Competition Policy in the IT Sector and
the Framework for a New Communications Law

-Further Recommendations on the Restructuring of the Legal System
Governing Info-communications to Propel the IT Revolution-

December 18, 2001

Keidanren
(Japan Federation of Economic Organizations)

Contents

ABSTRACT PROPOSAL I. TRENDS AND ISSUES IN THE IT MARKET THE TELECOMMUNICATIONS MARKET IN TRANSITION FROM MONOPOLY TO COMPETITION GROWING INTEGRATION OF IT MARKET II. DIRECTION OF REFORM INCREASED LIBERALISATION OF TELECOMMUNICATIONS BUSINESSES CREATING A COMMON REGULATORY FRAMEWORK FOR TRANSMISSION FACILITIES REDEFINING TELECOMMUNICATIONS SERVICES FOCUSING COMPETITION RULES ON MARKET POWER STRENGTHENING SYSTEMS FOR PROMOTING COMPETITION POLICY ESTABLISHING A FRAMEWORK FOR SECURING UNIVERSAL SERVICES III. FRAMEWORK FOR A NEW COMMUNICATIONS LAW PURPOSE OF LAW DEFINITION OF TELECOMMUNICATIONS SERVICES RULES FOR PROVIDING TELECOMMUNICATIONS SERVICES (1) Rules for All Providers of Telecommunications Services (2) Rules for Dominant Operators SYSTEMS FOR PROMOTING COMPETITION POLICY (1) Establishment of Independent Regulatory Body (2) Functional Reinforcement of the Fair Trade Commission PERIODIC REVIEWS OTHER MATTERS