Activities by Segment

This segment provides individuals with value-added non-telecommunications services both online and offline. The segment makes subscription services, such as the digital content of "au Smart Pass/au Smart Pass Premium," more attractive.
It also strengthens the commerce business with "au Wowma!" and other services, as well as insurance and other services in the financing business, with the goal of maximizing the "au Economic Zone" and expanding earnings.

Smart Money Concept

In February 2019, au Financial Holdings Corporation was established as an intermediate financial holding company with the objective of strengthening the settlement and financial services business. At the same time, KDDI launched the "Smart Money Concept" to provide customers with settlement and financial services via their smartphones, which have become inseparable from their daily lives.
Over 25 million customers have applied for "au WALLET Prepaid cards" and "au WALLET Credit cards." Balances on "au WALLET" and WALLET points have risen above ¥100 billion, and settlement and financial transaction volume has expanded to ¥4.4 trillion. In April 2019, "au PAY" was launched offering customers a new smartphone payment method centered on the "au WALLET" app, encouraging cashless payments and strengthening points of contact with customers.
Building on "au WALLET," KDDI aims to offer customers a one-stop financial experience for savings, payments, investments, loans, and insurance. While supporting customers with their finances, we intend to offer superior services in tune with the life plans of each customer.

Strengthening the Energy Business

In August 2018, KDDI, Electric Power Development Co., Ltd. and ENERES Co., Ltd. entered into a business tie-up agreement with the objective of increasing corporate value by creating business opportunities through innovation in the rapidly changing electric power market. In December 2018, KDDI acquired additional shares in ENERES through a public offering, and turned ENERES into a consolidated subsidiary.
KDDI began to offer "au Denki" when the retail electric power sector was deregulated in April 2016. Since then, KDDI has outsourced the management of supply and demand operations for "au Denki" to ENERES, whose responsibility extended to the forecasting of demand for electric power and procuring the necessary power sources. By making ENERES a consolidated subsidiary, KDDI expects to accelerate decision-making at the entity and be able to more flexibly invest management resources, including the provision of support backed by the insight of KDDI and Electric Power Development. KDDI will continue to reinforce the energy business in the future.

Solving Social Issues through Business: Education Business

KDDI's Vision

KDDI aims to broadly provide venues for children to learn lifelong skills through work and social experiences while furnishing them with opportunities to learn foreign languages, with the intention of contributing to the development of a sustainable society by solving issues faced by the young in an increasingly diverse society.
By providing educational opportunities in developing countries, KDDI also contributes to the development of human resources who may guide their countries toward sustained growth.

KDDI's Initiatives

Through the foreign language education business, the KDDI Group offers services for learning in a new format, blending education with communications services, that can be provided anywhere. Moreover, KDDI offers learning experiences at KidZania based on the concept of edutainment (learning while having fun). In developing countries, KDDI creates opportunities for people to study English, PC operation, and music, subjects that tend to be neglected in these countries.

Performance Analysis by Segment