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KDDI CONTINUES TO SEE STRONG GROWTH FROM CUSTOMERS CHOOSING MOBILE NUMBER PORTABILITY

Operator Accumulates more than 1 Million Net Subscriber Additions from MNP

BEIJING , CHINA — July 16, 2007 — The CDMA Development Group (CDG) today announced KDDI’s resounding success in acquiring new subscribers since Japan introduced Mobile Number Portability (MNP) which allows consumers and businesses to switch carriers while keeping their existing phone number. KDDI has accumulated more than one million net subscribers since the service was introduced, and for the past two years has enjoyed the most net subscriber additions of any operator in the country.


Source: KDDI, NTT DoCoMo, Softbank Mobile, and K-tai Watch, June 2007

“The CDG is pleased to witness KDDI’s continued success in attracting new customers,” said Perry LaForge, executive director of the CDG. “The operator’s net subscriber growth due to MNP demonstrates that given a choice, subscribers will overwhelmingly elect the more valuable CDMA2000 service over competing technologies.”

Along with offering its customers a more valuable service, the evolutionary nature of their CDMA network has allowed KDDI (au) to migrate 98% of its entire subscriber base of 28.7 million people to their higher performing and more economical 3G CDMA2000 network — well ahead of their competition who launched 3G services at around the same time and only 50-70% of their subscribers using 3G services. Plus, 14.5 million or more than 50% of KDDI’s subscribers are using EV-DO (WIN) devices which were first introduced in December 2003. In the first quarter of 2007, the average revenue per user (ARPU) generated by EV-DO (WIN) subscribers, 8310 Yen (US$67.45), was greater than that of FOMA subscribers, 7500 Yen (US$60.88). In regards to data ARPU, WIN subscribers spend up to 23% more on EV-DO data services than FOMA subscribers do on similar data services. KDDI further attributes its success in increasing its market share to a competitive flat-rate plan to use its large selection of EZ Web-based services, now serving up to 24 million people, better customer care and a strong lineup of attractive “au” 3G handsets.

“KDDI’s growth following the introduction of MNP is due in a large part to the increased flexibility and benefits of CDMA2000,” said Makoto Takahashi, Member of the Board and General Manager, Consumer Business Sector . “MNP has liberated users to choose the very best services available that will satisfy their lifestyle and improve their productivity without the hassle of uprooting something as essential to their daily routine as their personal mobile phone number.”

More information on CDMA2000 is available at www.cdg.org.

About CDMA2000
CDMA2000 is the most widely deployed 3G technology, with 224 operators in 97 countries, including 75 CDMA2000 1xEV-DO systems, serving more than 350 million subscribers.  Counting 2G cdmaOne™ subscribers, there are more than 387 million CDMA users worldwide.  CDMA2000 has become the technology of choice for cdmaOne, TDMA, analog and greenfield operators, and is deployed in the 450, 700, 800, 1700, 1900 and 2100 MHz bands.  More than 1,700 CDMA2000 devices from over 92 suppliers have been introduced to the market, including more than 440 1xEV-DO and 26 Rev A devices.  More information on CDMA2000 is available on the CDG Web site at www.cdg.org.

About CDG
The CDMA Development Group is a trade association formed to foster the worldwide development, implementation and use of CDMA2000 technologies. The more than 130 member companies of the CDG include many of the world’s largest wireless carriers and equipment manufacturers. The primary activities of the CDG include development of CDMA2000 features and services, public relations, education and seminars, regulatory affairs and international support. Currently, there are more than 500 individuals working within various CDG subcommittees on CDMA2000-related matters. For more information about the CDG, contact the CDG News Bureau at +1-714-540-1030, or visit the CDG Web site at www.cdg.org.  

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Note to editors
cdmaOne is a registered trademark of the CDMA Development Group. CDMA2000 is a registered trademark of the Telecommunications Industry Association (TIA-USA).