Japan – Japan’s telecommunications services market will grow by 1.1 percent each year over the next five years, with revenue growth from IPTV, VoIP, and mobile data services making up for declines in legacy service offerings, according to a report from Pyramid Research. Pyramid reports that telecom services generated 12.5 trillion yen in revenue in 2008, a decline of 1.2 percent compared to 2007. Because of the yen’s soaring appreciation on world currency markets, the value of Japan’s telecom services grew by 11 percent in 2008, when measured in US dollars, to US$120.4 billion. “The main growth engine will be data services, in both the fixed and mobile sectors. Revenue from mobile data will grow at a 7.2 percent CAGR during the next five years, driven by increased mobile internet usage,” notes Tae-Hyung Kim, analyst at Pyramid Research. “In the fixed sector, migration to fiber from DSL and VoIP uptake will be the key drivers for revenue growth. As such, revenue from broadband and VoIP will grow at CAGRs of 6.1 percent and 10.4 percent respectively,” he adds. “Given favorable policies for convergent services, especially regarding IPTV, we also forecast that revenue from IPTV will grow at a CAGR of 25.6 percent during the next five years,” said Kim.
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