Submitted by: SYNDICATE 5

Anuj Minocha Anupam Agrawal Anshuman Sen Anish Bhatt Pawan Talware Dipali lavangare Subhrajit Bhaumik

NTT DoCoMo, Inc. is the predominant mobile phone operator in Japan. NTT DOCOMO is premier provider of leading-edge mobile voice, data and multimedia services. With more than 57 million customers in Japan, the company is one of the world's largest mobile communications operators. DoCoMo provides phone, video phone (FOMA and Some PHS), i-mode (internet), and mail (i-mode mail, Short Mail, and SMS) services. The company has its headquarters in the Sanno Park Tower, Tokyo, Japan. DOCOMO also is an influential force in the continuing advancement of mobile technologies and standards. DOCOMO is expanding its global reach through offices and subsidiaries in Asia, Europe and North America, as well as strategic alliances with mobile and multimedia service providers in markets worldwide.

Quick Facts
Established: President and CEO: Headquarters: Capital: Employees: Customers: Market Share: Revenues: August 1991 Ryuji Yamada Nagata-cho, Chiyoda-ku, Tokyo, Japan 949.68 billion yen 23,409 (NTT DOCOMO Group) Over 57 million in Jan 2011 48.9% (FY2010 Q3) 4,284.4 B Yen (FY2010 Q3)

Organizational Structure
The depth and breadth of NTT DOCOMO is shown here. Each division and subsidiary plays an integral role in realizing our goals and strategies

Company History
The history of NTT DOCOMO is the history of mobile communications in Japan itself. From launching the mobile Internet service platform to our creation of a global standard for the next generation of mobile communications, the list record of technological and business achievements is remarkable. TimeLine July 1992 NTT Mobile Communications Network, Inc. takes over Nippon Telegraph and Telephone Corporation's mobile communications business March 1993 Launches 800MHz digital cellular phone service April 1994 Launches "CITYPHONE" 1.5GHz digital cellular phone service March 1997 Launches "DoPa" packet data communications service October 1998 Listed on the Tokyo Stock Exchange December 1998 Takes over Personal Handyphone System (PHS) business from NTT Personal Group February 1999 Launches "i-mode" service March 1999 Discontinues analog cellular phone service April 2000 Changes corporate name to NTT DoCoMo, Inc. May 2001 Launches "FOMA" service on introductory basis October 2001 Launches "FOMA" service on fully commercialized basis December 2005 Launches "iD" Credit Card Brand April 2006 Launches "DCMX" mobile credit-card service March 2007 Discontinues "QUICKCAST" paging service January 2008 Discontinues PHS service April 2008 Changes new corporate logo and new brand statement June 2008 Discontinues "CITYPHONE" service July 2008 Merges with eight regional subsidiaries


Customers: DOCOMO mobile phones are used by about 57 million customers with increasingly diverse needs. Customers include all age groups and people with disabilities. Sales Agents (DoCoMo Shops): DOCOMO provides its products and services at docomo Shops (2,363 throughout Japan as of March 31, 2009) and other sales agents. docomo Shops serve as places to meet people of the local community.

Shareholders/Investors: It is the policy of DoCoMo to continually provide a stable dividend as we recognize the importance of returning profits to shareholders. It has 320,511 shareholders as of March 31,2009. Business Partners: NTT DoCoMo do business with a wide range of business partners, including handset manufacturers, contents providers, and telecommunications equipment manufacturers. They work to build strong relationships based on trust and mutual understanding with business partners in order to develop and provide quality products and services. Employees: As of March 31, 2009, there were 21,831 DOCOMO employees. Our workforce has diversity of gender, nationality and age, and we work to create workplace environments that instill pride and motivation in all employees and that facilitate open, dynamic communication. Local Communities: In order to further expand the FOMA service area, DOCOMO is adding base stations around the country while obtaining the understanding and cooperation of local residents. As of March 31, 2009, there were 48,500 outdoor base stations and 19,900 indoor systems across the country. In addition, they hold Mobile Phone Safety Classes at elementary schools, middle schools, high schools and local community centers. Instructors sent from DOCOMO raise awareness of mobile phone etiquette and means of avoiding problems. Government/Public Institutions: DOCOMO participates in roundtable discussions, research seminars and other events put on by the government in connection with telecommunications. They also actively engage in initiatives with a strong public component. For example, they have concluded an agreement with the Ground Self-Defense Forces on providing cooperation during disasters.

SWOT Analysis:

Financials of NTT DOCOMO:
Subscriber market share: 48.90 % Churn Rate : 0.46 % DOCOMO had net income of JPY 494.8billion (USD 5,318 million) on operating revenue of JPY 4,284.4 billion (USD 46,049 million) in fiscal 2009 (ended March 2010). (JPY93.04 = USD1.00; Mar. 31, ‘10 ) 57 millions customers in January 2011 55 million customers are subscribe to FOMA™, the 3G mobile service

Source: Telecommunications Carriers Association (TCA)

Aggregate ARPU= (VOICE ARPU + PACKET ARPU) = 5350 Yen (in 2009)

Number of handsets sold: 18.04 Millions

Merger and Acquisition:
DOCOMO and PacketVideo Form Strategic Alliance to Accelerate Innovation and Growth in Mobile Multimedia Software and Services NTT DOCOMO and San Diego, California-based PacketVideo Corporation, a subsidiary of NextWave Wireless , a pioneer in wireless and digital home multimedia software and service applications, forms strategic alliance . DOCOMO has acquired a 35 % stake in PacketVideo for $45.5 million. NTT DOCOMO to Sell Stake in U Mobile September 15, 2009 --- NTT DOCOMO sell its shareholding in U Mobile (a Malaysian 3G mobile operator) for USD 100 million - the same amount DOCOMO originally invested for the shares. Under this agreement with major stakeholders, DOCOMO will sell its entire stake - amounting to 16.5% of U Mobile's outstanding shares - to the majority shareholder, U Television Sdn. Bhd. (UTV). NTT DOCOMO and Tata Agree on Strategic Alliance in India November 12, 2008 --- NTT DOCOMO, Tata Teleservices Limited (TTSL) and Tata Sons Limited, the prime promoter for Tata companies including TTSL, form agreement on a strategic alliance in India, under which DOCOMO will acquire 26 percent of TTSL's common shares for approximately 130.7 billion Indian rupees (US$2.7 billion). In addition, DOCOMO, in accordance with regulations of the Securities and Exchange Board of India*, expects to make an open offer to acquire up to 20 percent of the outstanding common shares of Tata Teleservices (Maharashtra) Limited (TTML), a Tata telecommunications company, through a joint tender offer with Tata Sons NTT DOCOMO Buys Stake in Bangladeshi Mobile Operator June 16, 2008 --- NTT DOCOMO, announced today that it will acquire a 30 percent stake in TM International (Bangladesh) Limited (TMIB), a mobile phone operator based in Dhaka, Bangladesh, by directly acquiring all stock in TMIB held by A.K. Khan Co. Ltd. and its four group companies. The deal, worth US$350 million, is expected to be completed by the end of 2008. DOCOMO will participate in TMIB's management and actively draw on its expertise to enhance the company's business in the fast-growing Bangladeshi mobile telecommunications market.

DOCOMO Agrees with KT Corp. to Share Exchange and Exchangeable Bonds Acquisition January , 2009 --- NTT DOCOMO agreed with KT Corporation (KT) that DOCOMO will exchange its 10.72% stake in KT Freetel Co., Ltd. (KTF) for KT securities in relation to the merger between KT and KTF. DOCOMO will exchange 40% of its KTF shareholding for KT common stock and the remaining 60% for KT exchangeable bonds. NTT DoCoMo Sells Stake in Telargo February , 2008 --- NTT DoCoMo, announced that it has agreed to sell its entire interest in Telargo (a U.S.-based provider of location services) to ULTRA .Under this agreement, ULTRA will purchase DoCoMo's 49% share of Telargo's outstanding stock. Telargo will then become a wholly owned subsidiary of ULTRA.

Strategic Overview (Resources)
Core Competencies • • • • • Strong management team Marketing skills Investments in R&D and Technology Relationships with manufacturers Relationships with content and service providers

Resources • • • Economies of scale Financial resources Brand recognition

Strategic Overview (Execution)
Internationalization • • "Friendly" alliances to enter new markets Partnerships & Joint Ventures

Global Strategy • • Expansion of technology (set W-CDMA technology standard) "Friendly" alliances and acquisitions 42.3% AOL Japan (40.3% owned by AOL) 20% KG Telecom (Taiwan) 20% Hutchinson 3G (U.K.) 19% Hutchinson Telecom (Hong Kong) 26% in Tata Teleservices (India)

Current Strategies of NTT DOCOMO

Super 3G plays a strategic role for DoCoMo: Its current strategy is to upgrade HSDPA data rates to a maximum 14Mbps and proceed with development of Super 3G, paving the way for a smooth introduction of 4G. Investment in mobile operator overseas – DOCOMO has been expanding its influence in Asia Pacific by establishing equity positions in companies that operate in important market within region. These investments enable DOCOMO to use its technical expertise and business know- how to help partners increase their corporate value. Reduce cost and expense to solidify the company’s financial standing for sustained growth by nationwide optimization of operations and reduction of cost related to network & sales. Change & challenge through latest technologies & meet precise customer needs in terms of design, network quality, rates & customer service Emphasize & Strengthen core business of Voice Communications Promote Mobile Multimedia Services

Value Chain

Business Model of NTT DOCOMO
NTT DoCoMo's i-mode is a mobile internet (as opposed to wireless internet) service popular in Japan. Unlike Wireless Application Protocol or WAP, i-mode encompasses a wider variety of internet standards, including web access, e-mail and the packetswitched network that delivers the data. I-mode users have access to various services such as e-mail, sports results, weather forecast, games, financial services and ticket booking. Content is provided by specialized services, typically from the mobile carrier, which allows them to have tighter control over billing. Like WAP, i-mode delivers only those services that are specifically converted for the service, or are converted through gateways. This has placed both systems at a disadvantage against handsets that use "real" browser software, and generally use a flat pricing structure for data. i-mode has grown into one of the world's fastest mobile Internet services. DOCOMO is currently implementing a number of measures to ensure operational stability at i-mode Center, the heart of i-mode. In the area of system operations, we are introducing technologies for self-monitoring communications, dispersing system processes to multiple devices and switching to backup devices when problems occur. A manned operations center also monitors i-mode Center 24 hours a day, 365 days a year. Resident maintenance staff are on hand to quickly respond when abnormalities arise. In the area of facilities operations, we are taking steps to improve the seismic performance of i-mode Center facilities and decentralize the device layout. i-mode traffic is only expected to increase going forward, so we plan to continue in these efforts to update systems, strengthen facilities and augment devices. Ingenuity is exemplified in the i-mode business model with an outstanding example of the NTT DOCOMO platform. It synchronizes all value chain aspects, ensuring that, content, quality, wireless technologies and user experience all evolve at an optimal pace. The billing system is streamlined by bill consolidation, with DOCOMO now collecting information access fees on behalf of i-Menu-listed content providers. Business Strategy I-mode has been extraordinarily successful in Japan. This is because of its outstanding convenience and it's unique business model. Its reliance on this system offers an innovative approach to the mobile service value chain and to wireless service / Internet relationships. We collaborate closely with equipment manufacturers, content providers, and other platforms to ensure that wireless technology, content quality, and user experience

evolve jointly. This synchronization guarantees that customers, partners and shareholders share interests with end-user's, thus enabling all parties to maximize value and to continue to improve the quality of products and services connected with i-mode. Moreover, it has been our mission to make i-mode operationally as simple as possible. By adopting an HTML subset we have made the creation of sites exceptionally simple. We have also enabled the compatibility of many other standards including: GIF, Java, MIDI, Macromedia Flash, and HTTP. We have also been promoting beneficial alliances with a variety of international partners, including content providers, overseas operators, ISPs, software developers and manufacturers. These alliances endorse our international coverage; encourage the development of new collaborative products, and offer i-mode users the most costeffective, high-quality products and services available globally. As mobile services evolve and data traffic increases, our unique joint business approach enables major competitive advantages in the global communications markets. Our success stems from our ability to create "win-win" situations for all of our partners and shareholders.

Simple Pricing System We collect monthly information charges for the i-Menu listed content providers via a consolidated bill for all mobile phone activities, thus eliminating the need for provider billing. This arrangement reduces expenses for the content partners and encourages them to generate high-quality offerings to attract new subscribers, thereby boosting their profits. Additionally, we are able to generate incremental revenue by charging a small commission for the clearinghouse billing system service.

Win-Win Collaboration NTT DoCoMo based their development efforts on a unified vision of mobile and Internet technology. In particular, NTT DoCoMo has adopted a mobile communications model utilizing variations of de facto Internet standards such as HTML. By basing their content on iHTML, a subset of HTML, they are able to give their customers mobile access to the existing network of conventional Web servers, and therefore, provide them with seamless Web service. At the same time, their use of iHTML has greatly simplified the creation of i-mode sites for their content providers. Other key standards they have adopted include GIF, Java, MIDI, and HTTP, to name a few.NTT DoCoMo synchronizes the entire i-mode value chain, in order to develop a complete mobile service for their subscribers. Their close business collaboration with mobile manufacturers, content providers, and other service platforms ensures that mobile technology, content quality, and mobile users' experience evolve at the same optimal pace.

Spheres of influence

Service/Products Osaifu-Keitai Raku – Raku Phones i-mode 4G m-commerce Voice , Text Innovative Technology Explanation

sphere of influence Vital Interest Buffer Zone Core Pivotal Zone Buffer Zone Core Forward position

Osaifu-Keitai are mobile phones with wallet functions. A mobile phone may now offer more functions than just a phone. It can be your wallet, credit card, ID card or a key to your home. Evolving from the convergence of i mode technology and contactless IC i-mode card technology, the "Osaifu-Keitai" service enables the integration of such services in Keitai" your mobile phone. The i-mode capability is thus rapidly expanding from the -mode communications field to now provide significant life style enhancements.

The Raku-Raku PHONE is designed to be incredibly easy to use. The series was first launched in 1999 and quickly became a hit with customers. We have gone on to put out 14 different models that have sold a total of 15 million units. Raku-Raku PHONE V, launched in August 2008, features voice-to-text conversion , which allows you to compose text mail by just speaking into the phone, and Super HAKKIRI VOICE (Extraclear voice) 2, which makes the caller's voice easier to hear and understand even when you are in a noisy location. It also has a large 2.8-inch screen and a number of other features developed to improve usability that were originally inspired by customer feedback. i-mode is a mobile internet (as opposed to wireless internet) service popular in Japan. Unlike Wireless Application Protocol or WAP, i-mode encompasses a wider variety of internet standards, including web access, e-mail and the packet-switched network that delivers the data. IPhone and NTT DOCOMO NTT DoCoMo has been mostly frustrated in the past two years by the iPhone's success. Although it remains the largest carrier in Japan, helped by a country that often leans to non-smartphones with many heavily localized features, it has lost influence compared to SoftBank, whose iPhone exclusive has helped it grow. DoCoMo has turned to Darth Vader-themed ads and a rare reliance on foreign companies to try and lure customers over in the absence of its own iPhone deal. Apple may just see a considerable hike in sales of the iPhone 4 in Japan as up until now the iconic iPhone and iPad which were only supplied by Japan’s much smaller wireless provider Softbank, but that is soon to change. Japan’s NTT DoCoMo, plans to launch a service whereby iPhone 4 users will be able to use their iPhone 4 on NTT DoCoMo’s wireless network. The DoCoMo network is believed to be stronger than that of Softbank and Japan Communications move to offer SIM cards which have DoCoMo network info can be used in unlocked iPhone 4 units from abroad or sold online and could attract people who would rather be with NTT DoCoMo.

Mind Map

Customer Sales Agents Investors Employee Stakeholder Services

I-Mode Osaifu-Keitai Raku-Raku Phone m-commerce

M&A Strategic Overview KT Corporation Telargo U Mobile TTSL

Economies of scale Marketing skills Internationalization R&D

Conclusion & Recommendations

Revamping of brands Innovation and explore new Markets Meet & Exceed expectations Consistently earning trust & loyalty of customers


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