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05-Jan-98

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Nikkei BP Asia BizTech
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  • CATV Firms to Offer Speedy Internet Services
  • Tokyu Cable Television Co., Ltd. and Kintetsu Cable Network will soon begin providing Internet services over their cable TV networks using high-speed cable modem systems made by Terayon Communication Systems of the United States. From Japan
    January 5, 1998 (TOKYO) -- Tokyu Cable Television Co., Ltd. and Kintetsu Cable Network will soon begin providing Internet services over their cable TV networks using high-speed cable modem systems made by Terayon Communication Systems of the United States.

    The two CATV operators had decided to postpone introducing the service until April 1998, instead of the initially planned date of a year earlier.

    They are jointly purchasing Terayon's cable modem systems to reduce costs.

    Tokyu Cable will make its service available to all its customers from April after field trials in Tokyo's Shibuya and Tama Plaza areas, starting in January. Kintetsu Cable, which has started field testing, will also offer a commercial service from April.

    With Terayon's 14.3Mbps, two-way cable modems, uninterrupted high-speed data services can be offered over the Internet.

    Tokyu Cable will charge users of its CATV Internet service 2,000 yen (US$15.40) a month, and it will later raise the rate to about 5,000 yen (US$38.50) when it offers a complete service. The fee covers costs of Internet access, cable usage and cable modem rental.

    The company is considering the idea of a discount price of around 7,000 yen (US$53.80) for customers subscribing to both the CATV Internet and existing CATV multiple-channel services. It charges 4,000 yen (US$30.80) for the CATV service. Kintetsu Cable is expected to follow suit.

    "CATV Internet is more cost effective and faster than using ISDN lines," an official at Tokyu Cable said.

    Tokyu Cable plans to connect with Internet Initiative Japan Inc. (IIJ), Japan's largest Internet service provider, for the Internet access at 1.5Mbps, while Kintetsu Cable has already linked with NTT Corp.'s OCN at 6Mbps

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    Updated: Sun Jan 4 13:53:08 1998