In the information and communication technology (ICT) field, radical changes are continuing in the market. Broadband and ubiquitous trends are ongoing, smart phones and tablet-type handsets are being disseminated and cloud services are expanding. Such changes are further accelerating along with globalization.

In such circumstances, based on the Medium-Term Management Strategy "Road to Service Creation Business Group," the NTT Group is promoting the dissemination and expansion of cutting-edge broadband networks and creating diverse ubiquitous broadband services.

With regard to the dissemination and expansion of broadband networks, the fiber-optic access service FLET'S Hikari can now reach 90% of the total households nationwide, with the number of contracts having reached approximately 15 million. The next-generation network (NGN), which has achieved high reliability and safety, has become available in almost all fiber-optic access service areas. Among mobile communications services, in addition to the FOMA high-speed services, the service coverage of which has already reached 100% of Japan's population, in December 2010 we started to offer the Long-Term Evolution (LTE) standard service Xi (crossy), which features high speed, large capacity and low latency.

We are actively working to make the world's highest-level broadband network infrastructure available to as many clients as possible. As part of such efforts, we are disseminating video distribution services, reinforcing the lineup of easy-to-use and attractive handsets, vigorously promoting the creation of new services in cooperation with various business partners and aggressively promoting the optimal use of ICT in medical, educational, administrative and other fields including the public sector. In the trend from possession to utilization, we are further reinforcing cloud services and data centers to address diverse needs flexibly.

Positioning our global business as a core revenue generator, we aim to achieve US$10 billion in our global business in fiscal 2012. By acquiring Dimension Data Holdings plc and Keane International, Inc., our global and comprehensive ICT service provision structure is in place. With new service business models that can create synergies in a whole group, we will develop businesses globally.

Moreover, under the NTT Group's environmental vision, "THE GREEN VISION 2020," we will continue to work on three environmental initiatives—"Green of ICT," "Green by ICT" and "Green with Team NTT"—to reduce the environmental burden.

Through these initiatives, the NTT Group is further reforming its business structure to focus on the IP and Solution & New businesses. These efforts will help reinforce the NTT Group's competitive edge, enhance its corporate value and contribute to solving social issues through the optimal use of ICT. In addition, by developing success cases globally, we intend to contribute to Japan's economic growth and reinforce the international competitiveness of Japan.

In this booklet, we provide an overview of our management strategies and business activities, and we hope that it will deepen your understanding and appreciation of the NTT Group. Your continuing support is highly appreciated.

Satoshi Miura
President and Chief Executive Officer
Nippon Telegraph and Telephone Corporation