Broadband Policy in Japan

September 2016

Seiji Takagi

Director-General for International Affairs

Global ICT Strategy Bureau

Ministry of Internal Affairs and Communications, Japan

Utilization environment of broadband (estimation)(Household coverage rate of service area ※1)

Broadband ※2

Ultra high-speed

broadband ※299.4％

The end of

March, 2013

100％

about100％

The end of

March, 2015

100 ％

92.7％

The end of

March, 2011

97.3％

100 ％

The end of

March, 2012

※1 The number of potential households in the area, which is estimated under a certain assumption using information from business operators based on the

Basic Resident Register, divided by total households (rounded off to one decimal place).

※2 Focusing on the functions of Broadband infrastructure, broadband is classified into the following categories. Transmission speed is best-effort, and the

maximal rate may not be possible depending on the conditions of line usage and Entrance link.

Ultra high-speed broadband：FTTH, Cable internet, FWA, BWA, LTE（limited to downstream transmission speeds of 30Mbps or more, except for FTTH

and LTE) The numbers in parenthesis are data for only fixed broadband service.

Broadband：FTTH, DSL, Cable internet, FWA, Satellite communication, BWA, LTE, 3.5th generation. The numbers in parenthesis are data for only fixed

broadband service.

【Total households:55.95million】

Improvement state of broadband infrastructure

（99.2 %） （99.7 %） （99.8 %）（99.9%）

55.95million households

（ 99.0%）55.94million households

100 ％

99.9％

The end of

March, 2014

（99.9 %）100 ％

（98.7 %）（97.5 %）（96.5 %）

<99.98 %>

1

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

5,500

6,000

6,500

7,000

7,500

8,000

8,500

9,000

LTE

ＢＷＡ

0

500

1000

1500

2000

2500

3000

FTTH

ＤＳＬ

ＣＡＴＶ

ＦＷＡ

FTTH exceeds DSL（June 2008）

FWA : Fixed Wireless AccessDSL : Digital Subscriber Line

Transition of Broadband Subscribers （as of the end of December 2015）

（10 thousand）

As of the end of December 2015, the number of the subscribers to LTE is 82.8 million. (33.7% increase from the previous year)

As of the end of December 2015, the number of the subscribers to FTTH is 27.6 Million. (4.7% increase from the previous year)

（10 thousand）

LTE 82.8 Million

BWA 35.2 Million

Fixed-line Mobile

BWA ： Broadband Wireless Access

FTTH 27.9 Million

CATV 6.7 Million

DSL 3.2 Million

ＦＷＡ 10,000

2009 2010 2011 2012 2013 2014 2015 2016

2

Policy targets on broadband deployment

2001 ～2005 ～2010 2015

Strategy for bridging digital divide(June 2008)

IT New Reform Strategy(January 2006)e-Japan Strategy II

(July 2003)

Target: Connect 30 million households to high-speed Internet and 10 million households to Ultra high-speed Internet in 5 years

Target: Elimination of areas where broadband remainsunavailable by FY 2010

Target:(a)Ensure that all households have access to broadband by the end of FY 2010(ｂ)Ensure that 90% households have access to Ultra high-speed broadband by

the end of FY2010

Basic Law on the Formation of an Advanced Information and Telecommunications Network

Society （January 2001）

New Broadband Super Highway

(Hikari no Michi)

Target:All households have access to Ultra high-speed broadband by around 2015

e-Japan Strategy(January 2001)

Bridging the digital divide (benefits from facilitation and utilization of data distribution) In order to make a secure environment for all people who want to utilize IT, improve and secure the infrastructure such as with Ultra high-speed broadband and mobile in local areas, while taking into account regional characteristics, even in unprofitable areas such as remote islands.

Declaration of the Creation of the

Most Advanced IT Nation in the World

(New IT Strategy)

2013.6

3

Take actions for creating an environment more reciprocative to enabling the private sector to exert its full vitality

Develop and execute autonomous strategies that reflect the distinctive features of their own areas

Division of Roles among the Government of Japan, Local Public Entities and the Private Sector

Local Public Entities

In principle, the Private Sectors plays the leading role in the formation of an advanced information and telecommunications network society

Private Sector

Take actions for creating an environment more reciprocative to enabling the private sector to exert its full vitality, for example by encouraging fair competition

Take actions to reduce the disparity in the opportunities for using information and telecommunications technologies and in the ability to use them derived from geographical constraints, age, physical circumstances and other elements

Implement legislative, financial and other measures necessary to execute the above‐mentioned strategies

Government of Japan

The Basic Act on the Formation of an Advanced Information and Telecommunications Network Society (Act No. 144 of 2000) provides the division of roles among the Government of Japan, local public entities and the private sector in the formation of an advanced information and telecommunications network society.

Cooperation Cooperation

Cooperation

4

Government Support for broadband deployment by Local Governments

To promote the deployment of ultra high speed broadband infrastructure that is important and indispensable for local vitalization, the central government gives subsidies toward project costs to local governments that have areas under disadvantageous conditions such as sparsely populated areas and remote islands.

＜Image＞

Internet

Telecom Operator

Education Facilities etc.

Houses

Medical Institutions etc.

City Hall etc.

Subsidizing 1/3 of the installation cost of optical fiber lines and accessories in areas under disadvantageous

conditions, such as sparsely populated areas and remote islands, (1/2 in the case of local governments whose

financial capability index is less than 0.3, 2/3 in the case of remote islands) if such optical fiber lines are installed by local governments.

The local governments usually loan the installed optical fiber lines and accessories to telecommunications carriers

that use the facilities and provide public facilities(educational/medical facilities), local residents with Internet services.

＜Summary＞

5

[Akitakata]

Area: 537.79 km2; Population: 30,622; Number of households: 13,179 (as of June 1, 2013)

Although fiber to the home (FTTH) covers a large part of the city, the development of FTTH in some

mountainous areas requires a large amount of money. Therefore, these areas are covered by fixed

wireless access (FWA) for cost reduction.

• Transmission speed:

[FTTH] Uplink: up to 200 Mbps; Downlink: up to 200 Mbps

[FWA] Uplink: Up to 150 Mbps; Downlink: Up to 150 Mbps

Features

FTTH covers a large part of the city, and FWA covers some areas, including mountainous areas

Wireless (FWA)

Deployment Case (Making Use of Wireless for the Last One Mile)

• Maintenance

period:

March 16, 2012 - March 31, 2014

• Total project

cost:

About 2.8 billion yen (including a state

subsidy of approximately 900 million yen)

Midori Sub-

center

Takamiya Sub-

center

Provider

Yoshida Center

Station

Koda Sub-center

Yachiyo Sub-

center Mukaihara Sub-

center

Dark Fiber

6

Deployment case (laying of submarine optical fiber)

Only submarine optical fiber as a relay line is maintained in a municipality on a remote island

[Kikai-cho]

Population: 7,293; Number of households: 3,453 (as of October 1, 2015)

The local government on remote islands deploy the laying of trunk lines, including submarine optical fibers,

to provide ultra high-speed broadband services by using the subsidy.

Features

• A private business is currently developing access lines in the island.

• Maintenance period: March 2014 - March 2015

• Total project cost: Approximately 1.2 billion yen (including a state subsidy of approximately 800 million yen)

Kag

os

him

a,

Naze.

Kam

eto

ku

,

an

d W

ad

om

ari

Subscriber

accommodation

office

Honchatoge

Pass

Amami Airport

Akaogi BMH

Underground optical cable(Kikaicho’s property)

Subscriber

accommodation

office

Amami-shi

Amami

Oshima

Subscriber

accommodation

office

Kominato BMH

Submarine optical cable(Kikaicho’s property)

37 km

42 kmNakama BMH

Akaren BMH

Subscriber

accommodation

office

Kikai Island

Subscriber

accommodation

office

Underground optical cable(Kikaicho’s property)

7

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154.6

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328.9

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422.0469.8

546.4586.2

671.7729.9

822.4871.8

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1181.6

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6

(Gbps)

Average Monthly Mobile Data Traffic

Increase of Mobile Data Traffic

Increased approx. 13 times over the past 5 years!

8

1990 2000 2010 20201980

(bps)

10k

1G

100M

10M

1M

100k

Analogue9.6Kbps

1G (Analogue Based)

Voice PDC

cdmaOne

28.8Kbps

64Kbps

Packet Communications

2G (Digital Based)

W-CDMA 384Kbps

CDMA20001x EV-DO 2.4Mbps

HSDPA

HSUPA

14.4Mbps

E-Mail

Photos(still images)

Web Browser

Movie

3G (IMT-2000)

3.5G

LTE 100Mbps

LTE-Advanced

3.9G

1Gbps

4G

Traffic speed will be 10,000 times faster in 30 years

(year)

Capacity increased by introducing OFDMA & MIMO

10G5G

Capacity increased by transition from TDMA to CDMA

Evolution of Mobile Communications Systems

A New Generation

Comes

Every 10 Years

5G: The Fifth Generation mobile Communications Systems

9

Key Capabilities of 5G

Ex: Quick transmission of Ultra

high definition TV (4K/8K).

comparable to optic fiber

✓ Key Capabilities for 5G (IMT-2020) :

1 Ultra high speed data (eMBB) Peak data rate 10Gbps (100 x current LTE)

2 Ultra Low Latency (URLLC) Ultra Low Latency 1ms （1/10 of current LTE system）3 Massive Machine Type Connections (mMTC):

Connection Density 100 devices/km² （100 x current LTE）✓ 5G is expected to create a new market as a key infrastructure of IoT

Key Capabilities

for 5G

Ultra Low Latency

(URLLC)

Ultra High Speed Data

(eMBB)

Massive Machine Type Connections

(mMTC)

Ex: Self Driving, Remote control

Robots (real-time remote

control, IoT for mission critical)

Ex: Massive Simultaneous Connections for

sensor networks in small area, Smart

Meters, Infrastructure Maintenance etc.

Large numbers of devices, sensors and terminals

Self Driving Cars

Source: MIC, Nikkei Communications 4/2015

10

5G Roadmap towards 2020

2016 2017 2018 2019 2020

●ITU 5G International Workshp

●Recommendation ITU-R

M.2083 : IMT Vision

ARIB2020 and Beyond Adhoc

5G Requirements and Applications Propose & Evaluate Interface

Strategic guidance on R&Ds, standardization activities, international cooperation

Activities by ５ＧＭＦ

R&Ds on 5G

Technologies

５Ｇ Standardization

Activities

World Radio Conf.（WRC-19）

Deployment

Established on September 30th, 2014

✓ Promote three activities to support 5G realization for 2020 and beyond

1. Support activities by Fifth Generation Mobile Forum (5GMF)

2. R&Ds on 5G Technologies through Industry-Academic-Government Cooperation

3. Standardization Activities at the ITU and 3GPP

✓ The 5G System Trial to test radio access, networks, and applications for 5G will be started in

Tokyo and local cities of Japan in FY2017

Promote R&Ds on 5G key technologies

through Industry-Academic-Government

Cooperation from 2015

Tokyo Olympic/

Paralympic Games

Rugby

World Cup

5G

implemen

-

tation

5G System

Trial

Promoting

Body

R&Ds

International

Affairs

(year)

Rel. 15 Rel. 16Rel. 14【3GPP】

【ITU】

11

Next-generation Mobile Service Action―Radio Policy 2020 Council Report―

Securing global frequencies

■ Securing frequency bands in addition to international standard bands in

coordination with major countries promoting 5G proactively.

■ Frequency expansion for wireless LAN use

Research and development for the realization of a pilot model.

■ Promoting research and development with a demonstration of elemental technologies

toward the achievement of a pilot model system assuming utilization scenes including

wireless realistic performance and next-generation connected cars.

Promotion of international standardization and international expansion

■ Construction of a strategic partnership with other countries (e.g., an expansion

of initiatives, such as the joint declaration of Japan and the EU)

■ Promotion of international standardization under public-private cooperation.

Development of 5G test beds

■ Developing open test beds of user participation type

■ Creating new regional-type services by developing them in regional areas as

well as Tokyo.

Ultra-broadband

projectWireless IoT project

Next-generation ITS

project

Promotion of 5G implementation project

Promoting the following projects from 2017 for the achievement of 5G services in 2020 ahead of the rest of the world.

Supporting a large number of simultaneous

connections.

Achieving the world of the IoT where the

number of things (e.g., sensors) connected

will increase several hundred times.

Supporting ultra-high speed.

Providing broadband services 100 times as

fast as the current mobile communications

systems.

Ensuring ultra-low latency.

The connected cars and cloud on the

network will link together and provide new

services.

A huge number of sensors and terminals

New network-linking services

Connected cars are always connected to the network

Agent

Settlement

Maintenance

Insurance

Cloud

12

New Service Image Brought by IoT/BD/AI

Connecting a large number of transportation services over

the network to support safe automatic driving in urban areas.

Connecting each person’s terminal over the Wi-Fi network to

provide optimum learning tools to everyone according to

his/her individual proficiency.

Connecting numerous sensors to farmland and livestock for the management

of each individual animal according to the environment and growth with no

work force required.

ICT infrastructure development in the future.

• An ultra-high-speed and ultra-high-capacity network to achieve the simultaneous connection of a large number of points with low latency.

• Software control to ensure network operation flexibility.

• Cyber security measures to ensure the safety and security of data

Data utilization and application

• Development of utilization and application

rules to promote the proactive use of a vast

amount of data.

• Utilization of AI and robots that will ensure

highly advanced, instantaneous data

processing and distribution.

Human resource development in the future

• A quantitative and qualitative expansion of specialized ICT human resources with skills for the IoT era.

• Proactive utilization of IT, including clouds, Wi-Fi, and programming, for school education.

Healthcare

Smart cities Smart farming

ICT education

Challenges of achieving social changes

Patients at

home

Aggregation of sensors and medical devices centered on TV

Intra-hospital network

Remote

medical

care

system

Hospital

side

AIData accumulation

Smart cities

CloudServer

Detects abnormality with wearable terminal, thus

providing usual hospital services at home.

13

G7 ICT Strategy • Based on the foregoing principles, we support the following strategies to realize the potential of the

digitally connected world.

• i. Promoting access to ICT (a) bridge digital divides;

(b) improve the quality and affordability of ICT infrastructure, products and services globally, through investment and fair and transparent policy and legal frameworks that encourage competition;

(c) promote accessibility and digital literacy for everyone; and

(d) respect cultural and linguistic diversity.

• ii. Strengthening international collaboration for promoting the free flow of information, privacy protection and cybersecurity

(a) promote cross-border information flows;

(b) promote privacy and data protection; and

(c) promote cybersecurity.

• iii. Fostering innovation (a) open markets;

(b) promote interoperability through standards;

(c) promote open data policies;

(d) develop human capital;

(e) protect intellectual property; and

(f) facilitate R&D and adoption of emerging technologies.

• iv. Using ICT to address global challenges and opportunities

• v. Strengthening comprehensive international cooperation and collaboration

Charter for the Digitally Connected World,

G7 ICT Ministers’ Meeting in Takamatsu, Kagawa-29-30 April 2016

14