market Shares by Protocol
W-CDMA (3G) has grown to 42.0% in February 2007 from 27.3% in 2006 and the annual growth rate is 66.0% in terms of number of subscribers. Although CDMA2000 (3G) by KDDI au has also grown by 22.8% in terms of subscribers, the market share has declined due to more rapid growth of W-CDMA (3G) by DoCoMo and Softbank. On the other hand, PDC (2G) market share has sharply declined to 29.3% in February 2007 from 48.4% in 2006. In similar fashion, odmaOne (2.5G) has declined from 1.0% to 0.6% respectively.
Market Shares by 

Protocol
http://www.tca.or.jp/eng/database/daisu/yymm/0702matu.ht ml
http://www.tca.or.jp/eng/database/daisu/yymm/0602matu.ht ml

3G Protocols by Carriers
When comparing 3G protocols (W-CDMA and CDMA2000) by carrier, we can see that DoCoMo’s market share jumped from to 48.0% in February 2006 to 50.8% in February 2007, and Softbank’s share grew from 6.0% to 10.5% in the same time period. In contrast, KDDI’s au market share declined from 46.1% in 2006 down to 38.7% in 2007. In terms of the number of subscribers gained, Softbank’s annual growth was 157.6% as opposed to 54.6% for DoCoMo and 22.6% for KDDI au. Since KDDI started 2.5g and 3G protocols earlier than DoCoMo and Softbank, these statistics show that more 2G subscribers of DoCoMo and Softbank have switched to 3G causing the entire 3G market share allocation to shift.
3G Protocols by 

Carriers
http://www.tca.or.jp/eng/database/daisu/yymm/0702matu.ht ml
http://www.tca.or.jp/eng/database/daisu/yymm/0602matu.ht ml

IP Services and Carriers
Previous statistics confirm that KDDI au lost 3G market share because of rapid gains by DoCoMo and Softbank. However, KDDI still has a strong market position in IP services. KDDI gained market share in this segment by capturing 27.6% in February 2007 when compared with 25.5% in 2006. The other two carriers lost market share in this segment from 2006. In terms of number of subscribers, EZWeb operated by KDDI au has grown 14.3% from 2006 as compared with 3.0% for i-Mode by DoCoMo and 2.3% of Yahoo! Keitai by Softbank. These statistics imply that the growth of DoCoMo’s and Softbank’s 3G from 2G may be derived from certain financial benefits or possibly for other reasons, such as the impact of promotional campaigns or the appeal of new mobile phones that do not directly leverage the speed and convenience of IP-based 3G communication.
IP Services and 

Carriers
http://www.tca.or.jp/eng/database/daisu/yymm/0702matu.ht ml
http://www.tca.or.jp/eng/database/daisu/yymm/0602matu.ht ml