There has been a lot of talk about the NGN; can you explain to us exactly what kind of network this is?

As we head into the era of broadband and ubiquitous services, network traffic volume will increase and many new and varied applications and services are expected to become available. For this reason, taking into account the global trend in standardization, in March 2008 we began the staged introduction of our a new network, the NGN, which makes use of fiber-optic communications and IP technologies which have been developed over the past several years. The NGN embodies such features as open interfaces, high Quality of Service (QoS), reliability and security. It can be viewed as a network that merges the conveniences and economies of the Internet with the level of reliability and security that we have established in traditional telephone networks. In addition, the NGN enables us to easily realize “triple-play” service packages that combine telephone, Internet and video distribution services.
The use of the Internet for the exchange of sensitive corporate information involves risks in terms of security and quality. However, since the NGN ensures enhanced security and communication quality, it enables the creation of highly reliable business networks.

What are the types of services available on NGN?

One of the central services for individual customers we're considering is IPTV service (service name: “Hikari TV”) Until now to watch the TV programs we wanted to see, typically we would either watch them at the time of broadcast or record them and then enjoy them later at a time of our choosing. However, View on Demand (VOD) services such as NHK-on-Demand launched in December 2008 now allows us to view our favorite drama series any time we choose without having to get upset over missing them or forgetting to record them. With IPTV service, by collaborating with content providers and broadcasting businesses, viewers will not be limited only to VOD, but will also be able to enjoy digital terrestrial TV broadcasts and multi-channel broadcasts as well. We have already cleared various technical requirements necessary for video distribution such as securing the band frequency that ensures video quality, implementing controls for receiving ends, and developing technologies to prevent illegal copying of content.

This seems to provide huge potential for businesses too.

We see Software as a Service (SaaS) as a pillar for corporate services. SaaS processes sensitive corporate information on an external server through a network and is highly compatible with the security and reliability that are the hallmark characteristics of the NGN.
The use of SaaS will change your business style. Up to now, companies purchase accounting and other software to meet their requirements. With SaaS, companies can connect to the system to use only the specific software they need only at the times they need it. Although building an information system and hiring a full-time system administrator can be costly and difficult for small office/home offices (“SOHOs”) and small businesses, the use of SaaS can resolve these issues.
There are also other video communication services for the business customer using the NGN such as Telepresence (a high-definition, realistic video conferencing system). With regard to daily communications, talking face-to-face could quickly and easily resolve misunderstandings that could arise from written exchanges of e-mail or faxes. For that reason, I believe it is very important to meet people in person from day to day. However, you often don't have time or can't physically see people and many of us have times when we'd like to see our friends or grandchildren who live far away but can't. The use of this realistic video communication system makes it possible to satisfy that wish. Unlike the old videophone, this system provides significantly improved visual quality and employs multiple technologies that provide a sense of being in the same place. For example, when a number of speakers are sitting next to each other, Telepresence projects the voice from the direction of the person who is actually speaking. The other day I had a conference between the U.S. and Japan using Telepresence and it was so realistic that I felt that I was right there having a conference. Very soon we will be able to introduce everybody to this sense of “being there” and convenience.
Since this new network provides a high level of security and reliability, we feel certain that it will be applied to remote medical care and give rise to new services in diverse areas such financial systems that require higher security for protection of personal information.
I have so far given some examples of the services that will be developed for the NGN, but the important thing is to collaborate with service companies and other companies that will be expanding their businesses using the NGN. We have high expectations for the new and innovative services that will be born out of such collaboration.

With research and development now moving ahead as part of the “Service Creation Business Group” strategy, what kinds of services do you see coming out of this work in the future?

NTT's research centers are currently at work in various areas, including network technologies, communication science, materials research and environmental energy. As an example, some of this research is focused on advanced products like quantum computers and optic memories which remain several decades away from development, and we are also working on research involving next generation network architecture.
To give you an example of a new service that uses practically applied technologies developed in our research centers, there is “Digital Signage”. It is already being used for train displays and for large-scale advertising displays on the walls of buildings. While up until now these displays have been used independently for specific advertisements, we are currently evaluating the prospect of networking the displays and developing a system that can control the whole network, and ways to exploit this in business. This technology has the potential to enhance the effectiveness of advertising by broadcasting displays specifically adapted to such audience-specific attributes as time, place, sex, age and size of the audience.
In addition, we are making advances in such areas as services that combine fixed-line and mobile infrastructures as well as “Home ICT.” With regard to the former, we are developing a service that enables access to the IPTV service and the goo search function from mobile phones as if you were accessing the same service from a PC.
In the area of “Home ICT,” we are developing various support services that connect to the NGN not just PCs but also other devices in the home such as video game consoles, televisions, digital photo players and door phones, and enables users to remotely check the locks on doors, share photographs and video over television with family members who may be far away and remotely set and identify malfunctions of household appliances. In addition, we are also working on services for making life safer, more secure, and more fulfilling such as virtual offices that allow people to work away from the office or at home.

It certainly appears that many new types of services exploiting these cutting edge technologies will be born out of this research and development effort.

There is often a gap between what is technologically possible and a service that is easy to use. At NTT's research centers we are conducting world-class research in many areas, although there are still many areas where a lot of progress could be made regarding ease of use and other aspects.
I think that the integrated corporate capabilities of the entire NTT Group are important in solving the kinds of problems that cannot be solved by research alone or in promoting curstomer-oriented business development. In order to do this, in addition to working together with outside parties, we are making efforts to increase collaboration throughout the NTT Group by setting up “Task Forces” that provide opportunities for exchange of ideas among all group companies.
Looking ahead toward the convergence of services and increasing globalization, a global view has become critical. We have already made efforts in advancing NGN standardization and international expansion of fiber-optic component technologies. I believe that from now on it is necessary to collaborate with telecommunications carriers and partner companies from many countries, disseminate the results of our research and development (R&D) work and expand business opportunities.
I would like to see us moving ahead in creating new NGN-based services in collaboration with many different companies, and I hope that these new services will contribute to the growth of Japanese economy.