e-Japan Priority Policy Program Index


II.Formation of the World's Most Advanced Information and Telecommunications Networks

[Targets]

1.By promoting the establishment of the world's most advanced Internet within five years under the principle of competition and market mechanism, all Japanese who need it will be able to have ultra high-speed access networks1 (30-100Mbps2 as a standard) at affordable rates. (The goal is to create an environment that enables 24-hour connection to high-speed access networks from at least 30 million households and ultra high-speed access networks from 10 million households.)

2.In the short-term, all the people will be able to have 24-hour connection to the Internet at extremely low rates within one year through the use of fixed-line, wireless and other kinds of networks by promptly taking every necessary measure.

3.Various Internet access devices and digital home appliances will become popular and constantly connected to the Internet, by promoting the shift to the IPv63 -based Internet that provides enough address space and stricter protection of privacy and network security.

4.Through the realization of a leading-edge high-speed wireless Internet environment that efficiently connects a wireless network to the IPv6-based Internet, seamless mobile communications services will be realized. Advanced mobile communications services cooperated with Intelligent Transport Systems (ITS) and Geographic Information Systems (GIS) shall be diffused and promoted.

5.Along with the development of the domestic ultra high-speed Internet, the ultra high-speed international Internet access shall be pursued.

6.The convergence of communications and broadcasting as well as interactive services shall be fully introduced by promoting digitization of broadcasting which will be the basis of the IT revolution at home.


1.Current Status and Tasks

In order to promote the IT revolution and to make Japan the most advanced IT society, the world's most advanced information and telecommunications networks must be constructed. However, the "world's most advanced" is not just judged from the speed nor the capacity of communications, but from the total evaluation of various networks, such as diversity, security and reliability, centered by the affordably rated, high-speed, large-capacity Internet.

Currently, Japan's information and telecommunications networks have one of the highest mobile phone penetration rates in the world. As for fixed telephone services, highly reliable and matured networks that can be used safely from anywhere in Japan are realized. Regarding broadcasting, an environment is offered where diversified options are possible among terrestrial broadcasting as well as broadcasting satellite (BS) broadcasting, communications satellite (CS) broadcasting or cable TV. As such, Japan has been creating world-class, highly reliable and high level information and telecommunications networks as a whole. However, as regards the Internet, a core information and telecommunications network of the IT society, Japan cannot be evaluated as being advanced even within the Asia-Pacific region.

The mainstream of Japan's current Internet access is dial-up using conventional public switched telephone networks (PSTNs). The reason for the delay in Internet penetration within Japan is thought to be the lack of sufficient competition in the local telecommunications market, which is in reality a monopoly. Even after the privatization of Nippon Telegraph and Telephone Public Corp. (NTT) in 1985, the de facto monopoly has continued in the local telecommunications market. Therefore, an adequate telecommunications environment necessary for the diffusion of the Internet, such as24-hour Internet connection at low and flat-rate tariffs and high-speed access, has not been fully created.

Logically, the Internet is a service provided through networks that differ from PSTNs. Nevertheless, creating a totally new network for the Internet is not feasible. A more realistic method is to utilize existing transmission facilities such as digital subscriber lines (DSLs) that use metallic cables, cable TV networks, etc. for access to Internet service providers (ISPs), and to promote construction of the high-speed Internet that does not go through PSTN switching systems. Furthermore, the construction of independent networks based on diversified technologies such as fiber-optic cables or fixed wireless access (FWA)4 systems, and the development of ultra high-speed access networks should be promoted in the future.

In order to promote the diffusion of a low-priced and high-speed Internet, not dependent on voice telephony services, it is vital to create an environment where fair competition among businesses is ensured, and to promote lower rates as well as diversification and advancement of services. In the future, it will be possible that access networks physically and completely separated from PSTNs could be constructed, or unforeseeable drastic changes in Internet-related service markets may occur. Thus, it is significant to have competition policy to cope flexibly with such possibilities.

In addition, the rapid development of the Internet is characterized by its flexible evolution in response to diversified technologies. New technologies for telecommunications infrastructure have been successively appearing, and optimal ones have been adequately adopted under each circumstance. In Japan, as in the U.S., it is necessary to invest aggressively into R&D in the IT field, and to promote innovative technological developments.

Digital broadcasting enables to transmit massive digital information at low cost and has high affinity with the Internet. In the U.S. and the U.K., an environment capable of receiving digital terrestrial broadcasting is created in about 70% of all households. It is also necessary for Japan to digitize broadcasting as soon as possible and to promote the convergence of broadcasting and communications.

[Major indicators concerning the formation of the world's most advanced information and telecommunications network]

FTTH5 DSL Cable TV
Internet6
ISDN
(flat rate)
Number of
subscriptions
300note1
(Feb. 2001)
34,000
(Feb. 2001)
625,000
(Dec. 2000)
592,000
(Feb. 2001)
Number of
possible
subscriptionsnote 2
--
(trial service)
5.7 millionnote 3 (Reference)
19 millionnote 4
35 million
Charge (monthly) 18,450 yen
(Mar. 2001)
7,750 yen
(Mar. 2001)
5,200 yen
(Mar. 2001)
8,380 yen
(Mar. 2001)

Notes:
1. Number of subscriptions to Internet access services via fiber-optic cables (trial service)
2. There may be cases that services are not offered for some reasons, including technical problems.
3. Total number of residential-user lines (excluding fiber-optic lines) accommodated in Reception Stations of NTT East and NTT West offering DSL services
4. Number of households covered in service areas of cable TV operations offering Internet access services

Installation rate of fiber-optic subscriber cables (rate at feeder points7 ) approx. 36% out of approx. 185,000 feeder points
(Mar. 2000)
Number of providers allocated IPv6 12 providers (Feb. 2001)

Transmission capacity of international lines (international submarine cable networks)
Destination Line capacity Remarks
North America 171.82 Gbps U.S.A., Canada
Asia 143.92 Gbps Republic of Korea, Hong Kong, Taiwan, Singapore, China, etc.
Oceania 55.28 Gbps Guam, Hawaii, Australia (including capacities via Asia)
Middle East 50 Gbps UAE, etc. (including capacities via Asia)
Africa 50 Gbps Egypt, etc. (including capacities via Asia-Middle East)
Europe 50.56 Gbps Russia, Italy, U.K., etc. (including capacities via Asia-Middle East-Africa)

(Feb. 2001)
1 Access networks: A communications network that connects a user location to a backbone network.

2 Mbps: An abbreviated form of "Megabits per second." The term "bps" (bits per second) is a unit indicating the number of binary digits (bits) transmitted over a communications channel in one second. The prefix "Mega" means 106.

3 IPv6: An abbreviated form of "Internet Protocol Version 6." IPv6 is the "next generation" protocol. IPv6 allows 128-bit for IP address space, extended from the existing IPv4's 32-bit address space.

4 Fixed Wireless Access: A radio link between a base station and subscribers. In Japan, FWA is ruled and used as a subscriber local access system for telecommunications businesses.

5 FTTH: An abbreviated form of "fiber-to-the-home." A fiber-optic local loop system connecting the subscriber's premises to a Reception Station accommodating the subscriber . With this system, ultra high-speed digital data transmission can be attained.

6 Cable TV Internet: An Internet access service using cable TV networks

7 Feeder Point: A point nearby a subscriber's house, at which feeder cables (large-capacity coaxial or optical cables from a central office) connect to subscriber local loop distribution cables.


2. Significance of Policy Measures

Upon promoting the formation of the world's most advanced information and telecommunications networks, based on the principle of private-sector initiatives in the network construction, the government will engage in making an environment where private sector initiatives are fully utilized, such as the promotion of free and fair competition and basic/fundamental R&D. The network formation is rapidly ongoing in Japan as is borne out by cost reductions and penetration of flat-rate access services to the Internet. The government shall promote the creation of ultra high-speed and high-speed networks through making a fair and competitive environment, promoting the construction of fiber-optic subscriber local loop systems, and promoting R&D, etc. The government shall implement measures prescribed in "3) Priority policies" as itemized policy measures for promoting the formation of the world's most advanced information and telecommunications networks. In addition, the government shall give advice and ask local governments to supplement private-sector efforts with cooperation and support in order for the local governments to implement appropriate policies.

In the formation of such high-speed networks, it should be fully considered that the enrichment in applications stimulates upgrading of such networks mutually to make a desirable circle of the development and further accelerate all such moves. Therefore, it is essential to promote the formation of networks comprehensively and simultaneously with the enhancement of human resources, facilitation of e-commerce and digitization of administration.


3.Priority Policies

1) Formation of Internet Access Networks

i) Ruling of conditions for fair competition

In order to promote the formation of the world's most advanced information and telecommunications networks which the people can use easily at affordable rates, and to maintain and improve the level of the networks, it is indispensable for telecommunications carriers to make their businesses efficient and streamlined through fair competition, so that those carriers can adequately provide inexpensive and high-speed telecommunications services meeting customer demands. In addition, provided that access to Internet-related services is physically dependent on existing networks to a great extent, it is necessary to create frameworks under which local telecommunications facilities are effectively utilized as a shared infrastructure for providing Internet-related services. To this end, with the basic principles of maximizing consumer benefits and of promoting fair competition, the government shall reform its administrative attitude from prior regulations-oriented to ex-post-facto check approach according to transparent rules, and thus prepare conditions for fair competition in the telecommunications market.

a) Introduction of asymmetrical regulations (MPHPT)

Regulations for preventing and eliminating anti-competitive behavior of telecommunications carriers with dominant market power are to be introduced. At the same time, drastic deregulation shall be made for telecommunications carriers without dominant market power such as a shift from the existing approval system, etc. of contract articles and interconnection agreements to a notification system under certain conditions, while ensuring users' benefits. To this end, necessary measures will be taken, including the submission to the Diet within CY2001 of a bill to amend the Telecommunications Business Law.

b) Introduction of incentive-based competition promotion measures toward NTT (MPHPT)

The government expects the NTT Group to voluntarily implement certain competition promotion measures such as thorough opening of their local networks. In order to advance the IT revolution, a new deregulatory framework for restrictions on the scope of businesses of NTT East and NTT West will be ruled on prerequisites that such deregulation not hinder the existing business operations of them and conditions for fair competition.

For that purpose, necessary measures will be taken, including the submission of a bill to amend the Nippon Telegraph and Telephone Corporation Law (NTT Law) to the Diet in CY2001.

If competition does not proceed sufficiently despite measures for promoting fair competition, in consideration of ensuring communications sovereignty and international competition trends, fundamental reviews will be carried out without delay on the regulatory frameworks on telecommunications market and management framework of NTT Group.

c) Establishment of Telecommunications Business Dispute Settlement Commission (MPHPT)

In MPHPT, the "Telecommunications Business Dispute Settlement Commission (tentative name)," which will act for the mediation of disputes on interconnection, etc. and will be organizationally independent from other regulatory sections, will be established based upon Article 8 of the National Government Organization Law.

For that purpose, necessary measures will be taken, such as the submission to the Diet in CY2001 of a bill to amend the Telecommunications Business Law.

d) Strengthening of functions of the Fair Trade Commission (Fair Trade Commission: FTC)

In order to deal rapidly and appropriately with cases violating the Antimonopoly Act in the IT area, FTC's investigation system, etc. will be enhanced. Along with the progress of regulatory reforms in the telecommunications business area, guidelines of the Antimonopoly Act showing specific cases violating said Act (such as hindrance to new market entry through rejection of trade, without rational ground, in facilities indispensable upon providing telecommunications services) shall be compiled and released within CY2001.

ii) Promotion of the formation of ultra high-speed network infrastructure

In order to promote the construction and use of fiber-optic networks that are needed upon diffusion of the ultra high-speed Internet, etc. and in order to encourage private businesses to flexibly construct network infrastructures, rights-of-way, namely, fair and equal use of fiber-optic cables or resources, such as utility poles, ducts and conduits, for the laying thereof, will be ensured. In addition, the interconnection rules shall be strengthened. Through these measures, practical and effective competition in the local telecommunications market will be promoted. Additionally, measures will be taken for tax incentives and budgetary support for carriers to construct the ultra high-speed network infrastructures, etc.

a) Utilization of existing fiber-optic cables (MPHPT)

As for telecommunications services only for other telecommunications carriers (wholesale telecommunications service), aside from telecommunications services for general consumers, regulatory frameworks will be created to enable flexible service provision based upon individual contracts between carriers. To this end, necessary measures will be taken, such as the submission to the Diet in CY2001 of a bill to amend the Telecommunications Business Law.

b) Revision of the interconnection rules (MPHPT)

Basic Rules for Interconnection will be amended on unbundling8 by designating local IP networks9 that NTT East and NTT West use for 24-hour Internet connection service as a designated telecommunications facility. For that purpose, necessary measures will be taken, such as amending related laws and regulations within CY2001.

c) Ensuring the rights-of-way: facilitation of line construction (NPA, MPHPT, MLIT)

Regarding the rights-of-way on utility poles, ducts, conduits, etc. and public space such as roads, rivers, etc., based on the guideline, "Ensuring the rights-of-way" (adopted at the fifth session of the Joint Meeting of the IT Strategy Council and the IT Strategy Headquarters on November 6, 2000), the following measures will be taken:

Issues Measures
1. Opening of utility poles, ducts, conduits, etc. (MPHPT) - Nondiscriminatory, transparent and fair rules upon providing poles, ducts, conduits, etc., owned by public utility entities, to telecommunications carriers shall be proposed and publicized. (FY2000)
- On disputes emerging upon provision of utility poles, ducts, conduits, etc. including those on public land, necessary frameworks shall be introduced through amendments to the Telecommunications Business Law within CY2001. Under the scheme, a discussion between a telecommunications carrier and a provider of such facilities will be granted, and a ruling will be decided by the government, after being consulted with public land administrators, if necessary, based on a deliberation at a fair and neutral specialized organization.
2. Support for the construction of lines through creation and opening of cable space (MLIT) - By FY2001, cable space of 29,000 km route length for the laying of fiber-optic cables will be prepared by constructing fiber-optic cables for managing public facilities such as roads, rivers, ports, etc. and by burying cables, etc. underground as Common Utility Ducts, etc. Such cable space will be opened to telecommunications businesses step by step. Besides, the progress of preparing such cable space will be made into a database, to be released over the Internet in CY2001.
- In FY2001, guidelines for the laying of fiber-optic cables on newly built bridges will be studied and results released.
3. Review of street works regulations (MLIT) - Among fiber-optic cable laying works, for those unforeseeable at the beginning of a fiscal year and recognized as having great urgency, necessary coordination will be made in every quarter, so that the construction regulations will be relaxed even in winter and at the end of fiscal years, so long as this does not affect road traffic excessively. This measure will be continued through FY2005 on a trial basis.
4. Rule making for the laying of cables (MLIT) - Standard rules for the laying of cables will be compiled and released to effectively promote the use of sewers by private businesses, as long as such use does not hinder functions of the sewerage system.
- New entry procedures for the use of existing Common Utility Ducts will be clarified (already introduced).
5. Accelerated procedures, etc. - Regarding permission for occupancy of roads, electronic application procedures will be introduced for designated sections of national highway by FY2001. Regarding other national highways and prefectural roads, the national government requests local governments to introduce electronic application procedures by around FY2003. (MLIT)
- Within CY2001, a guideline for promoting one-stop application procedures for permission for occupancy of roads under multiple road administrators will be compiled. (MLIT)
- Regarding permission for the use of roads, the government requests local governments to introduce electronic application procedures by around FY2003. (NPA)
- Regarding permission for occupancy of rivers, electronic application procedures for permission of the use of sections under the jurisdiction of the MLIT minister will be introduced by FY2003. Regarding sections under the jurisdiction of prefectural governors, the government requests local governments to promote online application procedures by presenting its measures for introduction, etc. (MLIT)
- Procedural manuals for permission for occupancy of roads and rivers will be compiled and released (within FY2000). (MLIT)
6. Improvement in information provision (MLIT) - Road Administration Information System and related databases used for application procedures for permission for occupancy of roads will be widely encouraged to use (within FY2000).
- Creation of road ledgers will be promoted as well as problems in making them electronic information will be clarified by FY2001.
- As for prohibition measures on excavation after completion of road paving work, information on prohibition period will be released over the Internet (within FY2000).

d) Support measures for the construction of subscriber fiber-optic networks, etc. (MPHPT)

Based on the Provisional Measures Law for Telecommunications Infrastructure, toward nationwide deployment of subscriber fiber-optic networks by FY2005, support measures, such as ultra low-interest loans, tax incentives, no- or low-interest loans and loan guarantees, will be introduced to private telecommunications carriers. Construction of broadband subscriber networks10 such as DSL will be additionally included as an object for such support measures.

To this end, within CY2001, necessary measures will be taken, such as submission to the Diet of a bill to amend the Provisional Measures Law for Telecommunications Infrastructure.

e) Expansion of frequency bands allocated for PLC11 systems (MPHPT)

On expansion of frequency bands allocated for PLC systems (adding 2MHz - 30MHz), the government will research PLC's effects on broadcasting and other wireless services, examine the availability of the bands to be allocated, and will reach a conclusion by FY2002.

f) Quick and transparent allocation of frequency resources

Frequency bands available for high-speed wireless Internet access will be expanded in CY2001, and frequency allocation will be reviewed and frequency re-allocation carried out by FY2002 in order to ensure frequency for the fourth-generation wireless communications system12, etc. In addition, research will be made on the future frequency use in Japan as well as frequency allocation systems in foreign countries such as an auction system, to be studied along with related problems. Based upon this research, the optimal frequency allocation system in our nation will be examined from viewpoints of fairness, transparency, speed and efficiency in frequency use. A conclusion will be reached by FY2005.

iii) Closing the geographic divide of high-speed Internet access (MPHPT, MAFF)

In adversely affected areas such as underpopulated areas, etc., the construction of an information and telecommunications infrastructure tends to be delayed in comparison with urban areas, which is becoming an obstacle to promoting diffusion of the high-speed Internet called the next-generation universal service. Under the principle of private initiatives in network construction and government's support for said initiatives, the central government will support construction of local government's networks and Internet terminals for public services by local governments, etc. Thus, the central government will improve the Internet access environment for local residents.

As regards subscriber access networks, more preferential financial measures will be offered to rural areas in comparison with urban regions for construction of fiber-optic networks, DSL, etc., by private businesses, based on the Provisional Measures Law for Telecommunications Infrastructure. For that purpose, necessary measures will be taken, including submission of a bill to amend the Provisional Measures Law for Telecommunications Infrastructure to the Diet within CY2001.

iv) Promotion of R&D

The superInternet with a processing speed 10,000 times faster than and an accommodation scale 30,000 times that of the existing Internet leads users to desired information safely and with certainty. Toward the realization of the superInternet, for the purposes of acquiring and maintaining the world's most advanced technology in the area of information and telecommunications, R&D will be carried out strategically from the viewpoint of advancement in high-speed transmission, Internet basic technology and enhancement of mobile communications technology. Upon conducting R&D, construction of testbeds, etc. for verifying practical effectiveness of technologies thereof will be promoted.

a) High-speed transmission

(i) Development of photonic network technology13 that enhances optical transmission will be promoted to realize end-to-end ultra high-speed communications.

- On optical multiplexing technology, the advancement of wavelength division multiplexing (WDM) technology14 will be promoted, so that multiplexing of 1,000 waves in an optical fiber will be achieved by CY2005. (MPHPT)

- For realizing optical node technology15, a 10-Tbps16 optical router17 will be put into practical use by CY2005. (MPHPT)

- In the field of optical network technology, technology to control and manage optical network without converting to electric signals will be put into practical use by 2005. (MPHPT)

- Basic technology for Petabit18-class network communications will be established by 2005, and it will be put into practical use by around CY2010. (MPHPT)

- In the field of technology to realize on/off of optical signals in one over a trillion second to one over a quadrillion second, R&D will be completed by around CY2005 and practical use is planned by around CY2010. (METI)

(ii) Technology enabling wide-range ultra high-speed wireless access will be put into practical use. In order to construct fixed-wireless ultra high-speed international networks, verification experiments on the ultra high-speed Internet satellite system will be carried out by CY2005, and put into practical use by around CY2010. (MPHPT, MEXT)

b) Advancement of Internet basic technology (MPHPT)

By FY2003, such technologies will be targeted to develop as to enhance and utilize functions of IPv6, for instance, higher security and Universal Plug and Play, and as to expand access to the Internet from diversified devices other than PCs, for instance, information consumer electronics19. Through such technological advancements, an IPv6-based Internet environment will be realized by CY2005, in which all the people can receive, process and transmit desired information securely, quickly and easily from anywhere.

c) Advancement of mobile communications technology

(i) The high-speed Internet in ITS will be realized by organically integrating information over ITS and by connecting ITS with a most advanced high-speed wireless network environment. For that purpose, technology for smoothly providing and enjoying various large-volume information in rapidly moving automobiles via the wireless network will be put into practical use by FY2005. (MPHPT, METI)

(ii) By realizing the fourth-generation wireless communications (4G) system which enables a most advanced high-speed wireless Internet environment and seamless communications service, the world's most advanced mobile IT environment will be achieved. For this purpose, world-leading technological development will be further promoted, based on world-class IT and industrial accumulation, and international contribution will be also aggressively progressed in international standardization activities. With these measures, the government aims at establishing necessary basic technologies by CY2005 and at putting them into practical use by CY2010.

(iii) For the purpose of improving convenience and user-friendliness in using networks, technology to enable choose and use various wireless communications services flexibly will be put into practical use by CY2005. (MPHPT)

v) Construction of the international Internet

In order to construct international Internet hubs in Japan, measures will be promoted for increasing traffic of the Internet, etc. with the Asia-Pacific region, and for contributing to the formation of the international Internet in the Asia-Pacific region, as well as for closing the international Digital Divide.

a) Research for promoting advanced use of IT in Asia (MPHPT)

In consideration of Asia's characteristics such as a multilingual environment, international network interconnection experiments will be conducted for developing technology that enables transactions of large-volume video content over the Internet securely and easily, and said technology will be put into practical use by FY2004.

b) Promotion of research activities toward international standardization (MPHPT)

In the IT field, Japan's and Asia-Pacific region's standard proposals in private-sector standardization organizations (forums), such as the Internet Engineering Task Force (IETF)20 and the Internet Corporation for Assigned Names and Numbers (ICANN)21, and the International Telecommunication Union (ITU)22 will be promoted, and some 10 proposals will be made by FY2003.

c) Turning Okinawa into an international hub of information and telecommunications (MPHPT, METI)

Toward the formation of IT bases in the Asia-Pacific region, measures such as the formation of global Internet exchange (IX)23, accumulation of digital content/applications from Japan and abroad as well as accumulation of IT-related industries will be deployed multi-dimensionally across various fields. Thus, Okinawa international Information Special Zone Plan, including construction of an advanced regional IT network, will be promoted by FY2005, and an IT hub in Okinawa will be realized by FY2010.


8 Unbundling: Upon interconnecting a network of a requesting telecommunications carrier, a requested carrier is obliged to divide network facilities only to the requested functions and to provide the requesting carrier with "unbundled" access limited to those functions.

9 Local IP network: An IP-based communications network constructed in each prefecture by NTT East and NTT West for providing access to the Internet

10 Broadband subscriber network: A subscriber local loop system using broad frequency bandwidth that features large-volume data communications, e.g., DSL, etc. Mainly used for high-speed Internet access networks.

11 Power Line Communication: Communications using power lines. The available frequency bands under the current frequency allocation system range from 10kHz to 450kHz. At present, technology is being developed for several Mbps-class high-speed data communications for short-distance or residential use. The expansion of frequency bands is desired to realize high-speed data communications over 10Mbps.

12 Fourth-generation wireless communications system (4G): A mobile communications system that follows the IMT-2000, or the third-generation wireless communications systems scheduled to commence services from May 2001. 4G is expected to feature higher transmission speed up to several 10 Mbps in its downstream direction.

13 Photonic network technology: Technology which makes all data transmission, etc., optical and ultra high-speed, not only of backbone networks or access networks but every part and element of the network

14 Wavelength division multiplexing (WDM) technology: WDM technology increases information transmission quantity on fiber-optic networks by transmitting various optical signals over different wavelengths using a single optical fiber.

15 Optical node technology: Technology which conducts various processing for transmission at interconnection points (nodes) between networks without converting optical signals to electrical signals

16 Tbps: An abbreviated form of "Terabits per second," or, 10 powered by 12 bps

17 Optical router: A device which determines routes when selecting transmission routes at nodes of networks without converting optical signals to electrical signals

18 Petabit: An abbreviated form of "Petabits per second," or, 10 powered by 15 bps

19 Information consumer electronics: Consumer electronics enabling direct access to the Internet using simple interface

20 Internet Engineering Task Force: A private-sector forum for standardizing various Internet-related technologies. Documents published by IETF are known as Request for Comments (RFCs)

21 Internet Corporation for Assigned Names and Numbers: An international non-profit corporation headquartered in Los Angeles County, California, USA, established in 1998 for administering basic issues on the Internet such as assignment of IP addresses and domain names as well as management of Domain Name System (DNS). VGRS of the U.S. that manages .com or .net domains and JPNIC of Japan that manages .jp domains are operated under the ICANN rules.

22 International Telecommunication Union: A United Nation's specialized agency for purposes: i) international allocation of frequencies; ii) standardization of telecommunications and; iii) technical cooperation for developing countries. The headquarters is located in Geneva, and Japan became a member in 1879.

23 Internet eXchange: A point of interconnection between ISPs


2) Digitization of Broadcasting (MPHPT)

In the advanced information and telecommunications network society, it is vital for diversified information to flow freely over various networks regardless of their types. Since digital broadcasting has high affinity with the Internet, it will become easier to distribute digital content to other various media than broadcasting by combining it with the IPv6-based Internet, and also convenient services derived from the convergence of communications and broadcasting will be realized by utilizing ample address space and other advanced functions of IPv6. As a result, all the people will be able to assemble and utilize various information easily and securely.

In order to promote digitization of broadcasting as the basis of the IT revolution at home, as described above, terrestrial digital broadcasting is targeted to start in three major areas of Kanto, Kinki and Chukyo by CY2003 and in other areas by CY2006. For this purpose, the government will take readjusting measures of frequencies for analog broadcasting along with digitization of broadcasting, and support measures of tax incentives and financing schemes for constructing digital broadcasting facilities. Regarding cable TV, support measures including tax incentives and financing schemes will be taken in order to digitize the systems by CY2010.

3) Creation of a System coping with the Convergence of Communications and Broadcasting (MPHPT)

As for CS digital broadcasting and cable TV, etc., the use of telecommunications carrier's lines will be ruled as well as support measures for R&D for promoting services derived from the convergence of communications and broadcasting will be taken through the Telecommunications Advancement Organization of Japan (TAO). To this end, necessary measures will be taken, such as submission of a bill for broadcast services utilizing telecommunications services and a bill concerning promotion of R&D on technology for the convergence of communications and broadcasting to the Diet within CY2001.

4) Closing of Geographic Information Divide (MPHPT)

Universal services such as subscriber telephone services, etc. indispensable for daily lives will be maintained while expanding service areas for mobile communications, to bridge the geographic digital divide.

a) Establishment of a framework concerning provision of universal services

In order to ensure provision of universal services (subscriber telephone, public telephone and emergency call services), regulatory frameworks will be formulated under which providing carriers of universal services are designated, and that costs for such service provision by said carriers are shouldered by multiple telecommunications carriers. To this end, necessary measures will be taken, such as submission of a bill to amend the Telecommunications Business Law to the Diet within CY2001.

b) Construction of steel towers for mobile communications

The government will support cities, towns and villages, when they construct steel towers for mobile communications in underpopulated areas, etc., so that, in more than 95% of those municipalities, their offices and branches will be included in mobile communications service areas.



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