Japan's Telecom Market to Show Modest Growth Through 2013, Pyramid Research Predicts

Feb 5, 2009

Japan's telecommunications services market will grow by 1.1 percent each year over the next five years, with revenue growth from IPTV, VoIP, and mobile data services making up for declines in legacy service offerings, according to the latest report from Pyramid Research (www.pyr.com), the telecom research arm of the Light Reading Communications Network (www.lightreading.com).

Communications Markets in Japan provides a precise, incisive profile of the converged telecommunications, media, and technology sectors in the Japanese market, based on proprietary data from Pyramid Research's country-by-country research. The 27-page report analyzes the competitive landscape of Japan and offers scenarios for growth across new technologies and services -- such as WiMax, IPTV, and VoIP -- by assessing existing and emerging business models.

Download an excerpt of this report here: http://www.pyramidresearch.com/downloads.htm?id=18&sc=PR020509_CIRJ

Telecom services generated 12.5 trillion yen in revenue in 2008, a decline of 1.2 percent compared to 2007, Pyramid reports. Because of the yen's soaring appreciation on world currency markets, the value of Japan's telecom services grew by 11 percent in 2008, when measured in U.S. dollars, to $120.4 billion.

"The main growth engine will be data services, in both the fixed and mobile sectors. Revenue from mobile data will grow at a 7.2 percent CAGR during the next five years, driven by increased mobile Internet usage," notes Tae-Hyung Kim, analyst at Pyramid Research and author of the report. "In the fixed sector, migration to fiber from DSL and VoIP uptake will be the key drivers for revenue growth. As such, revenue from broadband and VoIP will grow at CAGRs of 6.1 percent and 10.4 percent, respectively," he adds.

"Given favorable policies for convergent services, especially regarding IPTV, we also forecast that revenue from IPTV will grow at a CAGR of 25.6 percent during the next five years," Kim says. "The Japanese telecommunications regulator will have to make some important decisions in 2009 with regard to IPTV and spectrum licensing. Content sharing and distribution is a make or break issue for IPTV players, and the regulator must find a stance that can effectively address the concerns of interested parties. With regards to LTE, the regulator must also find ways to offer more than just two licenses if it wishes to keep the market competitive."

Communications Markets in Japan is part of Pyramid Research's Asia-Pacific Country Intelligence Report Series. Pyramid Research's premium Country Intelligence Reports are the industry's best available analysis on market trends, regulatory environments, and competitive dynamics for 60 countries worldwide.

Download an excerpt of this report here: http://www.pyramidresearch.com/downloads.htm?id=18&sc=PR020509_CIRJ

Communications Markets in Japan is priced at $990 and can be purchased online here: http://www.pyramidresearch.com/store/CIRJAPAN.htm?sc=PR020509_CIRJ or through Dave Williams via email at dave.williams@pyr.com or telephone at +1 858-485-8870.

For more information about Pyramid Research's products and services, please visit www.pyr.com or contact us at info@pyr.com.

About Pyramid Research

Pyramid Research (www.pyr.com) offers actionable solutions to the complex demands our clients face in the telecommunications, media, and technology industries. Our analysis is uniquely positioned at the intersection of emerging markets, emerging technologies, and emerging business models, powered by the bottom-up methodology of our market forecasts for over 100 countries -- a distinction that has remained unmatched for over 20 years. As the telecom research arm of the Light Reading Communications Network, Pyramid Research works with Heavy Reading, providing the communications industry's most comprehensive market data, trusted research, and insightful technology analysis.

About Light Reading

Founded in 2000, Light Reading (www.lightreading.com) is the leading online media, research, and focused event company serving the $3 trillion worldwide communications market. Lightreading.com is the ultimate source for technology and financial analysis of the communications industry, leading the media sector in terms of traffic, content, and reputation. Light Reading's research arms, Heavy Reading and Pyramid Research, provide the most comprehensive communications research, market data, and technology analysis in close to 100 markets around the world. Light Reading produces nearly 20 targeted communications events including TelcoTV, Ethernet Expo New York and Ethernet Expo London, The Tower Summit @ CTIA, and Optical Expo, as well as focused one-day events tailored for cable, mobile, and wireline executives. Light Reading was acquired by United Business Media in August 2005 and operates as a unit of TechWeb.

About TechWeb

TechWeb (http://techweb.com/aboutus), the global leader in business technology media, is an innovative business focused on serving the needs of technology decision-makers and marketers worldwide. TechWeb produces the most respected and consumed media brands in the business technology market. Today, more than 13.3 million* business technology professionals actively engage in our communities created around our global face-to-face events, Interop, Web 2.0, Black Hat, and VoiceCon; online resources such as the TechWeb Network, Light Reading, Intelligent Enterprise, InformationWeek.com, bMighty.com, and The Financial Technology Network; and the market-leading, award-winning InformationWeek, TechNet Magazine, MSDN Magazine, and Wall Street & Technology magazines. TechWeb also provides end-to-end services including next-generation performance marketing, integrated media, research, and analyst services. TechWeb is a division of United Business Media, a global provider of news distribution and specialist information services with a market capitalization of more than $2.5 billion.

*13.3 million business decision-makers: based on number of monthly connections

About United Business Media Limited (www.unitedbusinessmedia.com)

United Business Media Limited (UBM) is a global media and marketing services company that informs markets and brings the world's buyers and sellers together at events, online, in print, and with the information they need to do business successfully. UBM serves professional and commercial communities, from IT professionals to doctors, from journalists to jewelry dealers, from farmers to pharmacists around the world. UBM employs more than 6,500 people in more than 30 countries. UBM's businesses operating in the US include CMPMedica, Commonwealth Business Media, Everything Channel, PR Newswire, RISI, TechInsights, TechWeb, and Think Services. UBM is listed on the London Stock Exchange (UBM.L) and has a market capitalization of $2.5 billion.

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