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NTT DOCOMO FACTBOOK Jan 30, 2018
About NTT DOCOMO
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NTT DOCOMO, INC. is one of the world’s leading mobile communications company with over 75 Mil
customers, as of end-Dec. 2017.
DOCOMO launched the world’s first 3G mobile service based on W-CDMA in 2001, followed by LTE service in 2010.
DOCOMO launched its “PREMIUM 4G” service in March 2015, using LTE-Advanced technology. DOCOMO’s net income in FY2017 (as of 3Q, end Dec. 2017) stood at JPY 654.3 Bln (USD 5.79 Bln) on
operating revenue of JPY 3,595.7 Bln (USD 31.82 Bln) (JPY113.00= USD1.00; Dec. 29, 2017)
HQ located at Tokyo, Japan, employees number 26,734 (consolidated, as of Mar. 2017), listed on Tokyo (9437) and New York (DCM) stock exchanges.
2006-2010 2000-2005 1991-1999
NTT Mobile Communications Planning established (Aug. 1991)
Corporate Name changed to NTT DOCOMO (Apr. 1992)
Launched “i-mode” mobile Internet service (Feb. 1999)
Commercialized world’s first WCDMA-based 3G service (Oct. 2001)
Listed on NYSE (Mar. 2002)
Launched NFC-based mobile wallet service (July. 2004)
Launched mobile credit card service (Apr. 2005)
Achieved 100% population coverage for 3G service (Dec. 2008)
Commercialized LTE service (Dec. 2010)
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2015-2020
Commercialized LTE-Advanced service (Mar. 2015)
Planning commercialization of 5G service (2020)
President & CEO ・ Assumed the posts of President & CEO in June 2016 ・ Management Policy: “Ever-Improving Value”
■ Management Policy
Kazuhiro Yoshizawa was named President and CEO of NTT DOCOMO, INC. in June 2016. Concurrently, he retains his position as a Member of the Board of Directors, which he assumed in June 2011.
■ Biography
Mr. Yoshizawa was a Senior Executive Vice President, Chief Information Officer, Chief Information Security Officer, and Chief Privacy Officer, and was responsible for technology, devices and information strategy from June 2014. He became General Manager of the Structural Reform Office in July 2013, while concurrently serving as an Executive Vice President and General Manager of the Corporate Strategy and Planning Department, and was responsible for the Mobile Society Research Institute from June 2012. Mr. Yoshizawa entered NTT Public Corporation in April 1979. 4
Subscriber Market Share ・ Japan’s mobile phone market reached a penetration rate of 100% in 2012 and surpassed 165 Mil subscriptions in 2017.
DOCOMO au SoftBank
Source: Telecommunications Carriers Association (TCA)
■ Subscriber Share Snapshot ■ Subscriber Growth in 3G & LTE
45.6%
30.5%
23.8%
(Mil)
(FY)
(75.7Mil)
(39.5Mil)
(50.6Mil)
Subscribers as of
end-Dec. 2017
0
20
40
60
80
100
120
140
160
180
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
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FY2014 FY2015 FY2016(Forecast)
Mobilecommunicationsservices revenues
Equipment salesrevenues
Other operatingrevenues
・ Operating revenue in FY2017 is targeted to reach JPY4,750 Bln (approx. USD42.0 Bln).
・ DOCOMO aims to expand “Smart ARPU” to achieve sustainable growth of business.
Revenues & ARPU
4,527.1
【40.0Bln】
4,584.6
【40.5Bln】 Aggregate ARPU: JPY4,720 (≒USD41.77)
Voice ARPU: JPY1,390 (≒USD12.30)
Packet ARPU: JPY2,970 (≒USD26.28)
“docomo Hikari” ARPU: JPY360 (≒USD3.18)
(Billions of yen)
【 】= USD
(USD1.00 = JPY113.00)
■ ARPU ■ Growth of Revenues
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*
* as of Dec. 29, 2017
Aggregate ARPU = Voice ARPU + Packet ARPU + “docomo Hikari” ARPU Voice ARPU: Voice ARPU Related Revenues (basic monthly charges voice communication charges) / No. of active users Packet ARPU : Packet ARPU Related Revenues (basic monthly charges, packet communication charges) / No. of active users “docomo Hikari” ARPU : A part of other operating revenues (basic monthly charges, voice communication charges) / No. of active users In addition, the sum of Packet ARPU and “docomo Hikari” ARPU is referred to as Data ARPU.
4,750
【42.0Bln】
FY2015 FY2016 FY2017 (Forecast)
FY16/1-3Q FY17/1-3Q FY17 full year(planned) 7
・ Operating income of Smart Life Business and other businesses is growing steadily.
Smart Life Business & Other Businesses
98.2
115.3
130
Up 17%
(Billions of yen) Principal services
Content/Commerce
Finance/Payment
Lifestyle
Enterprise solutions Support services for customers’ peace of mind
Smart life business
Other businesses
・ Diverse range of sophisticated smartphones and tablets, enhanced with value-added features and original, innovative services from DOCOMO
Product Lineup
docomo Smartphone
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docomo Tablet
P-smart Keitai P-01J
docomo Feature Phone
docomo Raku-Raku PHONE
Others
Wi-Fi STATION N-01J
Xperia™ XZ1 SO-01K
M Z-01K
GALAXY NOTE8 SC-01K
Disney Mobile on docomo DM-01K
AQUOS Keitai SH-01J
Raku-Raku PHONE F-02J
Raku-Raku SMART PHONE 4
F-03K
dtab d-01K
arrows Tab F-02K
Xperia™ XZ1 Compact SO-02K
AQUOS sence SH-01K
Total Subscriptions & Smartphone/Tablet Users
■ Mobile telecommunications services subscriptions
■ Total smartphone/tablet users
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Smartphones sold:
13.78
(Million subs)
(Million subs)
・ Handset sales recorded a year-on-year increase.
FY16/1-3Q FY17/1-3Q
75.68 73.59
Up 3% 34.93
FY16/1-3Q FY17/1-3Q
37.47
Up 7%
“docomo Hikari”
More affordable
rates
New services
DOCOMO’s mobile
services
“docomo Hikari”
One-stop service
Affordable, Easy and Convenient! docomo Hikari
・New services combining mobile and fiber ・Service launch: Mar. 1, 2015 ・“docomo Hikari” subs topped 4 million in 2017.
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■ “docomo Hikari” optical-fiber broadband subs
(Million subs)
FY16/1-3Q FY17/1-3Q
4.48
2.97
1.5-fold
Promotion of
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・Address social issues and invent new solutions for regional revitalization & 2020 ・Create new added value in collaboration with a wide range of external partners
No. of partners growing steadily
FY16/3Q 4Q FY17/1Q 2Q 3Q
205
394
* No. of “+d” partners: The number of partners that have jointly created new value by integrating DOCOMO’s business assets with their own assets
Announced Jul. 19, 2017
Announced Nov. 2, 2017
Network Expansion
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・ Achieved 100% population coverage for 3G in 2008 ・ Commercialized LTE in 2010 ・ 2G services terminated on Mar. 31, 2012 after more than 99% of the total subscriber base migrated to 3G/LTE ・ Launched “PREMIUM 4G” service in March 2015, using LTE-Advanced technology
NW Coverage & Subscriber Migration
■ Subscriber Segment by NW
3G 75.7 Mil subscribers
(end-Dec. 2017)
100% population coverage for 3G
(incl. HSDPA)
DOCOMO subscribers are able to enjoy 3G, LTE, and LTE-Advanced service even on Mt. Fuji. During the official climbing season, DOCOMO prepares for boosters to respond to higher traffic expected.
[Expanding Coverage in Mountainous Areas]
Coverage survey of mountainous area (Bandai Asahi National Park)
■ Service Coverage
LTE
( Incl. communication module service subscriptions )
(36.3%) (63.7%)
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LTE Network: Planned Advancements
14 ◆ The transmission speed described herein is the theoretical maximum downlink rate specified in the technical standard and the actual rate may vary depending on the propagation conditions, etc. The description “Japan’s fastest” is as of December 31, 2017. ◆ Two frequency bands of 3.5GHz and 1.7GHz are used for the provision of 788 Mbps service.
Japan’s fastest 788Mbps service expanded to
241 cities nationwide
FY16/3Q FY17/3Q
49,400
Total no. of LTE base stations:
154,300
175,100
PREMIUM 4G-enabled base stations:
95,000
The World Envisaged by 5G
15 Remote medical
services
4K/8K video streaming
Autonomous driving
Agricultural ICT
High speed/ large capacity
Low latency Connection with numerous devices
・ Peak rate: Over 10 Gbps
Transmission latency in Radio Access Network (RAN): 1ms or less
No. of simultaneously connected devices: 100 times*
*: Targets compared to the 2010 level. (When compared to 2015, target system capacity is 100 times, and target no. of simultaneously connected devices is 10 times.)
・ System capacity: 1,000 times*
Smart city, smart home
AR/VR
5G
Stadium solution
DOCOMO 5G Open Partner Program
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Expanding value co-creation activities with partners to cultivate new use cases for 5G
A program that allows businesses & organizations interested in 5G to experience the technology
from early on
Participation as of Jan. 25, 2018: Over 500 companies Participation in partner workshops
Provision of 5G use environment
Provision of latest 5G information From Feb. 2018
From Feb. 2018
From Apr. 2018
5G Trial Events
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5G x New sports viewing style 5G x GAME VR game/viewing
5G x SPORTS AR/Multi-viewpoint demo
5G x Projection mapping
YOYOGI CANDLE 2020 Oct. - Nov. 2017
New Experience! Future Stadium Dec. 2017
5G Trial Site Dec. 2017
R&D Open House 2017 Nov. 2017
DioSta New concept cart
A glimpse of 5G services ahead of commercial launch
Full-Scale Development of Low Power Consumption IoT
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Low price Low power consumption (10 years operation on a single battery)
Low speed/ low data volume
LPWA network/solutions for various IoT devices rolled out from spring 2017
Cellular IoT
Cat.M / NB-IoT eDRX
Cat.1 (currently in service) LoRa®
+
Agriculture Industrial machines Public infrastructure
…
Security Vending machines
…
◆ Cat.M, eDRX and LoRa services are currently provided on a trial basis for verification.
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Initiatives Toward Delivery of Medium-Term Targets
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From “Competition” to “Co-Creation” Transition from customer acquisition competition
to the age of added value co-creation
• With the introduction of the new billing plan and “docomo Hikari” optic-fiber broadband service, DOCOMO induced a phase change in the competitive landscape, breaking away from the conventional competition focused on customer acquisition to start offering value to customers based on the length of their use of service.
• Going forward, to accommodate the diversifying needs of customers, we will undertake initiatives for “co-creation”, creating new added value in collaboration with a wide range of external partners.
• Through co-creation with partners, we will aim to generate new services and
businesses, bring more abundance to our lives, and contribute to revitalizing industries and solving various social issues.
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Initiatives for Delivery of Medium-Term Targets
●iPhone release
●”docomo Hikari”
●New billing plan
●Expand service domains by adding home offerings
●Accelerate “dmarket” initiatives
Early recovery of
telecommunications business
Roll-out by DOCOMO Co-creation with partners
Recover competitiveness
Reinforce competitiveness
●Roll-out of “+d”
Value generation through
“co-creation”
●Co-creation of social values
Medium-Term Targets
Solid steps toward delivery of Medium-Term Targets
New initiatives toward delivery of Medium-Term Targets
Telecommunications business
Smart Life domain
●Promote subscription to new billing plan and “docomo Hikari”
●Encourage migration to larger data plans
●More efficient use of CAPEX
●Ongoing cost efficiency improvement
●NW speed enhancement (LTE-Advanced)
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Transformation into a “Value Co-Creation Company” Through Collaboration
●”+d”
●Regional revitalization
●2020
●Loyalty point/iD linkage
●IoT
●Solution of social issues
●Point distribution ●Point card
●dmarket ●dmenu
●DCMX/iD ● Home domain ●docomo Hikari
●5G ●LTE-Advanced ●LTE ●New billing plan ●Smartphone ●iPhone
Value co-creation company
Value creation company
Smart life partner
Integrated services provider
Mobile communications
operator
Evolution of offerings
Expansion of added value
Global Business
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Global Presence
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Country City Company Name Percentage of Voting Shares
Business Description
Brazil São Paulo NTT DOCOMO Brasil Serviços de Telecomunicação Ltda.
100.0% Enterprise solutions & information gathering
Guam Tamuning DOCOMO PACIFIC, INC. 100.0% Mobile/fixed line operator
United States of America
New York NTT DOCOMO USA, Inc. 100.0% Enterprise solutions & information gathering
Palo Alto DOCOMO Innovations, Inc. 100.0% R&D
Honolulu DCM Reinsurance Company, Inc.
100.0% Reinsurance business
Redwood City
Evernote Corporation - Information storage service
Germany Munich DOCOMO Communications Laboratories Europe GmbH
100.0% R&D
United Kingdom
London DOCOMO Digital Limited 100.0% Platform business
Europe Representative Office
- Information gathering
■ Americas/Europe
Global Presence
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■ Asia
Country City Company Name Percentage of Voting Shares
Business Description
Bangladesh Dhaka Robi Axiata Limited 6.4% Mobile operator
China Shanghai NTT DOCOMO China Co., Ltd. 100.0% Enterprise solutions & information gathering
Beijing DOCOMO Beijing Communications Laboratories Co., Ltd.
100.0% R&D
Hong Kong - Hutchison Telephone Company Ltd.
24.1% Mobile operator
Philippines Manila PLDT Inc. 8.6% Mobile/fixed line operator
Philippines Branch - Advisory business
Global Presence
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■ Asia
Country City Company Name Percentage of Voting Shares
Business Description
Singapore - NTT DOCOMO ASIA Pte. Ltd. 100.0% Enterprise solutions & information gathering
South Korea Seoul KT Corporation 5.8% Mobile/fixed line operator
RSUPPORT Co., Ltd. 15.7% Remote solution business
Taiwan Taipei Far EasTone Telecommunications Co., Ltd.
4.7% Mobile operator
Thailand Bangkok Mobile Innovation Co., Ltd. 72.6% Platform business
Vietnam Hanoi VMG Media Joint Stock Company
24.5% Platform business
Mobile Alliance Partners
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Alliance partner Investee
KT (Korea)
FET (Taiwan)
Smart (Philippines)
China Mobile (China)
Indosat (Indonesia) StarHub (Singapore)
VNPT (Vietnam)
True (Thailand)
HTCL (Hong Kong)
CONEXUS (DOCOMO + 8 operators)
SCFA (DOCOMO + 2 operators)
• One of the largest carrier alliances in
Asia with 9 participating companies • Business collaboration primarily in
the fields of international roaming and enterprise services
Conexus
• Business cooperation committee
with China Mobile (China) and KT (Korea)
• Cooperation in the areas of international roaming, network technologies, etc.
SCFA*
*Strategic Cooperation Framework Agreement
International Roaming Services
Provision of a new service to foreign travelers in Japan in collaboration with overseas carriers and partner shops in Japan
No. of outbound roaming service areas
Voice / SMS Data
No. of countries/regions 229 219
3G 173 174
LTE 7 (VoLTE) 83
※As of Dec. 31, 2017
Outbound Roaming Inbound Roaming
Expansion of int’l roaming areas incl. LTE / VoLTE roaming
Providing coupons to travelers in Japan
Send coupons when attached to DOCOMO NW
Shopping with coupons
etc.
Travelers in Japan
Partner Shops
DOCOMO
Laox (tax free shop)
shopping malls
drug stores 29
The new of today, the norm of tomorrow
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