Creation and Expansion of the MVNO Market

「日本通信SIM has maintained steady growth in both subscription lines and revenue, supported by strong customer evaluations of its communications quality and reasonable pricing. As of the end of March 2026, the number of subscription lines was 947,000.」

「During the current interim consolidated accounting period, we aired our first television commercial for 日本通信SIM, titled "Can't Cut It Any Further: ¥290," in the Kanto region and Shizuoka Prefecture to raise awareness of the service, and ran similar advertising online.」

「This was attributable to growth in unlimited and semi-unlimited voice services, centered on 日本通信SIM, in the mobile communications MVNO business, up 23.9% year on year, and growth in partner-brand voice services in the MVNE business for the same service, up 19.7%.」

「In November 2023, we upgraded 日本通信SIM's 20GB plan to a 30GB plan without changing the monthly base fee. The upgraded plan continues to include 70 minutes of free voice calls and allows customers to select a 5-minute unlimited-calling option.」

「Customers have responded positively to these product features, and the number of individual and corporate subscription lines for 日本通信SIM continues to grow steadily. Subscription lines for partner-brand voice communications services have also continued to grow steadily. As a result, both the MVNO and enabler businesses of the SIM business continue to expand.」

「In May 2023, we also began supporting the MNP one-stop service. When changing mobile network operators without changing a mobile phone number, this service allows customers to initiate the MNP procedure with the new operator.」

「Revenue from 日本通信SIM has grown steadily in terms of both individual and corporate subscription lines, and the number of customers porting in from major mobile network operators and major MVNOs has also increased. The number of subscription lines for partner-brand voice communications services has likewise grown steadily. As a result, both the MVNO and enabler businesses of the SIM business achieved growth.」

「As a result, the group's revenue for the first 3 quarters of the current fiscal year, on a cumulative consolidated basis, was ¥4,321 million, an increase of ¥935 million, or 27.6%, from the first 3 quarters of the previous fiscal year. This was attributable to growth in 日本通信SIM's unlimited and semi-unlimited voice services in the MVNO business, up 22.6% year on year, and growth in partner-brand voice services in the enabler business, up 33.6%.」

「In April 2022, 日本通信SIM began allowing customers to choose an eSIM embedded in smartphones and other devices in addition to a conventional SIM card.」

「In June 2021, we introduced the Rational Everyone Plan, comprising 6GB of data, 70 minutes of voice calls and a monthly base fee of ¥1,390 including tax, for average users, who are said to account for 60% of the market. We continue to work to secure competitiveness by strengthening the brand.」

「The group's revenue for the first quarter of the current fiscal year, on a cumulative consolidated basis, was ¥1,056 million, an increase of ¥300 million, or 39.8%, from the first quarter of the previous fiscal year. This was mainly attributable to higher revenue from 日本通信SIM.」

「The day after NTT DOCOMO announced a new ¥2,980 tariff, we announced that we would offer a similar plan for ¥1,980 and began offering it on 10 December 2020. We have received more applications than anticipated.」

「In October of the same year, we also launched the W Smart Plan, an integrated service with FiNC, a provider of health app services. The service costs ¥1,580 per month, including FiNC Plus, a health app service priced at ¥480 per month, 3GB of data and 70 minutes of voice calls. It is a product developed through collaboration between pioneering companies in the two fields, amid growing interest in health due to the COVID-19 pandemic.」

「As a new communications service leveraging the Minister's ruling, we have been selling on our website since 15 July 2020 a plan combining 3GB of data and unlimited voice calls for a monthly fee of ¥2,480, excluding tax, less than half the price charged by major mobile network operators.」

「Based on the patented technologies and track record in secure communications that we have developed, we began providing communications services for teleworking and home-based learning to government agencies, local governments, universities and private-sector companies in March 2020.」

「Although our SIM business operates in a fiercely competitive market crowded by major mobile operators and more than 1,000 MVNO operators, our partner strategy has been successful and our customers support our product plans as economical offerings. As a result, quarterly revenue has continued to grow for more than 2 years. Accordingly, first-quarter sales grew 11.7% year on year.」

「The first commercial service using this proprietary SIM was “Henn-na SIM,” launched on 1 July 2018 by H.I.S.Mobile Co., Ltd., a joint venture between the Company and H.I.S.Co.,Ltd. Customers can use international roaming at the low price of ¥500 per day by leaving their SIM issued by their mobile carrier (the primary SIM) in place and using “Henn-na SIM” as a secondary SIM.」

「By strengthening partnerships with partner companies, we were able to reverse the low-cost SIM business from a declining-revenue trend to a growing-revenue trend.」

「For SoftBank users of iPhones and iPads, we launched a data-only product in March 2017, followed by products with voice calling in August and November of the same year. In December of that year, we also launched a data-only product for iPads available from ¥190 per month.」

「In August this year, we entered into a wholesale agreement with SoftBank for voice services and, on 16 August, launched a low-cost SIM combining data communications and voice calling services over the SoftBank network.」

「As a result, we reached the point where we could launch a low-cost SIM with voice service for SoftBank iPhone users on 16 August this year.」

「In response, we entered into an interconnection agreement with SoftBank on 31 January 2017 and were able to launch MVNO services over the SoftBank network on 22 March of the same year.」

「An interconnection agreement with SoftBank has been reached and the service launch on 22 March has been confirmed, putting in place the conditions to offer our SIM services, from the start of the fiscal year ending March 2018, to users of SoftBank SIM-locked iPhones, iPads and other devices.」

「We are strengthening partnerships with companies that have sales capabilities and preparing to pursue an aggressive market rollout concurrent with the launch of the SoftBank version of our low-cost SIM. For Docomo’s low-cost SIM, we focused on creating the market and supporting the growth of the industry, whereas for SoftBank’s low-cost SIM, we aim to achieve the largest market share as soon as the service becomes available.」

「One of the missions of our Japan business is to create and expand the MVNO market.」