Mobile FeliCa Trial Launch: Video Report
Wireless Watch Japan attended NTT DoCoMo’s December 15 press conference demonstrating the first phones to feature the Sony developed “Felica” peer-to-peer payment system. To debit the cash stored on the phone’s IC chip, all you do is swipe the handset in front of a reader; more cash can be downloaded via the i-mode network. The trial, using 2,500 each of the N504iC and SO504iC handsets (engineered by NEC and Sony) will run from today and until mid-2004, when full commercial service is expected to start. DoCoMo have lined up 27 e-payment service providers, including banks, convenience stores, TV broadcasters, game software publishers, and a retail ticketing outlet. There are already 17 million Japanese happily using Felica-based IC cards for train tickets and convenience store payments, many of whom have – surprise! – cell phones. We think the synergy and revenue potential of the two technologies is obvious – and so do DoCoMo’s accountants. Watch our first-on-the Web video report from Monday’s press event – and rethink your i-mode forecasts. Full Program Run-time 3:00

DoCoMo Chieftain Tachikawa gave his final press conference of the year and looked happier and more relaxed than we’ve seen him for some time. And he should. After good first half financials and FOMA finally taking off, he was able to give a good spin on DoCoMo’s performance and managed to sling an arrow at Microsoft, as only a spin-off from a monopoly can! Japan’s phone market unexpectedly achieved solid 1H growth; net additions were almost the same 1H 03. 2H was down, but overall growth for DoCoMo will be 80 percent of 02. Japan’s phone market is NOT saturated. DoCoMo still thinks it will achieve 8 percent growth. Non-voice is growing, as well as voice. Japan’s penetration rate still lower than Europe. DoCoMo still sees growth opportunities. Full Program Run-time 20:24