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Building the Next–Generation Network
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In a document made public in November 2005, entitled “Promoting the NTT Group’s Medium–Term Management Strategy,” NTT Group outlined a roadmap toward construction of the Next–Generation Network (“NGN”) for provision of broadband and ubiquitous services. Starting December 2006, as the first step in implementing this roadmap, we will conduct field trials, with the participation of a variety of businesses. The field trials will enable technological confirmation and assessment of customer need as we move toward launch of services in the second half of FY2007. |
Further development of broadband and mobile |
As use of the Internet spreads and becomes increasingly indispensable to both personal life and corporate activity, rapid advances are being made in broadband (high–speed, high–volume data transmission) and mobile services.
According to the 2006 Information and Communications White Paper, as of the end of FY2005, the number of broadband subscriptions was 23.3 million (an increase of 19.1% year–on–year); in particular, optical access services (“FTTH”) grew rapidly, to 5.46 million (an increase of 88.3% year–on–year) (see graph 1). With the growing use of mobile phones and the increasing sophistication of their functions, the estimated number of Internet users accessing the Internet with their mobile handsets, as of the end of December 2005, was 69.23 million (an increase of 18.8% year–on–year).

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Efforts directed toward the construction of the Next–Generation Network |
Given this background, with the aim of building a telecommunications infrastructure that not only maintains the flexibility and low costs of the Internet, but also has the high security and reliability of a fixed–line phone network, NTT Group and other telecommunications carriers have commenced efforts toward construction of the NGN.
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Basic concepts behind the NGN |
[A safe, secure, convenient network]
Having both the quality, reliability and security of the existing fixed–line network and the flexibility and economic advantages of an IP network, the NGN will be a safe, secure and convenient network, ensuring both high quality and security.
[A network enabling an IP–based convergence of services]
Aimed towards providing services tailored to customer needs for integration of various services and enabling the convergence of fixed line and mobile communication by alliances within NTT Group; the NGN will be an efficient and flexible network to the extent permitted under the current legal framework for fair competition.
[An open network]
The NGN will be an open network allowing interoperability with other telecommunication carriers. Interface conditions will be disclosed, provided security and other conditions are met, enabling provision of a variety of NGN–based services through alliances with companies both within and outside the NTT Group.
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Roadmap for building the NGN |
STEP1:
Starting in December 2006, with a view toward launch of commercial NGN services, we will implement field trials for the purpose of making technological confirmations and assessing customer needs. NTT East and NTT West will start building NGN relay networks.
STEP2:
In the second half of FY2007, we will start building NGN subscriber networks and launching commercial services on the NGN.
STEP3:
Upon its deployment of Super 3G (telecommunication protocols even faster than the HSDPA protocols implemented in August 2006) NTT DoCoMo will deploy mobile network edge nodes and transition the ATM (voice) network to an IP–based network; in conjunction with these achievements, a seamless integration with the mobile network will be achieved.

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NGN Field Trials
[Purpose]
Prior to commercial deployment of the NGN, field trials will be implemented starting December 2006 in which a network having virtually equivalent functions will be built, for the purpose of making technological confirmations and assessing customer needs. In these field trials, NTT Group will disclose application and handset layer interface conditions and conditions for interoperability with the NGN, enlisting the broad participation of information manufacturers of electronic communications devices for the home, service providers, and other telecommunication businesses.
[Planned time of implementation]
One year, starting December 2006
[Implementation areas, targeted users]
From December 2006:
Visitors to visit showrooms in Tokyo and Osaka
April to December 2007:
Coverage expanded to the general public in parts of the Tokyo area and Osaka
(coverage expanded to the general public in parts of Tokyo, Kanagawa, Chiba, Saitama and Osaka)
(We will recruit trial participants from the general public until March 2007. Details regarding method of recruitment and other such matters will be announced separately.)
[Overview of services]
‹IP telephony services›
We plan to provide IP telephony services with better voice quality than achieved with fixed–line phone technology, and high resolution (Hi–Vision class) videophone services.
‹Video distribution services›
We plan to provide Hi–Vision quality IP television services and video–on–demand services enabling distribution of a variety of video contents whenever a customer wants.
We have received applications for participation and proposals for services from a variety of providers, including telecommunication businesses, information manufacturers of electronic communications devices for the home, and service providers, and we plan to ask our trial participants to use a variety of services.
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