May 30, 2005
Japan mobile makers face challenges at home, abroad
Not only have Japanese mobile phone makers' global ambitions been dashed, but they may soon face challenges at home as foreign firms compete with cutting-edge camera phones, mobile Web access and 3G handsets, reports Reuters.
"So far, mobile phone makers in Japan have been able to keep the domestic market, which accounts for about 7 percent of global demand, virtually to themselves. That's mainly because Japanese second-generation mobile phone networks were based on a unique, home-grown technology.
But users are gradually shifting to a global W-CDMA standard for high-speed third-generation (3G) services, helping to crack open the market for overseas makers.
[...] With their cost competitiveness falling far behind global giants and reputation as technological leader eroding, growth prospects for Japanese mobile phone makers look dim, raising expectations for an industry shakeout.
With their cost competitiveness falling far behind global giants and reputation as technological leader eroding, growth prospects for Japanese mobile phone makers look dim, raising expectations for an industry shakeout."
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