## 2-1 International Competitiveness of ICT Industry (1) Globalization of ICT Network (Trends in Telecommunications Carriers)

The world’s major telecommunications carriers are developing their global business. In particular, the foreign turnover ratio of carriers in Europe tends to be high, which implies that they are developing their global business actively (Fig. 2-1, 2-2).

The world’s major telecommunications carriers are working on projects towards NGN (Next Generation Network) establishment. Active global business development is important for carriers to make their own global technology standards for NGN establishment in the future (Fig. 2-3).

Fig.2-1 Foreign turnover ratio of the world's major telecommunications carriers

※The data of Japanese carriers is not open to the public. Source: Annual report of each carrier

Fig.2-2 Global business development of the world's major telecommunications carriers

Country	Carriers	Business	Countries
Asia	America	Europe
fixed	mobile	Japan	China	Korea	Others	US	Others	Germany	France	UK	Spain	Italy	Others
Japan	NTT	●	●	◎	△	△	○
KDDI	●	●	◎	△	△	○	△
Softbank	●	●	◎
US	AT&T Inc.	●	●	○	○	○	○	◎	○	○	○	○	○	○	○
Verizon	●	●	○	○	○	◎	○	○	○	○	○	○	○
Sprint Nextel	●	○	○	○	◎	○	○	○	○	○	○	○
France	FT	●	●	◎	○	○	○
UK	Vodafone	●	△	○	△	○	△	◎	○	○	○
BT	●	○	○	○	○	○	○	○	○	◎	○	○	○
Spain	Telefonica	●	●	△	○	○	○	◎	△	○
Korea	KT	●	●	◎	△	○

✉️: Base, O : Local subsidiary (Shares more than 50%), △: Local carriers (Shares less than 50%)

Fig.2-3 NGN projects of the world's major telecommunications carriers

Carriers	Projects	Plans for NGN	Plans for building up optical fiber access
Japan	NTT	NTT Group's Middle-term Management Strategy (2004/11 released)	The next-generation network will be built up which provides total IP connectivity from the user's device to the network. Shift 30 million customers from the existing metal wire and fixed telephone network customers (60 million) to optical fiber access and next-generation network services by 2010.	-
NTT Group's Promoting Middle-term Management Strategy (2005/11 released)	NTT East, NTT West and NTT DoCoMo Group will build a next-generation network enabling the provision of seamless IP-based services, using optical access and broadband wireless access for intra-prefectural / inter-prefectural communication, for communication between eastern / western Japan, and for communication between fixed-line phones and mobile handsets. Field trials would be begun in the second half of fiscal 2006 and NGN service will be provided in the second half of 2007.	-
KDDI	KDDI Plan for IP-based Fixed-Line Phone Network (2004/09 released)	Introducing an IP-based system to the existing fixed-line phone network from FY2005. The replacement with softswitch will be completed by the end of FY 2007.	-
Ultra 3G Wireless Plan (2005/06 released)	Suppling IP-based high-speed data services and multimedia services by combining fixed/mobile network system incorporating new wireless systems.	-
US	Verizon	FiOS (Optical fiber access) (2004/10 released)	-	As of the end of 2005, the service was available for 3 million households. By the end of 2010, 18 million households will be covered by FTP.
AT&T	Project Lightspeed (Optical fiber) (2004/10 released)	In September 2005, the transition to IP-based network was announced in White Paper. The existent 22 networks will be integrated into one system.	By the end of 2008, 18 million households will be covered by FTTN or FTP.
UK	B T	21CN (IP-based network) (2004/10 released)	In three years from 2006, IP backbone network will be built up. Customers started shifting to the IP network from 2006. Half of the customers will shift by 2008, and the shift will be completed by 2010.	-
France	F T	NEXT (2005/06 released)	Transition to the IP network was referred in Management Strategy 2006-08. Access network would be integrated by 2006, and NGN/IMS architecture will be integrated by 2008.	From June 2006 to February 2007, FTTH was introduced for 14,000 households on a trial basis. The service will be begun from 2009.
Germany	D T	Subscriber telephone network will be IP based around 2012.	By the end of 2007, 2.9 million households in 50 cities will be covered by FTTC.
China	China telecom	(2005/09 started)	Started supplying fixed telephone to 470 thousand households with IP-based services.	-
China mobile	Project for NGN (2005/10 started)	Long-distance backbone network covering 31 provinces and provincial backbone network will be IP-based network. Subscriber access network of provincial local network will be (re) built up.	-
Korea	KT	BcN (IP-based network) (2004/06, MIC)	From 2006 to 2007, IP-based long-distance network will be built up. From 2008 to 2010, IP-based local network will be built up.	In December 2006, KT announced that country-wide subscriber telephone network will shift to FTTH by 2010. *Korea promotes WiBro as national policy.