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The Telecom Policy for Broadband Diffusion: A Case Study in Japan

In: Telecommunication Markets

Author

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  • Koshiro Ota

    (Hiroshima Shudo University)

Abstract

Though the penetration rate of broadband services in Japan is not outstanding, the transmission speed is much faster and the price is lower than in other advanced countries. Moreover, FTTH is now spreading much faster than DSL. There are two aims of this paper: first, to derive the principle and the substance of the recent Japanese telecom policy; and second, to examine the factors that contribute to the diffusion of broadband services. I will focus not only on the level of unbundled local loop rates but also on the rate-setting methodology for group center and zone center interconnections. I will also argue against some conventional views that “telecoms regulators in Japan have tended to take a stronger line with their incumbent than in Western countries.” In my view, the Japanese telecom policy as a whole was not so hard on NTT, rather it supported NTT’s and other carriers’ business development by taking into consideration NTT’s business situation.

Suggested Citation

  • Koshiro Ota, 2009. "The Telecom Policy for Broadband Diffusion: A Case Study in Japan," Contributions to Economics, in: Peter Curwen & Justus Haucap & Brigitte Preissl (ed.), Telecommunication Markets, pages 207-219, Springer.
    • Handle: RePEc:spr:conchp:978-3-7908-2082-9_12
    DOI: 10.1007/978-3-7908-2082-9_12
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    Cited by:

    1. Bourna, Maria & Mitomo, Hitoshi, 2014. "Understanding broadband under-utilization in Japan," 20th ITS Biennial Conference, Rio de Janeiro 2014: The Net and the Internet - Emerging Markets and Policies 106887, International Telecommunications Society (ITS).

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