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Corporate Profile So-net Corporation

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Page 1: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

Corporate Profile

So-net Corporation

Page 2: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

1995 Nov. Jointly established through investments by Sony Corporation, Sony Music Entertainment (Japan), Inc., and Sony Finance International, Inc.

1996 Jan. Launched So-net Internet connection service.

1997 Nov. Released Postpet DX mail software.

1999 Nov. Became the first Internet service provider (ISP) to obtain Privacy Mark.

2002 May Launched “So-net Hikari”, a fiber-to-the-home (FTTH) connection service.

2003 Jun.Became the first domestic ISP to obtain certification for both international information security management standard (ISMS) BS7799 (currently ISO/ IEC 27001:2005) and domestic ISMS designation standard (currently JIS Q 27001:2006).

2005 Dec. Listed on TSE Mothers.

2006 Oct. Changed company name to So-net Entertainment Corporation.

2007 Jul. Established MotionPortrait, Inc.

Aug. Acquired So-net Entertainment Taiwan Ltd. as a consolidated subsidiary.

Nov. Relocated headquarters to Osaki, Shinagawa-ku, Tokyo.

2008 Jan. Listed on TSE 1st Section.

Jul. Acquired So-net Media Networks Corporation as a consolidated subsidiary.

Corporate History

Placing priority in speed and action,

we will take on new challenges

without the fear of change.

We will strive to provide services

that give our customers joy

and satisfaction.

Challenge挑

Through reliable and

accessible services, we will

strive to create new values

and lifestyles.

Creativity創

By providing enjoyment,

convenience and enrichment

of life, we will create the

Internet for Everyone.

Enjoyment楽

To have each and every person

involved with So-net experience

joy and pride through their

relationships with each other,

and realize their dreams.

Dream夢

Mission

Vision— To Create and Provide New Values —

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Page 3: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

2009 Mar. So-net Entertainment Taiwan Ltd. signed a capital/business partnership contract with Chunghwa Telecom Co., Ltd. (CHT).

2010 Feb. Acquired the ISP business from USEN CORPORATION.

2012 Jul. Established So-net Business Associates Corporation.

Dec. Delisted from TSE 1st Section.

2013 Jan. Became a wholly-owned subsidiary of Sony Corporation.

Apr. Launched “NURO Hikari”.

Jul. Changed company name to So-net Corporation.

2014 Apr. Integrated “bit-drive” business, the Sony Business Solutions Corporation IT solutions service for corporations.

2015 Jan. Began accepting applications for “NURO Hikari for Mansion”

Feb. Launched “So-net Hikari Collaboration”

2016 Mar. Became a subsidiary of Sony Mobile Communications Inc.

May Relocated headquarters to Higashi-Shinagawa, Shinagawa-ku, Tokyo

MESSAGE FROM THE PRESIDENT

Beyond Connectivity

So-net has, over its 20 years as an Internet service provider,

consistently offered high-quality telecommunications

services. So-net boasts a strong track record of delivering

new value in the field of FTTH (“fiber to the home”), with the

launch of “So-net Hikari Collaboration” and the ultra-fast

“NURO Hikari.” It also provides services that cater to the

diverse consumer needs in the mobile market.

We at So-net will work to further bolster our strengths that

we have cultivated over many years, both in terms of our

know-how when it comes to developing services and

solutions and in network infrastructure technology. Moving

forward, So-net will set its sights on expanding the scope of

its business, primarily around the pillars of cloud solutions,

services, and the “Internet of Things” (IoT). In these fields,

the Company will strive to develop new businesses and to

plan and manage service-based businesses, in order to secure

further growth.

In its quest to venture “beyond connectivity,” So-net will

endeavor to work more closely with other elements within the

Sony Group, opening new doors and possibilities while

continuing to leverage the expertise it has cultivated through

its established telecommunications business. Amid growing

market interest in all things IoT, we will continue to challenge

ourselves in creating and delivering new value to our customers.

I hope that you will expect great things from So-net, as we

aim ever higher.

President and Representative Director

So-net Corporation

Hiroki Totoki

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Page 4: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

FTTH

Comfortable and Secure Optical Fiber Service

FTTH Subscribers

(Millions)

2.0

1.5

1.0

0.5

2.40 million

2011.3 2012.3 2013.3 2014.3 2015.122015.3

2.5

0

So-net’s market share

Source: MM Research Institute, Ltd.

So-net’smarket share

(As of December 31, 2015)

8.7%

“So-net Hikari” is a high-speed communication service using optical

fibers to transmit and receive large volumes of data. Partnering with

many different telecom carriers, we offer a variety of service plans that

customers can select according to their budget, servicing area, Internet

lifestyle and type of residence. We are also enhancing our security services

to enable safe use of the Internet. With our FTTH subscribers — mainly

“So-net Hikari” subscribers — exceeding two million, we deliver

comfortable Internet connection services to many customers.

So-net Hikari

So-net provides “So-net Hikari Collaboration”, a service that utilizes

the “Hikari Collaboration Model” offered by NTT East and NTT West.

“So-net Hikari Collaboration” is a unique So-net service that bundles

together FTTH Hikari access lines and ISP Internet connection services.

So-net Hikari Collaboration

Overseas operations

So-net Taiwan: We are expanding our Internet connection services in Taiwan through a partnership with

the largest local telecom carrier.

FTTH subscribers:

27.59 million

3

Page 5: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

Technologies that realize ultrahigh speed

So-net has adopted GPON*3, an international standard for data transmission, to offer a downstream speed of

up to 2 Gbps. By using NTT’s optical fiber cables, we provide customers with high-quality end-to-end service

from their home to the Internet.

Telecommunicationsstation

Networkoperations center

Customer’s home

Transmission via GPON

End-to-end service

Internet

Home gateway (ONU)

OLT(Optical Line Terminal)

*1 Service area: Tokyo, Kanagawa Prefecture, Chiba Prefecture, Saitama Prefecture, Gunma Prefecture, Tochigi Prefecture, Ibaraki Prefecture (excluding certain areas)

*2 The communication speed refers to the maximum speed that can be provided when data is transmitted from the NURO network to equipment on the customer’s premises. The actual speed when using the Internet may vary

depending on a number of factors such as the usage environment and the congestion status of the line.

*3 GPON (Gigabit capable Passive Optical Network): One of the transmission standards for optical fiber communication established by the ITU-T.

“Nuro Hikari,”*1 a commercial FTTH service for residential use, featuring an ultrahigh downstream speed of up to 2Gbps*2, allows users comfortable

and stress-free access to large-volume content, such as music, videos and games.

NURO Hikari

NURO Hikari for Mansion

In response to customer requests for “NURO Hikari” services also in

housing complexes, So-net provides the “NURO Hikari for Mansion”

service. The service lets condominium dwellers reliably enjoy a variety of

media-rich content at a reasonable price with ultra-fast communication

speeds of up to 2 Gbps downstream. So-net offers this new service

starting at a minimum of four contracts within the same condominium

building, and rate plans become even more affordable when more

tenants sign up for the service.

The “NURO Hikari” home gateway (ONU) supports

wireless LAN as a standard feature, in addition to

wired LAN. This enables all members of a family to

connect their devices — TV, PC, smartphone,

game console, tablet, etc. — to the Internet

simultaneously and use Internet access comfortably

at a combined data rate of up to 2 Gbps.

Multi Wi-Fi Access

Wired connection

Home gateway(ONU)

2 Gbps IN

Wireless connectionMulti Wi-Fi access

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Page 6: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

MVNE Business

MOBILE

Mobile Communication ServicesThat Suit Customer Needs

So-net

MVNE Users withvarious needs

Mobile networkoperator

NTT DOCOMO

MVNO(Partner companies)

So-net focuses on the MVNE*1 business in support of MVNO*2. Standing between mobile carriers and MVNO, MVNE is a network enabler that

connects with mobile carriers and undertakes the building and management of networks and a variety of systems connecting with MVNO. MVNE’s

support allows MVNO to provide various service plans with flexible pricing and enables competitive business development.

*1 MVNE : Mobile Virtual Network Enabler

*2 MVNO : Mobile Virtual Network Operator

A vending machine at an international airport forforeigners visiting Japan.

So-net offers SIM package services with easy access to LTE high-speed

mobile Internet.

“PLAY SIM” is a monthly data service plan, also available through

our partner companies. Customers can get connected by simply

purchasing a prepaid plan and completing the easy Internet activation

procedure. Recharging options are also available online.

So-net provides “PLAY SIM” and “XperiaTM J1 Compact” combo

set packages.

“Prepaid LTE SIM” is an easy-to-use prepaid wireless data service

available at retail stores, airports and even at vending machines in

designated international airports, a first for Japan.

PLAY SIM / Prepaid LTE SIM

So-net offers a range of service plans to meet various customer needs,

from high-speed service plans for those who wish to comfortably enjoy

apps, games and other large-volume contents and plans that include

both voice and data. So-net also provides favorable packages for

smartphones and tablets.

So-net Mobile LTE

So-net provides the latest in mobile Wi-Fi routers with selective service

plans based on communication speed, rates, area coverage, etc.

So-net Mobile WiMAX2+

Note: “Xperia” is a registered trademark of Sony Mobile Communications Inc.

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Page 7: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

FOR BUSINESS

So-net for Biz

Example cases of integration

Avex Music Creative Inc.Web integration

Peugeot Citroen Japon Co., Ltd.Web integration

Hoshino Resort Co., Ltd.Web integration

Japan Post Co., Ltd.Total solutions

Focusing mainly on network- and cloud-based managed services that address the

needs of information system managers, So-net provides cloud-type attendance

management solutions covering the administration and human resource functions

and cloud-type cooperative medical support solutions.

Cloud-based IT solutions

Services Business (bit-drive)

So-net provides one-stop solutions from networks to web integration and

application development.

We offer consultation services from the user’s perspective and take a detailed

needs-based approach to design, development and operation.

One-stop solutions from infrastructure to website building

Integration Business

Power to Evolve Business

Internet

So-net delivers Internet connection services and diverse business solutions for corporations through our vast experience and know-how as an

Internet service provider.

bit-drive features

Supports IT platforms of

5,500 companies

Performance

99.998%or more uptime

Quality

24-7 support

Support

Managed Cloud

Managed Network

SmartphoneTabletPC

Offices On-the-go / home

Medical cloud

Cloud attendance system

SaaS IaaS

6

Page 8: Corporate Profile So-net Corporation · So-net’s market share Source: MM Research Institute, Ltd. So-net’s market share (As of December 31, 2015) 8.7% “So-net Hikari” is a

Company Name So-net Corporation

HeadquartersShinagawa Seaside TS Tower, 4–12–3 Higashishinagawa, Shinagawa-ku, Tokyo 140-0002, Japan

Founded November 1, 1995

BusinessStart-Up Date

January 15, 1996(Began Internet connection service)

Shareholder Sony Mobile Communications Inc. 100%

Capitalization 7,969 million yen

Website http://www.so-net.ne.jp/corporation/en/

Company Overview Corporate Executives

President and Representative Director

Hiroki Totoki

EVP, Member of the Board Ryuichi Ishii

EVP, Member of the Board Yoshihiro Aita

SVP, Member of the Board Katsumi Kudo

CFO, Member of the Board Yuichi Oshima

Member of the Board Hideyuki Frumi

Corporate Auditor Masanao Yoshimura

Corporate Auditor Hiroshi Ito

Printed in Japan

CSR Activities

Pink Ribbon Campaign

PostPet “Momo-Imouto”supports the “Pink Ribbon Campaign” to let people learn about breast cancer and the importance of health checks and clinic visits as an official messenger for the “Pink Ribbon Festival”.

So-net Forest

As a part of our efforts to coexist with and preserve the global environment, So-net Forest is an initiative with local communities to help conserve forests in Nagano Prefecture.

Personal Information Protection and Information Security InitiativesSo-net recognizes that managing information is vital to its provision of Internet and related services. We have in place a number of initiatives to

ensure the security of our services.

Copyright 2016 So-net CorporationThe names of companies, products, software, and brands contained in this publication are all trademarks or registered trademarks of their respective companies.The information contained in this report valid as of May 2016 and is subject to change without notice.

Affiliated Companies

Actvila Corporation Koozyt, Inc.

So-net Business Associates Corporation

So-net Media Networks Corporation

So-net Entertainment Taiwan Limited

Zeta Bridge Corporation

So-net Entertainment Corporation

MotionPortrait, Inc.

Coreedge Inc.

Consolidated Subsidiaries

PCI DSS (Certified in July 2011)We comply with the global security standards for

credit card information and its management set forth

by the Payment Card Industry Security Standards

Council (PCI SSC), and we have been certified for

appropriate information management.

Privacy Mark (Certified in November 1999)We comply with the JIS Q 15001:2006 standard for

personal information protection management

systems, and we have been certified for appropriate

management of personal information.

Anzen/Anshin Mark (Certified in November 2002)We have satisfied the patent usage standards for the

Anzen/Anshin Mark, which is issued by Japan’s

Internet Connection Services Anzen/Anshin Mark

Promotion Council. This mark certifies that we

exceed specific standards for customer response,

security measures, and other items.

Information Security Management System

(ISMS) Certifications (Certified in June 2007)We have acquired ISMS certifications (ISO/IEC

27001:2013 and JIS Q 27001:2014), which certify

the appropriate management of information assets.

IS 571190 / ISO 27001:2013