| FOR IMMEDIATE RELEASE | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
February 28, 2001 |
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Application for Approval of the Business Operation Plan |
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Nippon Telegraph and Telephone West Corporation (NTT West) today submitted its business operation plan for the fiscal year ending March 31, 2002 to Minister of Public Management, Home Affairs, Posts and Telecommunications for approval. In the building of an advanced information and telecommunications society, the telecommunications industry is expected to actively contribute to the development and efficiency of social and economic activities. In response to the increasing sophistication of consumer needs and the processes of diversification and globalization, this market continues to enjoy accelerated growth, while the introduction of outstanding technological innovations contributes to continuing rapid change in what is often called the "IT Revolution." The market is undergoing rapid transformation from fixed-line to mobile communications, and from voice to data transmission, combined with a surge in demand for Internet communications. In addition, the introduction of Dialing Parity (Carrier Selection Service) and the emergence of new players in the Internet access market are also bringing much fiercer competition into regional communications markets. Under such circumstances, Nippon Telegraph and Telephone West Corporation （NTT West）is continuing to provide both stable and high-quality universal services. NTT West shall also pursue the following objectives: it shall promote the deployment of Optical Access Network in anticipation of greater demand for high-speed Internet services; it shall contribute to the advancement of telecommunications markets through fair competition; it shall strengthen and enhance its research and development capabilities in applied fields and it shall ensure that the telecommunications industry is open to the public and reliable. Moreover, NTT West is developing the field of information sharing by providing innovative new services for a wide range of corporate and individual activities using digital infrastructure, including services corresponding to the fast-expanding Internet, and by reducing charges for these services. Reflecting these fundamental principles, one of the primary objectives of NTT West during the fiscal year ending March 31, 2002 is to accurately and speedily grasp the views and needs of customers in order to make the necessary improvements in services. At the same time, given the severe business conditions which prevail today, NTT West shall make its best effort to further cut costs and to maintain profits in line with its medium-term business improvement plan. In particular, NTT West shall respond actively to the growing demand for Internet communications by providing Fiber-optic IP Connection Service, as well as other full-lineup access services in addition to its INS-Net and ADSL flat-rate services. In other areas, NTT West shall also implement measures for maintaining smooth interconnection and open networks. It shall seek to promote its research and development position in applied fields, improve disaster prevention measures, promote human resources development, and actively pursue new business opportunities. Through this line of action, NTT West shall endeavor to achieve a stable course of future development. NTT West stands ready to share the benefits of these programs with its customers, local communities and the shareholders in the holding company. The above outlines the basic strategies of NTT West for the fiscal year ending March 31, 2002. While special emphasis shall be assigned to the matters summarized below, NTT West shall respond with due flexibility to any changes in the business environment. Note: All financial information stated in this release was prepared on the basis of generally accepted accounting principles in Japan. 1. VOICE TRANSMISSION SERVICES (1) Subscriber Telephones: NTT West stands ready to respond speedily to all demand for subscriber telephones, including the relocation of existing lines. The total number of subscribers is projected to reach approximately 25.18 million by the end of the fiscal year ending March 31, 2002.
(2) Social-Welfare Telephones: The progress of social welfare has generated various demands for telecommunication services. To respond to welfare-related needs, NTT West shall promote the installation of its "Silver Phones series" (Anshin [Relief], Meiryo [Clearness], Hibiki[Sound], Fureai[Communication]) and other welfare-oriented products.
(3) Public Telephones: NTT West shall promote the installation of IC-card operated public telephones. It shall continue to promote the installation of social-welfare public telephones including those with voice adjustment function and public phone booths for wheel chair users to achieve improved services and welfare-oriented functions.
(4) INS-Net Digital Services: INS-Net Digital Services are now available in all areas with potential demand. The total number of INS-Net 64 subscriber lines and INS-Net 1500 subscriber lines are projected to reach approximately 5,638,000 circuits and approximately 74,000 circuits lines, respectively, by the end of the fiscal year ending March 31, 2002.
2. DATA TRANSMISSION SERVICES IP connection services are provided for connections to the Internet by INS-Net and ADSL flat-rate services. NTT West will also examine the possibility of providing a full scale of Fiber-optic IP Connection Service and making the speeds faster in order to respond to demand for faster Internet communications. 3. LEASED CIRCUIT SERVICES Facilities for leased circuit services are scheduled to be installed to actively respond to demands, including those for high-speed digital transmission services, and voice and image transmission services.
4. TELEGRAPH SERVICES NTT West shall promote such measures as the maintenance of telegraph operation systems to enhance services and raise efficiency. 5. IMPROVEMENTS AND ADVANCES IN TELECOMMUNICATIONS EQUIPMENT (1) Optical Access Network: NTT West shall actively promote the deployment of Optical Access Network in coordination with the state of demand for higher-speed Internet communications..
(2) Telecommunications Network: NTT West shall enhance network services as well as improve network economy and efficiency while meeting Internet communications demand. (3) Disaster-Prevention Measures: NTT West shall promote necessary disaster-prevention measures for telecommunications equipment. To this end it shall establish emergency communication and crisis management measures, as well as procedures for restoring systems and distributing vital information in the event of a large-scale disaster. (4) Installation of Underground Transmission Cables: NTT West shall install underground transmission cables to aid transmission stability, secure safe and comfortable passage spaces and improve the appearance of urban areas, in cooperation with the local and national governments or other companies. (5) Facility Maintenance: NTT West shall implement facility maintenance, including the replacement of cables, to maintain customer services, ensure safety and harmony with social environments and stabilize communications systems. NTT West shall pursue cost reduction by making exhaustive use of existing equipment and facilities in improving and upgrading communications facilities. 6. PROMOTION OF RESEARCH AND DEVELOPMENT ACTIVITIES To further stabilize and strengthen the foundations of the business operations, and to meet public demand for information and telecommunications, NTT West shall promote research and development in the spheres of network systems and access systems which create more sophisticated telecommunications networks. In addition, NTT West shall also promote research and development in such areas as information distribution applications and communications terminals of various types which expand the range of choices available to customers in their selection of reliable and convenient services through sophisticated telecommunications networks. The summary of the business plans for the above principal services and the plant and equipment investment plans are outlined in the attached tables. |
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