### (2) Promoting the advancement of broadcasting A. Promoting the transfer of terrestrial broadcasting from analog to digital format

Terrestrial analog broadcasting will end and be completely replaced by a terrestrial digital service by July 24, 2011. Terrestrial digital TV broadcasting was launched in the three largest metropolitan areas, Tokyo, Osaka and Nagoya, in December 2003, and in December 2006, the service was started in all prefectural capitals. As of the end of FY2008, about 48 million households (97% of all households) have access to digital services, and the number of shipments of terrestrial digital radio receivers constitutes about 449.69 million sets. The number of households with cable TV connections is 22.4 million (as of September, 30, 2009).

### B. Promotion of satellite broadcasting policy

Japan’s satellite broadcasting is a pioneer in high-function broadcasting, such as the provision of various special broadcasting services and high-definition TV programs. Particularly, the number of shipments of special satellite receivers (BS and 110 CS digital broadcast) constitutes about 50.1 million sets (as of end-FY2008) and the number of households connected to special satellite broadcasting is about 20.9 million (as of end of FY2007).

### 3. Promotion of radio policy

## (1) Summary of radio policy

### A. Formulation of the Radio Utilization Vision in the 2010s

It is expected that the quality and quantity of Japan’s radio wave utilization will balloon in the future and radio wave utilization in new areas will emerge, including responses to deal with the aging society with fewer children, creation of new industries, revitalization of local economies and responses to environmental issues, in addition to the realization of systems and services that use new wireless technologies.

The MIC has clarified its vision for Japan’s radio wave utilization in 2010s and issues involved in realization of this vision, in view of the future progress of radio wave utilization technologies and international trends. The Radio Wave Policy Council was established in October 2008 with the aim of discussing measures for the effective utilization of radio wave in the 2010s.

### B. Efforts for transfer and reallocation of radio spectrum

In order to secure radio spectrum that allows installment of new radio wave utilization systems, the MIC carries out an annual investigation and evaluation of the utilization status of radio wave and has formulated the Action Plan for Spectrum Reallocation, which sets out a vision for the transfer/reallocation of spectrum. Based on the results, Minister of Internal Affairs and Communications prepared the spectrum allocation plan.

With respect to the reallocation/transfer of spectrum, it has been decided that the utilization efficiency of spectrum will be increased through digitization, thereby (1) responding to increasing needs through a capacity increase, and principles will be developed for a fundamental revision of the allocation of medium- and long-range spectrum and the spectrum allocation plan will be revised on an as-needed basis, thereby (2) allowing the installation of a new radio wave utilization system that uses free spectrums. It is still necessary to install new systems and carry out the dynamic transfer and reallocation of spectrum, responding to increasing spectrum demand.

The radio waves to be reallocated after completion of the transfer to terrestrial digital TV broadcasting in July 2011 will be used for the following purposes: (1) broadcasting of multi-media for mobile matters, (2) independent communication that allows broadband communication to realize a safe/secure society, (3) telecommunications for mobile phones that are required to secure spectrum as a result of increased demand and (4) ITS necessary to create a safer traffic society. With respect to spectrum band for these four purposes, discussions are currently under way in view of their use in 2011 or 2012.

## (2) Approach to advancement and diversification of radio usage

### A. Advancement of mobile communication system and wireless access system

The MIC has been making efforts toward the introduction of a wide-area mobile wireless access system, such as WiMAX and the next-generation PHS, and the advancement of a third-generation mobile communication system. With the aim of realizing the practical application of so-called fourth generation mobile telecommunications systems, the one that follows the third generation mobile telecommunications systems, in and around 2011, the MIC is actively promoting efforts for research and development and international standardization with industry-academia-government cooperation.

Also, with respect to a high output wireless access system that uses 5GHz band, the MIC introduced a register system in December 2005 in a number of metropolitan areas (Tokyo, Nagoya, Osaka and surrounding areas) where high demand is expected, prior to nationwide installation. The period of use for the fixed station for telecommunications services expired at the end of November 2007, when the use of the