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U.S. calls on Japan to further open telecom sector

By Martyn Williams, IDG News Service
December 08, 2005 12:06 PM ET
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The U.S. called on Japan to increase regulatory transparency in the telecommunications and information technology sectors on Wednesday as it delivered its annual set of government reform recommendations.

The proposals were presented by Wendy Cutler, U.S. Trade Representative (USTR) for Japan, Korea, and APEC Affairs to Japanese government officials as a bilateral meeting began in Seattle, Wash. They were made under the U.S.-Japan Regulatory Reform and Competition Policy Initiative, which was started in 2001 to promote economic ties between the two countries.

Included on the list was the shifting of telecommunications regulatory functions to an independent agency away from ministerial control. This has been a long-standing request of the U.S. in part because the Japanese government remains a major shareholder in NTT, Japan's dominant wireline and wireless telecommunications provider.

The U.S. also called on Japan to increase public participation in regulatory and policy decisions, ensure termination rates charged by mobile carriers are reasonable, ensure spectrum management policies and practices are more transparently administered, and conclude a mutual recognition agreement for equipment certification.

This last issue would simplify certification of mobile handsets capable of operating on both the Japanese and U.S. cellular standards and is expected to be agreed this week, according to local press reports.

The recommendations also covered information technology and included a call for the Japanese government to reform its own IT procurement practices. The U.S. also asked Japan to extend the term of copyright protection for sound recordings.

A full copy of the U.S. recommendations can be found on the USTR's Web site . Japan has yet to detail its recommendations.

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