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Tuesday, December 06, 2005
Penetrate NTT DoCoMo market shares
In Japan, NTT DoCoMo dominant the wireless telecommunication market. It closet competitors KDDI's wireless division au has started preparation for what local call "Mobile Number Portability".
"Mobile Number Portability" essentially allows customers to switch from one service to another without having to change their numbers. This is an opportunity for KDDI's au to expand market shares.
In March 2002, KDDI's au market shares is 17.6%. In March 2003, it has been increase to 18.3%. March 2004, 20.7%. Come to March 2005, it market shares has increase to 22.5%. The market share is expanding every year.
Although it market share still not significant compare to NTT DoCoMo. It might able to compete with NTT DoCoMo when customer convert to 3G. KDDI's au technology is compatible between it 2G & 3G technology. Which is more advantage than NTT DoCoMo. In November 2003, KDDI's au launch a low cost ringtone, which force DoCoMo to lower it price and eroded it margin.
Malaysia recently offer it second round bidding for 3G license.DiGi Telecommunications Sdn Bhd, TT Dotcom Sdn Bhd, and MiTV Corporation Sdn Bhd  submitted their respective applications to the industry regulator on Nov 11.
Japan also offer maximum 2 new 3G License. SoftBank CEO Masayoshi Son, which provide venture capital to Yahoo and E*Trade and being call Bill Gates of Japan, was view as a serious threat by both DoCoMo and KDDI's au.Whereass they view the other bitter likely.
Bothcompanyy still remember when SoftBank enteredbroadbandd market. Masayoshi Son's SoftBank give a free trial and create a "mess" in the market.
Masayoshi Son said a new competitor of course is not welcome to the market.
Oriental Daily reported that Singapore is the first country in the world that implement "Mobile Number Portability". Hope someone from Singapore can feedback on this area.
Taiwan was implemented in October 2005. Japan plan to implement in 2006.
Back home in Malaysia, the MCMC plans to have this system in place in the next 15 to 18 months. Analyst view that the biggest gainer would be the smallest player like Digi, as bigger player like Maxis and Celcom might lose it market share to Digi as customer of Maxis can change to Digi without having to change his number from 012 to 016.He can remain to use 012 even he swished to Digi. It would be interesting to see what will happen than.
Related Link: Can bloggers charge Singapore's reader via i-mode?
TechnoratiTag:Asia Business Commentary competitive Economics Economy Malaysia Opinion technology
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