The Rise of Mobile Virtual Network Operators in Japan: Growth of 14.8%

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The Rise of Mobile Virtual Network Operators in Japan: Growth of 14.8%

Japan, known for its innovation and cutting-edge technology, is no slouch when it comes to telecommunications.

The latest quarterly data released by Japan’s Ministry of Internal Affairs and Communications sheds light on the continued growth of Mobile Virtual Network Operators (MVNOs) in the country.

In this Guinea Mobile article, we will take a closer look at this exciting data and what it means for the telecom market in Japan.

You may be interested in: The success of MVNOs in the 5G era.

Sustained growth

The first quarter of fiscal 2021 in Japan, which concluded at the end of June, revealed impressive data in the telecommunications market.

The total number of cell phone subscriptions in Japan reached 212.68 million. Of this impressive total 74.76 million subscriptions were for 5G services, highlighting the rapid adoption of this next-generation technology.

However, the crown jewel in this report is the increase in the number of MVNO subscriptions, which translates into a 14.8% increase compared to the same period last year.

The number of MVNO subscriptions stood at 30.91 million, highlighting the growing popularity of MVNOs in the Japanese market.

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Leading players

Among MVNOs in Japan, one of the main players is IIJmio, operated by Internet Initiative Japan (IIJ). In this quarter, IIJmio achieved a 20.0% share, which represents an increase of 0.2 points compared to the previous quarter.

This highlights its solid presence and its ability to attract subscribers in a highly competitive market.

Another significant player is “OCN Mobile ONE”, operated by NTT, with a 12.2% share.

Despite being a lower percentage compared to IIJmio, the 0.3 point increase over the previous quarter underlines its continued growth and relevance in the market.

Other mobile virtual network operators, such as Optage (known as Mineo), Fujitsu and Aeon Mobile, also have their presence in the market with market shares of 9.0%, 5.6% and 4.7%, respectively.

Although their changes in share vary, it is clear that they all contribute to the diversified MVNO landscape in Japan.

The abundance of mobile virtual network operators

It is important to note that there are a total of 1,816 mobile virtual network operators in Japan, which includes what in other markets would be considered SIM card resellers.

This wealth of MVNOs is classified into four tiers in Japan, differentiated by size and scope. This gives consumers a wide range of choice in the MVNO market.

MVNO service contracts

In the first quarter of FY2021, MVNO service contracts with 30,000 or more contracts stood at 15.71 million for SIM cards and 10.91 million for communication modules.

This represents a significant increase of 5.0% and 17.6% respectively compared to the same period last year.

These numbers underscore the growing demand for MVNO services and suggest that consumers in Japan are increasingly relying on these alternatives to traditional operators.

The impressive 14.8% increase in the number of MVNO subscriptions in Japan is a clear testament to the appeal of these service offerings.

Japanese consumers are opting for MVNOs because of their flexibility, competitive pricing options and, in many cases, an enhanced user experience.

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As 5G technology becomes the norm and the diversity of mobile virtual network operators continues to grow, Japan’s telecommunications sector is transforming.

With a vibrant and constantly evolving market, MVNOs have a promising future in the Land of the Rising Sun.

Competition in Japan’s telecommunications market benefits customers, who can choose from a wide range of options to suit their needs and budgets.

Be part of this great change that is revolutionizing telecommunications worldwide with Guinea Mobile. Contact us for personalized advice.

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