For Information
November 19, 1996

NTT Submits OCN Services Plan for Approval

Nippon Telegraph and Telephone Corporation (NTT) announced today that it has submitted a plan for its Open Computer Network (OCN) services to the Minister of Posts and Telecommunications for approval.


1. OCN services

(1) Purpose

NTT proposes to provide OCN services to promote the development of multimedia, especially the expansion of computer communications such as the Internet and LAN-to-LAN connections, which would stimulate the exchange of personal and corporate information in Japan.

(2) Outline

These are end-to-end routing services and connection services for the Internet through Internet protocol. They comprise low-speed (128kb/s) and high-speed (1.5Mb/s & 6Mb/s) Type I services and dial-up Type II services.

(3) Charges

Type of service Category Charging system Charges(monthly)
Type I service 128Kb/s Flat-rate system 37,300yen
1.5Mb/s 347,000yen
6Mb/s 984,000yen
Type II service - Flat-rate system
(up to15hours)

Specific-rate system
(for extra hour)

*Dial call charge is necessary.
Basic hours 2,300yen
(up to15hours)
Over basic hours 9yen per minute

(4) Launch

December 1996 (planned), following approval by the Minister of Posts and Telecommunications

(5) Service Provision Area

Type of service Category Fiscal Year 1996 Fiscal Year 1997 Fiscal Year 1998
December 1996 February and March 1997
Type I service 128Kb/s Gradual expansion of services from prefecture capital
Fujisawa/Ogaki Sapporo,sendai,Urawa,Chiba,
About 100 cities About 200 cities
1.5Mb/s - - Gradual expansion from multimedia joint utilization test cities(*)
Type II service - Setting up of access point in Tokyo MA Setting up of access point around 250 MA Setting up of access point to all MA

Note-MA:Message Area

2. Conditions of Fair Competition on OCN Services

(1) OCN Unbundled Menu

NTT surveyed numerous communications carriers to determine the charges and conditions of using the unbundled menu. NTT has announced the proposed charges already. The unbundled menu will be offered in accordance with mutual connection agreements reached with communications carriers.

OCN unbundle charges

Target charge(monthly)
1.Provision of access line 2.Provision of access line via router 3.Network-to-network connection
(general subscription type)
4.Network-to-network connection
(high-through-put type)
128Kb/s About 9,000yen About 9,000yen+router usage charge About 28,000yen About 140,000yen
1.5Mb/s About 140,000yen About 140,000yen+router usage charge About 210,000yen About 800,000yen
6Mb/s About 140,000yen About 140,000yen+router usage charge About 840,000yen About 3,200,000yen
Note: 1.NTT will discuss unbundle charges with providers who request connection with NTT.
2.Router usage charge (monthly)-(for providers)
    low-speed 128Kb/s:maximum about 100,000yen(about 4,000yen per one line at maximum)
    high-speed 1.5Mb/s:maximum about 380,000yen(about 16,000yen per one line at maximum)
    high-speed 6Mb/s:maximum about 300,000yen(about 50,000yen per one line at maximum)
(2) Installation of Providers' Routers at NTT Facilities

When NTT installs providers' routers at its facilities, the charges for such installation will mirror the costs of NTT installing its own routers for OCN services, with consideration for the facility and routers involved. In order to respond quickly to communications carriers' requests, NTT will release a list of charges for installations at its main facilities and set up a system for completing installations in about two-week period.

(3) Leased lines and frame-relays of one-end and one-to-one-end services terminating at NTT facilities

NTT will provided new leased lines and frame-relays of one-end and one-to one-end services terminating at NTT facilities.