Introduction of NTT Communications, Corp.

1. Introduction of
NTT Communications
NTT Communications, Corp.
Innovative IP Architecture Center
January 2013

2. The Chart of our group
Fixed regional Fixed regional International/ System Mobile
(100%)
(100%)
Long distance/ Integration
(66.4%)
ICT solutions (100%)
(54.2%)
NTT America, NTT Europe
Other overseas subsidiaries
Single
brand
Potal and
Search
IT Infrastructure
and Services
SaaS
Provider
As of April 2012
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3. NTT Com Financial Highlights
(Billion of Yen)
Amount
% Change
FYI2010
FY2011
Change
(FY11/10)
(FY11/10)
1,254.2 1,213.2 -41.0 -3.3
Operating Revenue
[1,033.4]
[981.0]
[-52.3]
[-5.1]
1,156.3 1,102.5 -53.8 -4.7
Operating Expenses
[940.1]
[875.2]
[-64.8]
[-6.9]
97.9 110.6 12.7 13.0
Operating Income
[93.2] [105.7]
[12.4]
[13.3]
- - - -
Recurring Profits
[103.6]
[118.9]
[15.3]
[14.8]
- - - -
Net Income
[68.9]
[58.3]
[-10.6]
[-15.4]
134.0 140.8 6.7 5.0
Capital Investment
[115.3]
[116.1]
[0.8]
[0.1]
Note: The figures in the table above represent figures for NTT Communications
Group (NTT Communications and its subsidiaries) after adjustments and
eliminations of intra-group transactions. Figures in brackets show NTT
Communications only.
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4. (Ref.) Revenues by Business Line
(Billion of Yen)
Amount
% Change
FYI2010
FY2011
Change
(FY11/10)
(FY11/10)
1,254.2 1,213.2 -41.0 -3.3
Operating Revenue
[1,033.4]
[981.0]
[-52.3]
[-5.1]
223.0 223.0 0 0.0
System Integration
[167.0]
[157.0]
[-10.0]
[-6.0]
Cloud Computing 82.0
84.0
2.0
2.4
Platforms [33.0]
[38.0]
[5.0]
[15.2]
Applications & 101.0
108.0
7.0
6.9
Content
[31.0]
[32.0]
[1.0]
[3.2]
448.0
430.0
-­‐18.0
-­‐4.0
Data Networks
[405.0]
[390.0]
[-­‐16.0]
[-­‐4.0]
Voice 383.0
352.0
-­‐31.0
-­‐8.1
Communications
[379.0]
[349.0]
[-­‐30.0]
[-­‐7.9]
Global businesses
139.0 143.0
4.0
-2.9
Notes: 1. The upper figures are for the NTT Communications Group (NTT Communications and its subsidiaries)
after adjustments and eliminations of intra-group transactions. Figures in brackets show NTT Communications
only.
2. The upper figures, which are prepared for internal purposes only, consist of NTT Communications Group’s
financial results after adjustments and eliminations of intra-group transactions. Details of operating revenues are
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listed partially.

5. NTT Group’s Financial Stability
• World’s top telecom companies by credit rating and
revenue
Sources:
Credit rating – Standard & Poor’s long-term credit rating as of April 2011
Revenue – U.S. Securities
2& Exchange Commissionights
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as of May 2011
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(Edgar) 4

6. NTT Com’s Global Footprint
NTT Com operates subsidiaries/offices in 86 cities of 30
countries/regions outside Japan, and offers network
connections to more than 150 countries. The company had
some 16,500 employees worldwide as of September 2012.
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7. Global IP Network
Global Tier 1 status with the world’s largest transpacific capacity
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8. Business Expansion in Asia
Expanded network and data center services in Asia to deliver
high-quality and one-stop ICT solutions
Established Yuanqu Data Aquired PC-1 cable between JP
Center in Shanghai and US
(February 2009) (October 2009)
Beijing● ●Dalian
Concluded stock ●Tianjin U.S.
●Seoul
purchase agreement
with Netmagic Slutions,
a data center company
Suzhou● ●
in India ●
(Closed in January 2012) ●New Delhi Shanghai
● U.S. U.S.
●Guangzhou
Mumbai● Established Thang Long ●Taipei Trans Pacific Express Japan-
● Hong Kong
Data Center in Hanoi ●Hanoi ● Macao China cable route began
(April 2009) operation
Launched ● Vientiane
Manila
(December 2009)
BizHosting Global ●Bangkok ●
(January 2010) - Acquired Tai Po Data Center in
●Chennai ●Ho Chi Minh City Hong Kong (August 2008)
●Bangalore - Will Open a new premium data
center in Tseung Kwan O, Hong
Kong (Q1 2013)
●Kuala Lumpur
Cyberjaya●
●Singapore Asia Submarine cable
- Acquired Emerio, IT outsourcing company
(April 2010) Express
- Will open a new premium data center in
Serangoon, Singapore (Q1 2012)
●Jakarta
● Sales office
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9. Business Lines
• Internet service provider
Data
Network
• Data communication network
• Data center and cloud-
Cloud-­‐compu6ng
computing services
PlaOorm
• Enterprise solution services
• Security services
• Telephone services
Voice
Video communication
Communica6ons
• services
Applica6ons
&
• Online application and
Content
content services
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10. Capital Investments and acquisitions
of NTT Com Group
Data Center Carrier/ISP ICT
APTT VERIO
HKNet
Tai Po Data Center Hosting service provider
ISP in Hong Kong
in Hong Kong in US
Netmagic Solutions PLDT Integralis
in India Domestic and international Security service provider
(Concluded stock transfer agreement carrier in Philippines in Germany and others
in January 2012)
Starhub Secode
Cable New common carrier Security service provider
in Singapore in Sweden
PCL Emerio Globesoft
Submarine cable provider ITO operator
between Japan and US in Singapore and others
Atlas
SI provider in Spain
: Consolidated subsidiaries
: Minority investment Itelligence
SI provider in Germany
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11. Corporate Vision “Vision 2015”
NTT Com, under its Vision
2015 growth strategy, is
emerging as a global leader
of ICT services that enable
companies worldwide to
expand their global
operations quickly. As part of
this strategy, the company is
strengthening its core
competitive advantages in
Asia and beyond. NTT Com
also is partnering with
individual customers,
empowering them with
advanced tools and
applications via secure,
convenient ICT services for
new methods of
communication. Copyright
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12. Global Cloud Vision
Toward realizing ICT that enables global management
Deploy comprehensive cloud services around the world
that are differentiated as a telecom carrier.
Provide not only the advantage area of NTT Com such as networks and
data centers but servers and applications, end-to-end and one-stop basis.
Globalization
NTT Com’s Global Cloud Vision
Faster decision-making
SaaS/Application
Reinforce Sales
Global virtualized Server
Productivity Improvement
Global Data Center
Cost reduction
Business Continuity Plan
Global Network
Provide integrated services
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13. 7 key features of the Global Cloud Vision
• Provide seamless network, Arcstar Universal One, that
1
Cloud Seamless access directly without additional charge to NTT Com's
Network cloud services.
• Virtualize networks between and within data centers.
2
Virtualized
• Enhance the fuction of portal and controller for both
Network cloud and network.
• Provide cloud services seamlessly that utilize NTT
3 Global Seamless Com’s networks and data centers around the world
• Provide private and public cloud computing services
4 Multi-X • Support multiple vendors, multiple carriers and
multiple devices.
• Offer hybrid cloud services, bridging on-premise systems,
5 Hybrid Cloud private and public cloud as an integrated system
Managed • Offer comprehensive managed security services
6
Security Services globally that ensure reliable and high quality cloud
• Strengthen and leverage our partnerships with SaaS
7 Partnership providers and consulting firms to address customers’
various requirements and to drive whole solutions
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14. Overview of the Global Cloud Vision
<NTT Com Group>
<Partners
Consulting >
and others
Consulting/Individual Applications
7 Partnering
Consulting firm/
Application Vendor
Security
6 Managed Security Services
5
The
Partnering
image
SaaS Mail, Desktop, VoIP etc.
cannot
be
SaaS Vendor
displaye
d. Your
compute
7 Hybrid Cloud
Global Total Management
Integrated
Portal
The image
OSS Control
cannot be
displayed.
/Visualization
Your
computer
5
may not
have enough
memory to
Partnering
Cloud
open the
7 Hybrid Cloud
4 Controller
4
PaaS Other Cloud
/ Private Cloud
5 Provide Public Cloud
Hybrid
IaaS Hybrid Cloud
5 Cloud
Direct Access to Cloud
Direct Access to Cloud
Coming Network Customer’s
Virtualized
Soon
2 Controller
System
Network
Virtualized Network
The image
Data
cannot be
3
displayed.
Data Center
Your
Center
computer
may not
have
Physical
Network
Arcstar Universal One
Access 1 1
Multi network/ One-Stop Operation
Network/ Th
PC, Smartphone, Tablet PC, etc.
e
Terminals
im
ag
e
ca
nn
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15. Organization Chart
Board
of
President
Direc6on
Board
of
Statutory
First Sales Division Customer Services
Statutory
Auditors
Auditors
Second Sales Division Service Infrastructure
Auditors’
Office
Third Sales Division Systems
Fourth Sales Division Corporate Planning
Process and Knowledge
Fifth Sales Division
Management
West Japan Sales
Finance
Division
Global Sales Human Resources
Voice and Video General Affairs
Legal Affairs and Internal
Network Services
Auditing
Cloud Services Procurements
Application Innovative IP
and Content Architecture Center
Solution Services
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16. Organization Chart
Board
of
President
Direc6on
Board
of
Statutory
First Sales Division Customer Services
Statutory
Auditors
Auditors
Second Sales Division Service Infrastructure
Auditors’
Office
Third Sales Division Systems
Fourth Sales Division Corporate Planning
Process and Knowledge
Fifth Sales Division
Management
West Japan Sales
Finance
Division
Global Sales Human Resources
Voice and Video General Affairs
Legal Affairs and Internal
Network Services
Auditing
Cloud Services Procurements
Application and Innovative IP
Content Architecture Center
Solution Services
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17. My role(IAC’s role)
• We work for IAC in NTT Communications
– IAC stands for Innovative IP Architecture Center.
• IAC is R&D division in NTT Communications.
– We incubate new ideas and technologies for future business.
– We’re also doing technology scouting for future business.
– We propose new ideas and technologies to business divisions.
• Business divisions also expect IAC to propose new ideas
and technologies.
Partnership
Propose
Provide
Business
Startups IAC Customer
Division
Feedback
• Development • Research • Development
• Support
• Incubation • Promotion
• Evaluation
• Operation
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18. My goal(IAC’s goal)
• Current situation of NTT Communications
– NTT Communications(a.k.a NTT Com) needs good idea to
create new business.
– NTT Com is looking for good partners to create new business
together.
– NTT Communications doesn’t have much experience create
new business with partners.
• Direction
– We focus on creating new services with 3rd parties who has
disrupt ideas or technologies that have possibility to change
world collaborating with NTT Com’s strength.
• NTT Com has one of the world’s biggest data center,
network and corporate brand.
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19. Chart of EcoSystem
Competitors
Digital Telcos
Docomo
Garage AT&T, Verizon, BT, Orange, ...
Cyber Corps.
KDDI Softbank
Agent Google, Microsoft, …
Startups Incubators/ VCs
Accelerators
IAC
Corp.
CL A&C V&V Sales
Planning
NTT Com
NTT PC
2011
NTT
CNTT Resonant ll
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20. How to achieve our goal
• Before
– I have been doing business development, but it didn’t work
Information
Silicon Business Divs./
IAC Proposal
Valley Group companies
Feedback
• After
– I try to built new mechanism to share information and create
launch new services rapidly.
IAC Exit
Development
Information
Match making
Silicon Business Divs./
Valley Proposal
Group companies
Predict trend
Feedback
of service/
Feedback
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ommunica6ons
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21. Case Study of 050 plus
• I found a technology and help development of mobile
application of 050 plus(NTT Com’s VoIP).
• Technology
• 1st
Evalua6on
• Deep
Evalua6on
• Commercialize
Scou6ng
• Proposal
• Prototyping
• Customer
Support
• Proposal
NTT
MCL
Subsidial
Campany
NTT
MCL
Subsidial
Company
IAC
Business
Div.
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