Japan ditches talks on NTT break-up

28 Jun 2006

The planned break-up of Japan’s dominant telecoms operator NTT is expected to be kicked into touch for the time being at least, when the government announces that it will not even begin discussions on the idea until 2010. Earlier this month an advisory panel to Japan’s Home Affairs Ministry recommended that Nippon Telegraph and Telephone Corp (NTT) be disbanded in 2010/11 in order to stimulate competition. In its final report to home affairs minister Heizo Takenaka, the group proposed that the former monopoly, which provides fixed, mobile and data services, should be fully dissolved. The panel also suggested that once broken up, the country’s regulatory regime should be relaxed so as to improve competition and drive down prices for consumers.