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A PROFILE OF JAPAN'S TELECOMMUNICATIONS INDUSTRY
PREPARED BY ASIA PULSE ANALYSTS (MARCH 2002)
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OVERVIEW:
Major Japanese telecommunications carriers are suffering a steep deterioration amidst the global IT slump and cutthroat price competition. Even the dominant Nippon Telegraph and Telephone Corp., still partially owned by the government, could not emerge unscathed, posting a group net loss of 261 billion yen for the first half of fiscal 2001 and forecasting a net loss of 331 billion yen for the full year.
Companies are now vying for the limited remaining pieces of the telecom market pie, as both the land-line and cellular phone markets reach saturation. Rivalry is particularly fierce in ADSL (asymmetrical digital subscriber line) Internet services and IP (Internet Protocol) phones, with an increasing number of start-ups and firms from other industries rushing to enter these fields.
Source: HighBeam Research, PROFILE - JAPAN'S TELECOMMUNICATIONS INDUSTRY (MARCH 2002).