NTT,
Japan’s incumbent service provider, reported overall revenue of
11,095 billion yen, up 1.6% over fiscal 2003, for its fiscal
year ending 31-March-2004. Net income for fiscal 2004 was 644
billion yen, up 176% compared with the 233 billion in net income
for 2003. However, the company said revenues would decline and
profit growth is likely to fall this year due to increased
competition, a shrinking fixed line market, and a difficult
business environment. Some highlights:
- The NTT Group said its highest strategic priorities are
optical access and 3G wireless. The Group is making
"every possible effort" to build out its fiber
access network, while reducing fees and strategically
improving facilities in high-demand areas. To help realize
its "Vision for a New Optical Generation," a new
company, NTT-Resonant, was recently established to develop
the new broadband market. At the same time, the NTT Group is
moving aggressively to expand sales of its 3G FOMA mobile
network. Key initiatives include extending the 3G coverage
areas and upgrading consumer handsets. - Despite restructuring efforts, NTT said its results were
affected by a "severe business environment with
intensified competition and the shrinking fixed-line market.
The operating revenues at NTT East amounted to 2,267.1
billion yen (a decrease of 3.6% from the prior year), and
the operating revenues at NTT West amounted to 2,166.8
billion yen (a decrease of 2.2% from the prior year). - NTT East and NTT West have each launched IP telephony
services for corporate customers. The program features
reduced rates for outgoing calls to the IP telephone network
and to subscriber numbers, as well as the option to retain
in-use subscriber telephone numbers for receiving incoming
calls. New services were also launched enabling users to
call from subscriber telephones and public pay phones to IP
telephones with the prefix number 050. The two companies
have also launched a new VPN service called "FLAT
ETHER" that provides flat-rate intra-prefectural WAN
connectivity. - NTT East and NTT West are also continuing to implement
cost-reduction measures and to expand the amount of work
outsourced to the Group’s regional companies. - NTT Communications began offering the IP telephone
"OCN .Phone" to users of ADSL and "B FLET’S"
services as a standard set requiring no initial fees and
monthly basic fees. The company also introduced ADSL pricing
tiers and increased the use of IP phones by extending the
service network to include mobile phones. - NTT DATA is further reducing its costs to boost
competitiveness in the systems integration field. At the
same time, NTT DATA is pursuing structural reform by
re-organizing NTT Group companies involved in regional
businesses and in maintenance and operations services. NTT
DATA is focused on the promotion of new businesses including
the "IT Partner Business" program where NTT Data
works together with its customer firms in the form of
business alliances or joint investments to conduct
IT-related businesses. - NTT DoCoMo highlighted alliances with overseas affiliates
and partners, including new "i-mode" services that
were newly launched in Spain and Italy, and 3G services that
were launched in Hong Kong.
14-May-04
NTT | ||||||
| NTT Holding Company | NTT East | NTT West | NTT Comm. | NTT Data | NTT DoCoMo | |
| Operating Revenues | 258 | 2,267 | 2,167 | 1,107 | 847 | 5,048 |
| Change from previous year | 16.2% | (3.6%) | (2.2%) | (3.9%) | 1.8% | 5.0% |
| Net income (loss) | 240 | 58 | 62 | 24 | 27 | 650 |
| Change from previous year | 159 | 55 | 42 | 11 | (1.6) | 438 |
| NTT Subscriber Numbers | ||||
| 31-Mar-02 | 31-Mar-03 | 31-Mar-04
| 31-Mar-05 (projected) | |
| NTT East Fixed Telephone lines | 25,084,000 | 25,139,000 | 25,264,000 | 25,317,000 |
| NTT East INS-Net Subscriber Lines | 5,851,000 | 5,260,000 | 4,756,000 | 4,340,000 |
| NTT East Total | 30,956,000 | 30,399,000 | 30,020,000 | 29,657,000 |
| NTT West Fixed Telephone lines | 25,654,000 | 25,575,000 | 25,674,000 | 25,707,000 |
| NTT West INS-Net Subscriber Lines | 5,299,000 | 4,868,000 | 4,378,000 | 3,930,000 |
| NTT West Total | 30,952,000 | 30,442,000 | 30,053,000 | 29,637,000 |
| NTT East FLET’s ISDN lines | 653,000 | 651,000 | 514,000 | 364,000 |
| NTT East FLET’s ADSL lines | 513,000 | 1,430,000 | 2,283,000 | 2,983,000 |
| NTT East B-FLETS optical access lines | 12,000 | 111,000 | 426,000 | 1,026,000 |
| NTT West FLET’s ISDN lines | 651,000 | 621,000 | 466,000 | 359,000 |
| NTT West FLET’s ADSL lines | 454,000 | 1,127,000 | 1,806,000 | 2,506,000 |
| NTT West B-FLETS optical access lines | 6,000 | 88,000 | 414,000 | 1,014,000 |
| DoCoMo Cellular | 43,861,000 | 45,927,000 | 47,700,000 | |
| DoCoMo Cellular -FOMA | 330,000 | 3,045,000 | 10,600,000 | |
| DoCoMo i-Mode | 37,758 | 41,077,000 | 43,400,000 | |
| DoCoMoi-Mode FOMA | 303,000 | 303,000 |
| |
