Telecom services market of Japan will develop by 1.1% every year over the coming 3 years. Growth of revenue from VoIP, mobile data services and IPTV are making up for substantial descents in legacy service offerings, a new survey reveals.
All telecommunication services produced twelve and a half trillion yen in revenue in the year 2008. This portrayed a decline of almost 1.2 % as compared to the year before that. Boosted by the yen's towering appreciation contemporarily on world’s currency markets, the values of all of Japan's leading telecommunication services rose by a staggering 11 % in the year 2008. When this was measured in U.S. dollars the resultant amount was $120.4bn.
Tae-Hyung Kim a prominent analyst in a well known research organization and the writer of the report noted that data services would be the chief sector for growth, in fixed line sector as well as mobile sector. Returns from mobile data services would develop at a rate of 7.2 % in the coming 5 years. This would be because of the increase in mobile phone Internet usage. He added that in the fixed line sector, switching from VoIP and DSL uptake to fiber would be the chief factors for growth of revenue.
He said that provided there are positive policies for the growth of convergent services, particularly concerning IPTV, the revenue coming in from IPTV will increase at a rate of 25.6 % in the coming 5 years. The telecom regulator of Japan needed to make a few significant decisions in 2009, which they did, concerning spectrum licensing and IPTV. Sharing and distribution of content was a make or break subject for all IPTV players. Regarding LTE, the telecom regulator had to find some ways to put forward more than 2 licenses if it wanted the market to remain competitive.