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SOFTBANK CORP.

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Broadband Infrastructure Segment

Overall Results

Net sales totaled 235,199 million yen, which was down 22,870 million yen (8.9%) year-on-year. Operating income rose 7,553 million yen year-on-year (19.0%) to 47,253 million yen. Revenue from the ADSL business of core company SOFTBANK BB is trending lower on a decline in aggregate lines installed, but the trend of profit growth continues because of a decrease in sales related expenses like acquisition incentives and lower depreciation for telecommunications equipment, leasing expenses, etc.

Overview of Operations

The number of installed lines for Yahoo! BB ADSL, the comprehensive broadband service provided by SOFTBANK BB, totaled 4,299,000 lines at the end of fiscal 2009, and ARPU on a customer payment basis was 4,283 yen in the first quarter, 4,279 yen in the second quarter, 4,278 yen in the third quarter, and 4,262 yen in the fourth quarter. SOFTBANK BB launched the Yahoo! BB White Plan two-tiered flat-rate ADSL service, with a basic rate of as low as 490 yen (including tax)*1, in December 2008. The SoftBank Keitai Set Discount, a bundled service for users of both the Yahoo! BB White Plan and SOFTBANK MOBILE 3G phones, was also launched at the same time. By cross-selling with SOFTBANK MOBILE, SOFTBANK BB is creating synergies across Group companies, leading to enhanced competitiveness.

SOFTBANK BB launched the Yahoo! BB hikari with FLET’S service in February 2009 to address customer demand for a diverse range of broadband services. In connection with this launch, a 28,999 million yen impairment loss was recorded, representing the entire book value and removal costs for assets related to the previous Yahoo! BB hikari.

[Notes]
  • *1 Use of the Yahoo! BB White Plan requires a basic monthly charge (490 yen – 1,990 yen), as well as a provider fee (490 yen – 1,990 yen), modem rental, and line usage fees, etc.
  • * The content of this page is based on information included in the “Annual Report 2009”.