Japan 5G Technology Market: Industry Analysis and Forecast (2024-2030)

Japan 5G Technology Market Overview

The  Japan 5G Technology Market commences with a brief introduction to 5G technology, emphasizing its core features such as high data speeds, low latency, and extensive device connectivity, setting it apart from its predecessors. Following this, the evolution and growth factors of 5G are explored, shedding light on the key milestones and technological advancements that have shaped its current state. The subsection also addresses the growth drivers contributing to the widespread adoption of 5G in Japan, including the escalating demand for high-speed connectivity, the rise of the Internet of Things (IoT), and the potential for transformative applications across diverse industries.

• The Japanese government has allocated $8.5 billion to support 5G infrastructure development and encourage innovation.

Subsequently, the purpose and scope of the report are outlined, elucidating the main objectives and focus areas, encompassing market trends, the competitive landscape, the regulatory environment, and challenges encountered by the 5G technology market in Japan. Additionally, a glimpse into the methodologies employed for data collection and analysis may be provided. In essence, the executive summary serves as a comprehensive introduction, offering a snapshot of 5G technology, its evolutionary trajectory, and an overview of the subsequent report's key areas of exploration. Such insights are geared towards empowering stakeholders to make well-informed decisions within the growing sector, thus explaining the multifaceted nuances of the 5G Technology landscape in Japan. The report offers a holistic view of the Japan 5G Technology Market in 2023.

• Honda and DeNA partnered in 2023 to test autonomous trucks on public roads using 5G for seamless communication and obstacle detection.
• As of 2023, South Korea leads in 5G penetration (93%), followed by Japan (50%) and China (40%)

Japan 5G Technology Market Dynamics:

NTT Communications Drives Japan's 5G Revolution with Private Networks for Secure Digital Transformation

The implementation of private 5G technology serves as a pivotal driver for the Japan 5G Technology Market, fostering digital transformation for businesses. NTT Communications, positioned as a DX EnablerTM, collaborates with customers to facilitate digital transformation, offering a comprehensive solution through its Smart Data Platform introduced in 2019. The platform incorporates private 5G, a cutting-edge wireless communication technology, as a crucial component, enabling advanced data collection. NTT Com focuses on creating a secure environment for data collection, storage, and integration, supporting customers in generating business value through data utilization.

The private 5G technology not only ensures high-speed, low-latency communication but also enables secure and simultaneous connections with numerous terminals. Beyond its application in manufacturing, private 5G showcases versatility, potentially extending to areas such as facility security using robots and equipment inspection via drones. NTT Com's role as a DX enabler is underscored by its ability to provide end-to-end coordination, recommending optimal wireless communication solutions tailored to the unique needs of its diverse customer base. Furthermore, ongoing experiments, such as the joint experiment with DMG MORI, demonstrate the potential of private 5G in enhancing the performance of automated systems and machinery, contributing to the evolution of communication in the digital era.

• In 2023, the University of Tokyo successfully performed a remote surgery on a pig located 3 kilometers away, using 5G for real-time data transmission and haptic feedback.

Tailored Solutions Drive Industry-Specific Applications to the Forefront

In the dynamic landscape of the Japan 5G Technology Market, a prominent trend is the surge in industry-specific applications, reshaping the way businesses operate across diverse sectors. As 5G technology unfolds its transformative potential, industries in Japan are customizing applications to address unique challenges and leverage the unparalleled capabilities of high-speed, low-latency communication. In manufacturing, real-time monitoring and control of machinery through private 5G networks enhance operational efficiency. Healthcare experiences a revolution with 5G-enabled telemedicine and remote patient monitoring, facilitating timely and personalized healthcare services.

Logistics and transportation benefit from 5G's simultaneous connection capabilities, particularly in monitoring moving assets like vehicles and goods, ensuring streamlined operations. The trend underscores a strategic alignment between telecommunication companies and vertical industries, fostering innovation and industry-specific solutions. The Japan 5G landscape is witnessing a paradigm shift as businesses increasingly recognize the transformative potential of tailoring 5G applications to meet the unique demands of their respective sectors.

• The Stellar analysis estimated that the number of telemedicine consultations increased by 300% between 2020 and 2022, driven by 5G technology.

Japan 5G Technology Market Segment Analysis:

Based on Industry Verticals, the Manufacturing segment held the largest market share of more than 38.2% and dominated the Japan 5G Technology industry in 2023. The segment is further expected to grow at a CAGR of 10.2% and maintain its dominance during the forecast period.  The rising demand is driven by factors such as Japan’s strong manufacturing industry and its focus on Industry 4.0 initiatives, which aim to digitalize and automate manufacturing processes has been expected to be the major factor driving the segment growth. The 5G technology is being used in various applications within the sector, including real-time monitoring and control, predictive maintenance, remote control of robots, and data-driven decision making driving the demand for the Japan 5G technology market.

• Toyota Motor Corporation Uses 5G in its production Lines for real-time data transmission and remote

Besides that, the Media & Entertainment segment is expected to grow at a rapid CAGR and offer lucrative growth opportunities for Japan 5G Technology manufacturers all across Japan during the forecast period. The growing demand is projected thanks to emerging technologies, personalized content, and new business models have been expected to be the major factors driving the segment growth. The current state of the media & entertainment segment is growing thanks to high definition and immersive content, live streaming and esports, and cloud gaming in developing and offering 5 G-powered M&E experiences in Japan 5G technology market.

• NTT Docomo partnered with Disney to offer a 5 G-powered VR experience for the Star Wars franchise, immersing fans in the iconic universe.

The major key players in the Japan 5G Technology Market are SoftBank Group Corp, Asahi Kasei Networks Corporation, Rakuten Group, Inc., and NEC Corp.  Thus, increasing demand for the Japan 5G Technology market supports the segment growth.

Japan 5G Technology Market Scope

Japan 5G Technology Market Key Players:

1. TDK Corporation
2. ZTE JAPAN K.K.
3. Microsoft Japan Co., Ltd.
4. SoftBank Group Corp.
5. Asahi Kasei Networks Corporation
6. Rakuten Group, Inc.
7. NEC Corp
8. FUJITSU LIMITED
9. KDDI Corporation
10. Ericsson Japan K.K.
11. CommScope Japan K.K.
12. NTT Docomo, Inc.
13. Hitachi Ltd.
14. Mitsubishi Electric Corp
15. Nippon Telegraph and Telephone Corp