DOCOMO gets the broadband habit

30 Jan 2015

Japan’s leading mobile operator by subscribers, NTT DOCOMO, has decided to dip its toe in the country’s buoyant fixed broadband market, as it looks for fresh revenue streams to offset dwindling growth in its traditional mobile business. The cellco, which has reported a sharp 11.2% fall in net income to JPY381.85 billion (USD3.24 billion) for the nine months ended 31 December 2014 (9M FY2014), has unveiled its new ‘docomo Hikari’ fibre-optic service, bundling a 1Gbps broadband connection with internet service provider (ISP) service and mobile, and offering discounts to fight off the challenge of rivals such as KDDI (au). The new service will be made available commercially from 1 March, with DOCOMO looking to offer bundled packages, giving end users the opportunity to make savings of up to JPY3,200 (USD27) per month by so doing. Further, the cellco is introducing a simpler tariff structure removing the current extra tier of complexity that requires the consumer to buy an xDSL or fibre connection separately from the ISP service (which are then billed separately) and offer a so-called ‘one-stop shop’ with all billed together.