Ryo Umezawa is a co-founder and COO of Pido Inc., a mobile startup in Tokyo. He has previously founded or held roles at several other technology companies in Japan. The document discusses opportunities in the Japanese mobile market, including strong smartphone adoption, mobile payment services with over 10 million users, and a mobile contents market worth over 500 billion yen annually. It also profiles Umezawa's experience and provides tips for foreign companies looking to enter the Japanese market.

1. Tokyo Business Environment
Ryo Umezawa
Pido Inc. Co-Founder and COO
J-Seed Ventures Inc. Director
@ryoumezawa www.ryoumezawa.com
© 2010 Ryo Umezawa - Confidential - All Rights Reserved.

2. Until now
0~10 years old
20 years old~now
10~19 years old
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 2

3. Profile...
2010.4 Pido
2008.6
2010.1
2007.1
2007.9
2006.1 2007.12
2006.12 2008.5
2005.4
2009.2
2005.2
2003.10
2007.9
Copyright © 2010 Ryo Umezawa.
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 3

4. Personal Activities...
✓ Occasionally Writes for CNET, Venture Channel
✓ Support Entrepreneur Association of Tokyo
✓ Organizer of NetTokyo, A Yearly Charity Event
gathering about 400 people
✓ Romantist Association
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 4

5. Romantist Association...
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 4

6. Until now...
‣ Sozon K.K. 2007/02~2007/09
✓ Blog de Baito™
! pay per post service
! blog marketing
‣ Mobikyo K.K. 2005/04~2009/02
✓ Mobile Monday Tokyo
! Global event held in 100 cities in the world
! for mobile professionals
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 5

7. Until now 2...
‣K.K. TrafficGate 2008/07~2010/01
✓ TG Ad for iPhone
! iPhone AdNetwork
! Monetization for iPhone Developers
✓ Koetan iPhone Application
! Voice recognition search iPhone application using Nova Search
!
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 5

8. J-Seed Ventures Inc.
Venture incubator
Founded in 2000
Self-funded
8 portfolio companies currently
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 6

9. We start businesses that
address real market
needs with innovative
business models and
technologies.
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 6

10. Entrepreneur in Japan
Risk > Rewards
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 6

11. High Personal Risks
• Low Social Status
‣ Unemployed
• Social Stigma of failure
‣ >10% start another venture
• Labor Market
‣ No turning back
• Personal Guarantee
‣ Bankruptcy
• Getting the first client
‣ Track Record
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

12. Comapnies started since 2000...
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 6

13. J-Seed Companies
‣ maneo k.k.
✓ Social Lending
! Connect lenders and borrowers online
! Reverse auction for interest rates
‣ Piku Media k.k.
✓ Daily Coupon Site
! The first flash marketing company in Japan
! Get discounted coupons for amazing rates
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 6

14. Pido Inc.
Mobile / Smartphone Business
Founded in April, 2010
Self-funded
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 6

15. Garapagos Mobile Industry
Studied by Charles Darwin during the
voyage of the Beagle
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

16. Garake-
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

17. Garake-
Mobile
GPS TV
Payment
Touch High Speed
2 in 1 Internet
Screen
Global
MMS TV Call
Roaming
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

18. Japanese Mobile Market Overview
1. Population: 127.5 Million
2. Mobile Subscriptions: 109 Million *No PHS included
3. Browser phone users : 90 Million
4. 3G Subscribers: 97 Million
5. Japanese Market Share
Emobile
2%
SoftBank
20%
NTT Docomo
50%
KDDI
28%
*As of April, 2010
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

19. Garake-
• 30cm away 24/7
• Personal -> One unit per person
• React immediately
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

20. Mobile Market
,$)-*")&+'
!"#$%&' !"#$%&'./0&+'
1$-$*/%'("0$2+'
(")*&)*+ 3*4&/0$)-'
5)$0/*&6'&0/$%'
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

21. Mobile Market
• 1.5 Trillion yen in 2009
• Mobile Contents 552 Billion
• Mobile Commerce 968 Billion
483.5 552.5
427.2
732.9 868.9
968.1
2007
2008
2009
Commerce Contents
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

22. Mobile Commerce Case Study 1...
• A fashion show for clothes you can buy
• 30,200 visitors
• 145,788 Nico Nico Douga
• 219,540 Comments
• 680 press people
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

23. Tokyo Girls Collection
In 2009, 23 Million Yen sales in 24 hours
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

24. Mobile Commerce Case Study 2...
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

25. Mobile Commerce Case Study 2...
Request for women’s bra
79% success rate
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

26. Mobile Payment
Edy suica nanaco WAON
iD DCMX QUICPay PiTaPa
Over 10 Million users on mobile
Prepaid and post paid
Over 30 Billion yen transaction
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

27. Carrier Billing
4 Digit Password
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

28. Mobile Contents Case Study
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

29. Mobile Contents Case Study
Over 50% of SNS users own a avatar
Tie up campaigns
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

30. Mobile Contents Case Study 2...
Mobile Manga
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

31. Sleeping Members
Monthly charge
They forget about the service usage
Billed end of the month
Hard to terminate the service
Cloud Address Book
iConcierge
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

32. Mobile Portal
15 Million Users
50 Million impression / week
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

33. Real Affiliate
Conversion through RFID Chip
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

34. Smartphone
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

35. Japan Smartphone Handset
2009 2010
A lot more in pipeline
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

36. Japan Handset
!"#$%&'()*+,-.'()*/+0)1$(-1/+2-)1(34+5(6-7*8
%&
,&
$&
+&
*&
)& $"%$(&
$"!!,&
#& +"(%%&
*"**&
)"$*&
(&
#"'(&
!& !"#$%&
'&
('',& (''%& ('!'& ('!!& ('!(& ('!#& ('!)&
-./01 2/33/4.
('!'
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

37. Japan Handset
!"#$%&'()*
(#+*%"
(#&" (#%"
(#%"
(#$" !#)&"
("
,-./01."
!#'"
1230-4"
!#&"
!#*$"
!#%"
!#$"
!"
$!!)" $!(!"
5-167 819910-
$!(!
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

38. Smartphone OS Statistics
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

39. Per Hardware Maker
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

40. Successful iPhone App
Daijirin Tsumineko
2,500 yen 115 yen
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

41. Successful iPhone App from Ads
AppBank Touch the Number
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8

42. Entering Japan
✓ All about connection + drinking
✓ Find a hub (go to guy)
✓ Find a great Partner or Representative
✓ Think Global Act Local
© 2010 Ryo Umezawa - Confidential - All Rights Reserved. 8