Japan Internet users up 74 percent

Japanese Internet penetration has hit 37.1 percent, according to a new government survey

In this story: More Net access through mobiles Government to lower rates, increase access RELATED STORIES, SITES

By CNN's Kristie Lu Stout

TOKYO, Japan (CNN) -- The number of Internet users in Japan grew 74 percent to 47.08 million in 2000, according to a recent government survey.

A report released by Japan's Ministry of Public Management, Home Affairs, Posts and Telecommunications shows the ratio of Japanese Internet surfers to the total population has hit 37.1 percent.

The study attributes the growth to a surge in mobile Net subscribers, largely facilitated by the popularity of services like NTT DoCoMo's I-mode as well as government efforts to lower mobile data rates.

More Net access through mobiles

Last year, about 37.23 million users accessed the Internet from their personal computers. Mobile Internet access increased 310 percent with 23.64 million Japanese logging onto the Net from their mobile phones.

Ministry officials said that increasingly, more people are accessing the Net from only their mobile phones. As of the end of 2000, around 26.7 percent of all Japanese households own Net-compatible mobile phones, up from 8.9 percent the previous year.

Japan's dominant mobile Internet services provider, NTT DoCoMo, has more than 20 million I-mode users, boasting a significantly high penetration of over 50 percent of the mobile user base.

Outside Japan, only one to two percent of the subscriber base uses mobile data services.

Government to lower rates, increase access

The Japanese government has been widening efforts to lower rates and increase consumer access to mobile services with plans to develop a new generation of low-cost Internet cellular phones.

The new phones will support high-quality video and bring overseas cell phone rates down to local call rates via Internet protocol (IP) technology.

The Ministry of Public Management, Home Affairs, Posts and Telecommunications will draw up specifications for the new phones as early as 2006 and plans to launch the phones in 2010.

Japan's telecom ministry has also urged mobile giant NTT DoCoMo to lower its interconnection fees.

The move is part of a developing government trend to curtail potential market abuse from the nation's largest phone services provider and effectively lower mobile usage rates.

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