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SOFTBANK's mobile communications segment is operated with SOFTBANK MOBILE Corp. as its core operator. Following the acquisition of Vodafone K.K., SOFTBANK MOBILE made four commitments—(1) Network Enhancement; (2) Handset Enhancement; (3) Mobile Content Enhancement; and (4) Sales Structure and Branding Enhancement—and worked swiftly to raise its competitiveness.
SOFTBANK MOBILE's White Plan, which was introduced in January 2007 and continues to be a highly competitive option, has become a revolutionary price plan enabling users to make domestic calls to other SOFTBANK users free of charge between the hours of 1am and 9pm. The iPhone, which was released in July 2008, revolutionized the entire mobile device market, and triggered growth in the smartphone market. It also became a significant driver of growth in SOFTBANK MOBILE's user base and data ARPU*1.
SOFTBANK MOBILE's unique TV commercials such as the White Family series have become highly popular among consumers, helping to strengthen the company's brand and increase subscriber numbers.
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SOFTBANK MOBILE is making steady progress with the implementation of the SoftBank Network Enhancement Initiative announced in March 2010. SOFTBANK MOBILE achieved its initial goal of doubling the number of base stations, going from approximately 60,000 at the end of March 2010, to more than 122,000 by the end of March 2011. SOFTBANK MOBILE is continuing to increase its base station numbers as part of a continued effort to improve its service quality. It also began providing small base stations (femtocell) free of charge, and is working to increase the number of access points to its SOFTBANK Wi-Fi Spot wireless LAN service.
A core strategy for SOFTBANK MOBILE at present is to enhance its lineup of handsets tailored for mobile Internet. From 2010, the smartphone market created by the iPhone continued to expand as competitors actively launched new devices. With market growth expected to accelerate further from fiscal 2012, SOFTBANK MOBILE plans to leverage the brand power of the iPhone, using its strengths as the pioneer of Japan's smartphone market to maintain and improve its competitive advantage. SOFTBANK MOBILE is striving to meet the needs of a wide range of customers, through initiatives such as enhancing its lineup of Android™ smartphones and launching the Mimamori Phone an easy-to-use handset suitable for young children through to senior citizens that features a security buzzer.
SOFTBANK MOBILE is constantly working to enhance its content and services for mobile phones. In an effort to improve the user-experience of SoftBank smartphone users, in June 2011 SOFTBANK MOBILE launched Smasele, which provides carefully selected applications and screens packaged together in different themes, allowing users to easily customize their smartphone to their liking. SOFTBANK MOBILE will gradually expand its variety-rich content selection to meet a wider range of customer needs.
In August 2011, SOFTBANK MOBILE launched Owarai LIFE, a new comedy entertainment service developed for the smartphone age. With a rich variety of content by comedians from app projects to short movies, the service delivers an exciting new form of comedy, one more convenient and more closely integrated with the everyday lives of its audience than ever. SOFTBANK MOBILE also offers its subscribers a range of Internet security services for smartphones, including Web Use Restrictions service and spam filters, to ensure that their mobile phone experience is both secure and enjoyable.
SOFTBANK MOBILE is actively creating new markets by tapping “second device” demand through sales of devices that do not directly compete with the existing mobile phone market, such as tablets and digital photo frames.
Since the release of the iPad in May 2010, we have strived to expand sales of the product throughout the SOFTBANK Group, and by the end of March 2011 the number of stores selling iPads had grown to more than 2,800. In addition to pursuing sales to individual users, we also proposed various iPad-based solutions to a wide range of organizations, including medical and financial institutions.
The PhotoVision digital photo frame with telecommunications functionality, launched in June 2009, is also recording strong sales. Its popularity stems from its ease of use—photos sent by email are automatically displayed—and exclusive price plan in which the user does not need to worry about telecommunication charges.
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