Activities by Segment

This segment provides mobile and fixed-line communications services for individual customers. In mobile, these chiefly include services under the mainstay "au" brand and MVNO services provided by consolidated subsidiaries such as UQ Communications Inc. Fixed-line services include "au HIKARI" brand FTTH services, CATV services and other services. The segment also provides non-telecommunications services such as the "au WALLET Market" product sales service making use of au shops, as well as energy services such as "au Denki."

In August 2016, KDDI introduced "au STAR [1]," a free membership program designed with the goal of encouraging customers to use au services for the long term, and began steadily expanding. The program offers three special benefits: "au STAR Loyal," which presents customers with WALLET points every month depending on the number of years they have used au and their fixed rate fees on eligible plans; the "au STAR Passport," which allows customers to make priority reservations at au shops; and "au STAR Gift," available to all registered customers.

In December 2016, KDDI opened au SENDAI, its largest directly operated shop. Taking advantage of its wide space, the shop includes the "BLUE LEAF CAFÉ" and holds events and workshops, as well as exhibits covering the Tohoku reconstruction assistance efforts. In this way, au SENDAI presents a new type of shop that embodies the integration of communications and lifestyle.

• [1]

  For individual users of au smartphones and au feature phones. Requires membership registration (free).

Inside the au SENDAI shop

Since September 2016, KDDI has been offering "SUPER Dejira," a new fixed-rate data service for au smartphone high-volume data users that expands data limits to 20GB or 30GB.
Compared to the conventional service, which offers an additional 3GB (from 5GB to 8GB) for an additional fee of ¥1,700, the new service "SUPER Dejira" quadruples the data allowance (from 5GB to 20GB) for just an additional ¥1,000. This has resulted in steady growth in the number of subscribers, mainly to 20GB plans.

• [2]

  All rates shown are exclusive of tax.
  Basic rate (when Everybody Discount is applied) + Fixed rate data service + Internet connection fee.
  The basic rate provides unlimited free domestic calls for calls of five minutes or less. Each call in excess of five minutes will incur a separate charge of ¥20 yen for each 30 seconds over five minutes.

In April 2016, KDDI began providing the "au Denki" service nationwide [3]. When used in conjunction with au feature phone and smartphone services, customers can receive the equivalent of up to 5% of their monthly "au Denki" bill in WALLET points [4] on their "au WALLET" prepaid card. In addition, the "au Denki App" helps users to enjoy benefits in their lives by providing information on electricity usage and rates at a glance, offering advice on energy saving in line with individual customer lifestyles.

• [3]

  Excluding Okinawa Prefecture and some island locations

• [4]

  The previous discount service that provided cash back to "au WALLET" prepaid cards ended on August 28, 2017.

As products and services become more homogeneous in the domestic telecommunications market, enhancing brand value is indispensable for ensuring more of our customers continue to support us.
KDDI is advancing efforts to improve the quality of every touchpoint to our customers, not only through our products and services, but in everything such as advertising and customer service. Among these efforts, in advertising, we were named Brand of the Year in the CM Research Center's 2016 TV Commercial Favorability Ranking, our third consecutive year as the No. 1 preferred commercial, and earning us the Best Advertiser Award.