2008.5.29
Geeks on a Plane.
Overview of the Japanese
Mobile Market.
CiriusTechnologies, Inc
Founder&CEO
Gen Miyazawa

2008.5.29
About Cirius Technologies, Inc.
A mobile ad technology company.
Founded in 2004 in Tokyo.
Running several mobile advertisements
platforms including “AdLocal”.
Launched new U.S. subsidiary at Sunnyvale
“plug and play tech center” in Oct. 2008.
-2-

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Japanese Mobile Market Trends

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Japanese mobile market quick glance
85% of mobile phone subscribers use
online services.
96% on 3G & 35% on 3.5G.
50% of subscribes on flat-rate data
plans.
55% are GPS enabled phones.
Keitai Hakusho 2008

2008.5.29
Why did the market grow so rapidly?
Broad coverage of 3G network.
Flat-rate data plans.
Operators had more influence upon mobile
ecosystem than in GSM markets.
Many people commute by train and use
mobile in the train.

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Latest trends of operators
DoCoMo is going to be a recommendation
platform.
iPhone is putting up a good fight, but the
market size is still small in Japan.
Monthly subscription plan is important.
Mobile traffic is growing larger than PC
traffic.

2008.5.29
Latest trends : Mobage-town
• Mobile PV: 15B (per month) *1
• Over 13M members
•Acquire many users by offering many free
mini games
•Users need virtual money (moba-gold) to
play games
•High CTR
•Provide a site called “MobaMingle” in the
US
•Super Galapagos Strategy
*1 Mar 2009 data

2008.5.29
Latest trends of mobile site : mixi
• Mobile / PC PV: 10B / 4.2B (per month) *1
• Over 16.8M members
• Their advertisement revenues appeared to slow down
during the recession
• First major mobile SNS supporting OpenSocial
• They are going to open their advertisement platform and
payment platform to developers
*1 Feb 2009 data

2008.5.29
Latest trends of mobile site : GREE
• Mobile / PC PV: 10B / 0.1B (per month) *1
• Over 10M members
• virtual pets “Clinoppe(クリノッペ) “and
Fishing game “Tsurisuta(釣りスタ)” drive their traffic
• Charging users for digital content is working well.
*1 Feb 2009 data

2008.5.29
Mobile ad growth forecast in Japan
Mobile ad spending
1400
Unit:millions USD
Mobile Ad Spending
1200
1000 unit: millions USD
800
600
400 1108 1284
744 928
200 288 390 556
0
2005 2006
2007 2008 2009 2010 2011
Source: seed planning: Mar 2008

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Latest trends of mobile market: E-Books
• Mobile e-books market size:30M USD
(2.5 times as large as the last year's)
•Publishers started to provide
their content positively
•Distribution channel was well- Free content
Paid content 11632
regulated for the distribution e-
content. 3653
•Content lineup grown widely
Oct 2007 Oct 2007
Impress R&D：9 July 2009

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Latest trends of mobile market: E-Commerce
1,150
• Mobile EC market :1,150M USD
Billion yen
2008
Commerc Services Transactions
e
July 2008

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Latest trends of mobile market: E-Commerce
• Tokyo Girl’s Collection
• Young mobile users spread fashion trends
• The audience can buy the garments worn by
the models via mobile phones.

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Fast-food chains focus on Mobile
Reducing TV commercials and reallocating
budget to mobile ads.

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Thank you
contact: gen@cirius.co.jp
Facebook: Gen Miyazawa