NTT revises fibre-optic target amid slow sales

22 Oct 2007

Japan’s largest telecoms company Nippon Telegraph and Telephone Corp (NTT) has trimmed its target for signing up 30 million fibre-optic users by 2010 by ten million to 20 million, amid weaker than expected sales of the service, the Nikkei newspaper reports. The former monopoly sees advanced fibre-optic technology with high speed internet access and video download capability as key to its plan to replace its stagnating core voice services business. However, the company is falling behind in its quest to sign up new users to the service, which was launched in 2001. NTT had 7.42 million FTTx users at the end of September, making it difficult to see how it can now meet its long-term objectives.

In an attempt to boost take-up, NTT is understood to be planning to offer high definition TV (HDTV) via its FTTx lines by March 2008. It is understood the company’s two regional operating units, NTT East Corp and NTT West Corp, will apply for licences from the Communications Ministry before the end of the month. The telco is adding HDTV as part of its next generation network (NGN) deployment which aims to offer a gamut of other services including terrestrial digital broadcasts, video-on-demand (VoD), internet access, voice telephony and video over fibre-optic lines.

Japan, NTT (NTT East & NTT West)