Finnish Chamber of Commerce in Japan

FCCJ Luncheon Meeting 16 March 2007

Guest Speaker: Gerhard Fasol, Representative Director, CEO, Eurotechnology Japan K.K.

Theme: The theme: "Help - my mobile phone does not work!"
Why Japan's mobile phone sector is so different from Europe's

Mr. Fasol's Presentation (pdf 1.2 MB)

RECAP

According to Mr. Fasol, Japan's share of the global mobile phone market is 20-25%. Japan is also in many aspects 2-3 years ahead of Europe in cost of fixed and wireless internet connectivity and innovations in mobile technology and applications brought to the market.

Regarding broadband connectivity, Mr. Fasol pointed out that when talking about broadband, Europeans and Japanese don't talk about the same thing, speeds in Japan are generally about 10 times higher. By 2010 he predicts that there would be 30 million FTTH (Fiber To The Home) connections in Japan, but only about 3 million in Europe. Broadband internet fees are also much less expensive in Japan than elsewhere, 0.07 USD per 100kb/s when in Finland it is 0.78, US 0.49 and UK 1.35.

The mobile phone industry in Japan is still growing, according to Mr. Fasol, by several Finland's per year. The operators are also investing heavily, about 20 bill. yen a year by the current three main players and another 6 billion by new entrants.

The main reasons that forced Vodaphone to withdraw from the Japanese market where a lack of respect for the differences in the Japanese market. Market research was perhaps done, but the reports where not read at the head office. Other reasons where lack of investments and handsets that appealed to the market.

The presentation was followed by a lively discussion which would have run much longer than the 15 minutes overrun we made in our schedule.

IMAGES FROM THE MEETING

FCCJ President Mika Mäkinen opens the meeting.	..and checks who are first-timers to attend a FCCJ Event. They are...
Aruna Basnayake, Nokia Japan	Ming Shih, Nokia Japan
Montgomery Mackenzie, Nokia Japan	Xavi Ibanez, Nokia Japan
Gerhard Fasol starts his presentation.	Pointing out the poor performance of Vodaphone in Japan.
Following the presentation with interest.	Kalevi Lehikoinen concentrates on his question regarding why voice fees in Japan are so much higher than data fees compared to Europe.
	Timo Varhama of UPM-Kymmene points to the similarities between paper and mobile phone business in Japan, you have to adjust to the needs of the market.
Eero Tammila of Finnair asks why SMS does not work well in Japan...	...and Montgomery Mackenzie and Aruna Basnayake of Nokia Japan presents him with a solution.