NTT Docomo Inc said Monday it will cut its mobile phone charges by up to 40 percent from June amid the government's call on telecom carriers to lower service fees.
NTT Docomo will introduce two basic service charge plans with a monthly fee of 5,980 yen for an unlimited data service and 1,980 yen for those who need less volume of data.
The major mobile phone company is looking to counter low-cost wireless service providers UQ Mobile and Y!mobile brands launched by domestic rivals KDDI Corp and SoftBank Corp respectively. NTT Docomo does not have a budget service brand.
The company will offer simpler plans by separating charges for handsets and services, as major wireless carriers in Japan are often criticized for their complicated plans which make it difficult to compare fees with those of other carriers and discourage carriers from cutting charges.
The issue came under the spotlight last year when Chief Cabinet Secretary Yoshihide Suga urged mobile phone service operators to cut fees, as the rates are higher than those in other countries and the three major cellphone companies generally log higher profit margins than those in other industries. Suga declined to comment Monday on NTT Docomo's new service fees.
Source: ANNnewsCH
