IP: Here's a forward looking Nation: Ministry To Propose Flat Phone Fees For Net Access

[Dave Farber <farber () cis upenn edu>]

> From: "the terminal of Geoff Goodfellow" <geoff () iconia com>
> To: "Dave e-mail pamphleteer Farber" <farber () cis upenn edu>
> Subject: Here's a forward looking Nation: Ministry To Propose Flat Phone Fees For Net Access
> Date: Wed, 16 Jun 1999 03:00:31 -0700
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>
> Ministry To Propose Flat Phone Fees For Net Access
>
> June 16, 1999
>
> Nikkei English News via NewsEdge Corporation : TOKYO (Nikkei)--The Ministry of
> Posts and Telecommunications is aiming to introduce flat monthly local phone
> charges for Internet access by 2001 to increase household usage to U.S. levels,
> ministry sources said Tuesday. The proposal will be unveiled in a ministry
> panel report due out next week.
>
> The ministry wants to set a monthly charge of about 5,000 yen for unlimited,
> continuous use of telephone lines for Internet connections in homes -- a
> service similar to dedicated lines -- and will urge Nippon Telegraph and
> Telephone Corp. (9432) to launch the service nationwide.
>
> In Japan, local telephone charges are relatively high and are believed to
> hinder the proliferation of Internet use.
>
> To help NTT develop the necessary infrastructure to provide the service, the
> ministry plans to discuss incentives with the Ministry of Finance including
> interest-free loans and special depreciation measures that can be applied to
> investment in new technologies such as Internet and high-speed wireless
> telecommunications equipment.
>
> Under the ministry's plan, users would have NTT install a line devoted to
> Internet connections. Should the charge be fixed at 5,000 yen as proposed by
> the ministry, the total monthly cost of connecting to the Internet would not
> exceed 8,000 yen, including the 2,000 yen to 3,000 yen paid to Internet service
> providers.
>
> The flat charge will enable users to enjoy bandwidth-intensive services such as
> images, music and games without concern of big telephone bills. The ministry is
> seeking to promote the growth of new industries such as online shopping and
> image and news transmission over the Internet.
>
> (The Nihon Keizai Shimbun Wednesday morning edition)
>
> <<Nihon Keizai Shimbun, Inc. -- 06-16-99>>
>
> [Copyright 1999, Nikkei America]
>
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