Contents

NTT Group has made efforts to contribute both to its customers and to the public welfare through creating ICT services and new telecommunication markets. To achieve this, NTT has not only promoted the development of networks and applications, but also engaged in research in basic technologies leading to the creation of new principles and concepts. It is important for NTT Group's continued growth and continued contributions that intellectual properties in R&D be protected. To integrate three Corporate strategies which are one of intellectual properties, one of business and one of R&D, NTT Intellectual Property Center promotes i) strategic acquisitions of new intellectual properties to increase the Corporate profits, ii) risk management of intellectual properties for NTT Group, and iii) best use of intellectual property holdings.

To enhance businesses and to decrease risks, The Center proposes right strategies to R&D sections and promotes strategic acquisition of intellectual properties, taking each situation of R&D subject into consideration. Based on the analysis of patents owned by NTT Group and its competitors, the Center cooperates with affiliates to promote acquisition of intellectual properties and to deal with issues raised concerning to third-party's intellectual property rights. Consequently the Center contributes to the increase in the Corporate profits by maximizing the competitiveness of affiliates.

The Center contributes to commercializing R&D results by forming a risk management policy on intellectual properties to minimize business risks. The Center also contributes to maintaining the competitiveness of business by appropriately managing proprietary information produced in R&D activities. The Center educates research engineers to appropriately utilize and produce intellectual properties through in-house training programs. In addition, the Center strives to increase the value of the Corporate brand by managing appropriate use of trademarks and by utilizing the technology brand established through R&D achievement.

To maintain superior competitiveness of NTT Group, the Center utilizes strong intellectual property holdings. On the other hand, the Center positively grants licenses of these holdings on purpose to contribute to the growth of related-industries and to the market penetration of NTT technologies. The Center contributes to the global deployment of R&D products by licensing intellectual properties and other proprietary information to both domestic and overseas companies. To promote the cultivation of new business and the penetration of technologies, the Center also contributes to standardization activities through such organizations as the International Telecommunications Union (ITU). Moreover, especially for essential patents adopted by the International Standard Developing Organizations, the Center promotes a continued effort to help the technology penetrate the market by contributing to the one-stop license-out program in which patents owned by plural patentees are granted to be licensed under reasonable royalties.