Slide 1: Earnings Results for the Fiscal Year ended March 2006
Earnings Results for the Fiscal Year ended March 2006 10 May 2006 SOFTBANK CORP.
Slide 2: Highlights
＜Highlights＞ ¾Surplus operating income on an annual basis ¾Highest EBITDA ever ¾Acquisition of Vodafone K.K. Move onto a stage of improving enterprise value 2
Slide 3: Business scale after Vodafone K.K. acquisition
Business scale after Vodafone K.K. acquisition Sales Approx. 2.5 trillion yen Lines Approx. 26 million lines ※SOFTBANK：Account settlement figures for FY2006. Vodafone：Annualized figures in the interim result of FY2006 are used for calculation. ※Number of lines are as of the end of March 2006. 3
Slide 4: FY2006 Summary of Consolidated Earnings Results <annual>
FY2006 Summary of Consolidated Earnings Results ＜annual＞ ＜unit：b JPY＞ FY06 FY05 Year on year Net Sales 1,108.6 837.0 +271.6 EBITDA 149.9 44.0 +105.8 Operating income 62.2 (25.3) +87.6 Ordinary income 27.4 (45.2) +72.7 Income before income taxes and 129.4 (9.5) +139.0 minority interest Net income 57.
Slide 5: Consolidated Net Sales <annual>
Consolidated Net Sales ＜annual＞ 1.2 1.10t ＜unit：t JPY＞ 0.06 Others 1.0 0.76t 0.27 e-Commerce Seg. e-Finance(※) 0.8 0.04 Internet Culture Seg. 0.15 0.6 0.24 Fixed line telecom 0.34 business (Japan Telecom) 0.4 0.10 Consolidated from Q3 of the previous fiscal year 0.16 0.2 0.26 BB Infrastructure Seg.
Slide 6: Consolidated Net Sales
Consolidated Net Sales 1.2 1.10 ＜annual＞ ＜unit：t JPY＞ 1.0 0.83 0.8 FY06 1.1t JPY 0.6 0.51 0.39 0.40 0.40 Largest ever 0.4 0.2 0.0 FY01 FY02 FY03 FY04 FY05 FY06 6
Slide 7: Consolidated Operating Income <annual>
Consolidated Operating Income 80 ＜annual＞ 62.2 ＜unit：b JPY＞ 60 14.6 40 47.6 20 16.4 FY06 62.2b JPY 0 FY01 FY02 FY03 FY04 FY05 FY06 -20 -25.3 Largest ever -23.9 -40 -60 -54.8 ※Including the impact of the sale of -80 the ADSL modem rental business: 14.6b JPY -100 -91.9 7
Slide 8: Consolidated EBITDA <annual>
Consolidated EBITDA 160 149.9 ＜annual＞ ＜unit：b JPY＞ 120 80 FY06：149.9b JPY 44.0 40 28.8 Largest ever 0 FY01 FY02 FY03 FY04 FY05 FY06 -10.0 -22.0 -40 （EBITDA： Operating Income (Loss) + Depreciation and Amortization） -80 -71.0 8
Slide 9: Consolidated Ordinary Income <annual>
Consolidated Ordinary Income 40 ＜annual＞ 27.4 ＜unit：b JPY＞ 20.0 20 FY06：27.4b JPY 0 FY01 FY02 FY03 FY04 FY05 FY06 -20 -40 -33.3 -45.2 Largest scale -60 ever -71.9 -80 -100 -109.8 9 -120
Slide 10: Consolidated Net Income <annual>
Consolidated Net Income ＜annual＞ 60 57.5 ＜unit： b JPY ＞ 40 36.6 20 FY06：57.5b JPY 0 FY01 FY02 FY03 FY04 FY05 FY06 -20 Largest ever - -40 Achieved a surplus -60 -59.8 on an annual basis -80 -88.7 -100 -99.9 -107.0 10 -120
Slide 11: Consolidated Operating CF <annual>
Consolidated Operating CF ＜annual＞ 57.8 ＜unit：b JPY＞ 60 40 40.0 FY06 57.8b JPY 20 17.8 0 FY01 FY02 FY03 FY04 FY05 FY06 -20 Royalty payment made in advance from the sale of the ADSL modem -40 rental business : 40b JPY -45.9 -60 -68.6 -80 -79.1 -83.8 -91.5 11 -100
Slide 12: FY2006/Q4 Consolidated Earnings Results
FY2006/Q4 Consolidated Earnings Results 12
Slide 13: FY06/Q4 Summary of Consolidated Earnings Results
FY06/Q4 Summary of Consolidated Earnings Results ＜unit：b JPY＞ ＜Q4＞ Q4/FY06 Q4/FY05 Year on year (Jan – Mar 06) (Jan – Mar 05) Net Sales 298.4 275.2 +23.1 EBITDA 54.9 16.2 +38.7 Operating income 34.3 (11.0) +45.4 Ordinary income 29.7 (11.3) +41.0 Income before income taxes and minority 43.8 (13.5) +5
Slide 14: Consolidated Net Sales (Quarterly)
Consolidated Net Sales (Quarterly) 298.4 300 264.1 287.4 ＜unit：b JPY＞ 253.8 258.6 Others 234.2 250 68.4 80.6 e-Commerce Seg. 65.1 69.2 58.5 200 61.4 e-Finance(※) 42.0 42.2 Internet Culture 142.9 34.4 36.7 150 132.8 31.5 Seg. 26.8 Fixed line telecom 88.6 89.7 business (Japan 100 87.3 81.5 55.5 58.6 8
Slide 15: Consolidated Operating Income (Quarterly)
Consolidated Operating Income（Quarterly） 40.0 34.3 ＜unit：b JPY＞ 30.0 7.0 23.5 27.3 20.0 7.6 15.9 10.0 7.5 Q4/FY06 34.3b JPY FY03 FY04 FY05 FY06 0.0 Q1 Q1 Q1 Q1 -2.9 -3.8 -3.1 -10.0 -6.6 -7.5 -10.7 -8.8 -11.0 ※Impact of the sales of the -20.0 -15.1 ADSL modem rental business -20.4 Q4: 7.0b JPY -30.0
Slide 16: Consolidated EBITDA (Quarterly)
Consolidated EBITDA（Quarterly） 60 ＜unit： b JPY ＞ 54.9 50 44.7 40 30.7 30 Q4/FY06 54.9b JPY 19.5 20 16.2 15.8 10 Increased 6.0 5.9 1.4 0.1 Significantly 0 FY03 FY04 FY05 FY06 (approximately triple Q1 Q1 Q1 Q1 -10 -8.0 -7.0 on a yoy basis) -14.5 -20 -16.6 -22.2 （EBITDA： Operating Income (Loss) + -30 -
Slide 17: Consolidated Ordinary Income (Quarterly)
Consolidated Ordinary Income（Quarterly） 29.7 30 ＜unit： b JPY ＞ 25 20 15 11.2 10 5 FY04 FY05 FY06 Q4/FY06 29.7b JPY 0 Q1 Q1 Q1 -0.4 -5 -10 -8.6 -9.6 -8.0 Quarterly surplus -15 -11.6 -14.2 -11.3 -13.0 increased -20 -25 -23.0 -30 -30.6 -35 -40 17
Slide 18: Consolidated Net Income (Quarterly)
Consolidated Net Income（Quarterly） 39.7 ＜unit： b JPY ＞ 40 30 22.0 20 11.8 Q4/FY06 39.7b JPY 10 6.9 FY04 FY05 FY06 0 Q1 Q1 Q1 -10 -11.1 -13.4 -20 -16.3 -17.8 -30 -26.5 -27.2 -34.7 -40 -42.6 -50 18
Slide 19: Consolidated Operating CF (Quarterly)
Consolidated Operating CF（Quarterly） ＜unit： b JPY ＞ 70 61.9 60 50 Q4/FY06 13.8b JPY 40 30 20 Royalty payment made in advance from the sale of the 10 6.6 ADSL modem 13.8 0.2 0 rental business : 40b JPY Q1 Q1 Q1 -10 FY04 FY05 FY06 -11.3 -11.9 -20 -15.8 -15.2 -18.7 -18.2 -30 -25.4 -40 -37.8 19
Slide 20: Key Drivers for Achieving Consolidated Operating Surplus
Key Drivers for Achieving Consolidated Operating Surplus (Quarterly Operating Income by Segment） 40 ＜Quarterly＞ FY03/Q1 FY04/Q1 FY05/Q1 FY06/Q1 ＜unit： b JPY ＞ Consolidated 30 operating income 20 Internet Culture Seg. (Yahoo! JAPAN) 10 BB business Fixed line telecom business 0 （Japan Telecom） -10 Ach
Slide 21: Key Drivers for Significant Surplus of Consolidated EBITDA
Key Drivers for Significant Surplus of Consolidated EBITDA (Quarterly EBITDA by Segment） 60 Consolidated EBITDA 50 40 30 Internet Culture Seg. (Yahoo! JAPAN) 20 BB Infrastructure Seg. 10 Fixed line telecom business (Japan Telecom) 0 03/Q1 04/Q1 05/Q1 06/Q1 -10 -20 Significantly improved -30 in all m
Slide 22: Operating Income/EBITDA by Segment: BB Infrastructure Business
Operating Income/EBITDA by Segment (Quarterly) BB Infrastructure Business ＜unit： b JPY ＞ 30 Operating Income 25 EBITDA 20 Q4/FY06 16.3 18.1 Operating Income：12.3b JPY 15 EBITDA ：18.1b JPY 11.4 12.3 10 9.3 3.0 5 3.4 0.8 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY05 FY06 -5 number of ADSL lines： -4.4 -10 -5.8 -6.5 5
Slide 23: Operating Income/EBITDA by Segment: Internet Culture Business
Operating Income/EBITDA by Segment (Quarterly) Internet Culture Business (Yahoo! JAPAN) ＜unit：b JPY＞ Operating Income 30 EBITDA 23.5 25 21.2 Q4/FY06 Operating Income ：21.2b JPY 18.8 20 17.9 21.2 16.5 19.2 15 14.0 16.4 17.1 EBITDA ：23.5b JPY 12.0 12.1 15 10 12.8 11.1 11.0 5 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Slide 24: Operating Income/EBITDA by Segment: Fixed Line Telecom Business
Operating Income/EBITDA by Segment (Quarterly) Fixed Line Telecom Business（Japan Telecom） ＜unit：b JPY＞ 30 Operating Income EBITDA Q4/FY06 20 Operating Income：2.9b JPY 14.2 EBITDA ： 14.2b JPY 9.1 10 2.9 FY05 FY06 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Operating income -0.3 -1.8 -1.7 turned positive. -10 -6.2 EB
Slide 25: Trend of Annual Consolidated Earnings Results
Trend of Annual Consolidated Earnings Results 160 ＜unit：b JPY＞ Consolidated 120 EBITDA 80 Consolidated Operating Income Consolidated Net 40 Income Consolidated Ordinary FY06Income 0 FY03 FY04 FY05 -40 -80 -120 25
Slide 26: Bond Redemption Schedule
Bond Redemption Schedule (stand-alone basis, SB and CB) 2,500 47.6 (Investment in Partnerships) ＜unit：b JPY＞ 89.1 (Private Equity Holdings) 2,336.6 High liquidity source 2,000 for redemption Listed shares* 2.3t JPY 1,500 1,885.9 Coverage ratio 1,000 x 6.2 Outstanding bonds (as of March end 2006) SB:
Slide 27: Cash Position
Cash Position ＜unit： b JPY ＞ 600 unused portion of credit line facility Cash and cash equivalents 500 100.0 61.0 161.0 400 30.0 300 30.0 30.0 440.6 450.6 200 75.0 31.0 341.6 30.0 289.9 322.2 235.0 100 170.4 133.6 152.5 0 /0 1 /0 2 /0 3 /0 4 /0 5 /0 5 /0 5 /0 5 /0 6 M ar M ar M ar M ar M ar J u n e p
Slide 28: Net Debt
Net Debt ＜unit： b JPY ＞ CBs outstanding 750 net debt excluding CBs outstanding 586.2 615.6 531.6 550 469.1 454.6 150.0 350 243.0 232.0 188.2 134.8 304.6 150 -50 1 2 4 5 3 6 05 05 5 /0 /0 /0 /0 /0 /0 /0 p/ n/ ar ar ar ar ar ar ec Se Ju M M M M M M D 28
Slide 29: Acquisition of Vodafone
—= SoftBank Acquisition of Vodafone 29
Slide 30: Acquired 99.54% of issued shares of Vodafone K.K.
Completed acquisition through TOB and others (27 April 2006) Acquired 99.54% of issued shares of Vodafone K.K. SOFTBANK SOFTBANK CORP. CORP. common stock 200.8b JPY (voting right 100%) Yahoo Yahoo Japan Japan Corporation Corporation Mobiletech MobiletechCorporation Corporation VIHBV（※） common stock
Slide 31: Fund procurement for acquisition (BB Mobile)
Fund procurement for acquisition (BB Mobile) Bank loan (LBO bridge loan) 1.16t JPY Subordinated loan 100b JPY (Vodafone International Holdings B.V.) Preferred stock 300b JPY (Vodafone International Holdings B.V.) Preferred stock 120b JPY (Yahoo Japan Corporation) Common stock 200b JPY (SOFTBANK CORP
Slide 32: Future Refinancing Plan
Future Refinancing Plan ＜at the timing of Acquisition＞ Bridge loan (non-recourse) LBO Bridge loan ： 1.28t JPY (total facility size) Shift to long-term and diversified financing •Syndicated loan （senior and mezzanine loan） •Securitization and liquidation of network infrastructure （off-balance） •Lease
Slide 33: Enter Mobile Phone Business
Enter Mobile Phone Business 33
Slide 34: Merits of the acquisition (to buy time)
Merits of the acquisition （to buy time） ① Customer base 15.20m users* ② Network Population coverage： 99.93%* Collaboration with domestic/ ③ HS procurement international vendors ④ HR/Know-how Value of over-10-years experience in mobile telecom ⑤ Distribution network Vodafone Shop network 1,800 shops
Slide 35: Mobile telecom market size (turnover)
Mobile telecom market size （turnover） 1.5t Vodafone 17.0％ NTT DoCoMo KDDI 54.0％ 2.5t 29.0％ 4.7t Total turnover of the three operators 8.7t JPY ※Except of mobile telecom business is from the FY2006 account settlement brief of each company. ※As for Vodafone performance, figures in the interim results
Slide 36: Mobile telecom market size (operating income)
Mobile telecom market size （operating income） 87b Vodafone 6.8％ 354.4b KDDI 27.6％ NTT DoCoMo 844.4b 65.7％ Total operating income of the three operators 1.3t JPY ※Except of mobile telecom business is from the FY2006 account settlement brief of each company. ※As for Vodafone performance, figures in th
Slide 37: Mobile telecom market size (EBITDA)
Mobile telecom market size （EBITDA） 0.3t Vodafone 12.1％ 0.6t KDDI 24.0％ NTT DoCoMo 1.6t 63.8％ Total EBITDA of the three operators 2.5t JPY ※ KDDI: Mobile telecom business segment results in the FY2006 account settlement announcement. NTT DoCoMo：EBITDA of all business segments in the FY2006 account s
Slide 38: Trends in the share of 3G subscribers by carrier
Trends in the share of 3G subscribers by carrier Increase in growth potential due to increasing proportion of 3G users （％） NTT DoCoMo au Vodafone 100 75 50 25 0 FY03 FY04 FY05 FY06 *au started 3G service in April 2002 and Vodafone in Nov 2002. 38
Slide 39: Churn rate trend
Churn rate trend Downtrend of churn rate NTT DoCoMo ａｕ Vodafone 3.0% 2.60% 2.5% 2.13% 1.94% 1.91% 1.89% 2.0% 1.58% 1.80% 1.49% 1.44% 1.5% 1.28% 1.22% 1.21% 1.20% 1.01% 1.0% 0.77% Main Main reason reason for for churn： churn： Unable Unable to to connect connect to to NW NW Poor Poor HS HS portfolio p
Slide 40: Four Commitments
Four Commitments 1. 3G Network Enhancement 2. 3G Handset Enrichment 3. Enhancement of Content 4. Enhancement of Sales Structure and Branding 40
Slide 41: 1. 3G Network Enhancement
—= SoftBank 1. 3G Network Enhancement 41
Slide 42: 3G Network Enhancement – Cover blackspots
3G Network Enhancement – Cover blackspots Within this FY: NTT DoCoMo Forecast (newspaper reported base) over 44k Base stations Our target 46k Base stations Vodafone Network Behind Bldgs Expressway Subway Busy area Indoor Improve coverage dramatically 42
Slide 43: 2. 3G Handset Enrichment
—= SoftBank 2. 3G Handset Enrichment 43
Slide 44: 3G Handset Enrichment :1
3G Handset Enrichment :1 Launch SHARP “AQUOS” handset ｰ Launch “One-Segment” capable 3G Handset with 2.6 inch screen ｰ Introduce models especially designed for Japanese users One-Segment capable 3G handset “Vodafone 905SH” to be released in June 44
Slide 45: 3G Handset Enrichment :2
3G Handset Enrichment :2 Panasonic to join after SHARP, TOSHIBA and NEC NOKIA TOSHIBA SHARP NEC SHARP TOSHIBA NEC SHARP Music Mobile 3G World Thinnest One-segment Mobile Mobile First Super High-Definition 804N (NEC) 804SS SAMSUNG 905SH SHARP VGA LCD 904SH SHARP Panasonic and other domestic handset v
Slide 46: 3. Enhancement of Content
3. Enhancement of Content ｰ Collaboration with Yahoo! JAPAN ｰ SOFTBANK Group’s content development 46
Slide 47: Trend of users of both mobile and PC access devices
Trend of users of both mobile and PC access devices Over 42m internet users are Year 2004 using both mobile and PC access devices PC only 42.04m mobile only users Game machine and TV only Year 2001 Out of 79.48m users (Number of total Internet users) PC only 16.76m users mobile only Game machine and
Slide 48: Content convergence
Content convergence Fixed Internet Mobile Internet Access Broadband content anytime 48
Slide 49: Market size of mobile content
Market size of mobile content Mobile content market size has not matured due to the communication speed difference Fixed line Mobile Mobile MobileInternet Internet Internet Internet content content content content content content content content Market size content content content content content 市場
Slide 50: Realize Mobile Broadband
Realize Mobile Broadband Expand mobile Internet market with Broadband Fixed line Mobile Internet Internet Mobile Mobile Internet Internet content content content ｺﾝﾃﾝﾂ content content ｺﾝﾃﾝﾂ content content content content content content content content content content content content ｺﾝﾃﾝﾂ content
Slide 51: Internet Access: Now versus the past ten years
Internet Access : Now versus the past ten years To the “Open” Internet World beyond the closed world with limited accessibility to the Internet Internet Internet Internet accessibility: “Low” Internet accessibility: “High” Service Y!BB PC-VAN Nifty AOL provided Dedicated by other Service companies 5
Slide 52: Improve Internet access dramatically
Improve Internet access dramatically To the “open” and “large” world beyond the small world provided by communication operators Internet Internet Internet accessibility: “Low” Internet accessibility: “High” i-mode EZweb 6,028 5,045 3,393 NTT DoCoMo au *Figures are from each operators’ IR material as
Slide 53: Leverage Yahoo! JAPAN's strength - Appeal
Leverage Yahoo! JAPAN’s strength - Appeal Already ranked No.1 most attractive site in the mobile market Fixed line Mobile Mobile MobileInternet Internet Internet Internet Ranked the No.1 registered bookmark!*2 33.1b page view/month* 1 1.4b page view/month*1 *1 Number of total monthly page view in Ma
Slide 54: Leverage Yahoo! JAPAN's strength - Content
Leverage Yahoo! JAPAN’s strength - Content Seamlessly use the most popular content sites Fixed line Mobile ショッピング オークション More convenient 54
Slide 55: SOFTBANK Group's Content Development
SOFTBANK Group’s Content Development 55
Slide 56: Yahoo! Streaming – Video Portal Renewal
Yahoo! Streaming – Video Portal Renewal Integrated TV Bank and Yahoo! Streaming on May 1st Japan’s largest amount of content Uniquely developed video search Video posting by viewers Content images: withheld to protect the managed rights 56
Slide 57: Yahoo! Streaming – Advertisement Model
Yahoo! Streaming – Advertisement Model -In May began charging for video advertisement . All slots are sold out. ② ① Distribute video advertisement by streaming to first page of VOD content ① ② Banner advertisements collaborate with video advertisement ③ Banner advertisement to portal sites ③ Collabo
Slide 58: Yahoo! Streaming – Enhance search function
Yahoo! Streaming –Enhance search function Developed next generation video search engines with high hit rate Collaborate various search functions with video advertisement PPC* Video advertisement Encyclopedia (Wikipedia), Blog search (kizasi） (Began charging in May) Advanced search Search category Re
Slide 59: Yahoo! Streaming – Video posting
Yahoo! Streaming – Video posting Scout new stars who will be popular in this Internet era Opportunity to appear on the original broadband drama starring Rei Kikukawa “Short Movie” “Travel Report” “Pet Performance” （C)Riichiro Majima／IDIOTS 59
Slide 60: Yahoo! Streaming – Enhance content
Yahoo! Streaming– Enhance content Enhance content with live distribution, exclusive/ anticipatory distribution, etc. Content images: withheld to protect the managed rights 60
Slide 61: Yahoo! Movies On-line Theater
Yahoo! Movies On-line Theater Launched service on April 25th Approx. 100 Hollywood movies with unlimited viewing for a monthly fee of 997JPY (incl. tax) The Island The Polar Express BATMAN RETURNS until May 23 2006 until April 18 2007 Full-fledged video content distribution until May 23 2006 Collabo
Slide 62: On-line Game – Shin Sangoku Muso BB
On-line Game –“Shin Sangoku Muso BB” Biggest packaged software title to be provided to “Yahoo! BB” users on-line* Sales/Operation/Marketing Strong backup by Group Network Data Center *Technical test starts in May 2006, official service to begin this year (C)KOEI Co., Ltd. All rights reserved. Presen
Slide 63: On-line Game – GungHo Games
On-line Game –GungHo Games Aim to become an On-line theme park offering a “comprehensive commutainment portal site” - Promote multi-use of the content offered by the GunHo group - JV “GunHo Games” Avatar Game Characters and items from GunHo’s Line-up of various games popular games Community A variet
Slide 64: Horse Race
Horse Race “Odds Park”, Japan’s first entertainment horse race portal -Launched on 2nd April 1．Video streaming of all races (including both Live picture and past races) 2．High usability with vote function 3．Promotion collaboration with Yahoo! JAPAN Expand the local horse race fan base through collab
Slide 65: Corporate Services - Suppleva
Corporate Services -Suppleva ＜ Case study: Sales increase effect of product introduction ＞ 130% 127.4% 123.8% 124.1% 121.3% 120% 111.0% 110% 105.4% 100% 90% 94.0% 80% 70% Suppleva introduction 60% Status No. of terminals Introduced 3,400 Contracted (Under preparation) 19,000 *When non-Suppleva shop
Slide 66: Corporate Service - WVIT
Corporate Service -WVIT High value-added video advertisement model →Now expanding on an experimental scope Media Acceptance ¾JR East (Under demonstration) 11.3% Good Other ¾2 private railways (Under study) Content edit/distribution center Station/rail yard 88.7% [ Good 88.7% ] Advertisement Source:
Slide 67: 4. Enhancement of Sales Structure and Branding
4. Enhancement of Sales Structure and Branding 67
Slide 68: Enhancement of Sales Structure
Enhancement of Sales Structure Enhance existing channels Vodafone Shop Non-exclusive On-line shop shops Develop a Comprehensive Further develop telecom shop corporate customers by expanding traded services Utilize Sales resources in the Group 68
Slide 69: Synergy Effect
Synergy Effect 1) Cost reduction effect 2) Sales expansion effect 3) Service improvement effect 69
Slide 70: 1. Cost reduction – Integration and full-IP
1. Cost reduction – Integration and full-IP Cost reduction from backbone network integration, and network optimization from full-IP Emergency call Other operators PSTN Int’l code network （Police/Fire） Int’l operators Network cost reduction effect: tens of billions JPY per annum Backbone Network Inte
Slide 71: 1. Cost reduction – Reduction of fixed cost
1. Cost reduction – Reduction of fixed cost Reduction in technical, Sales, Administration, and IT costs 9Reposition within the Group IP Technology・Sales・ (Reduction of outsourced operations) Content 9Shared service (Cooperation by division or functions such as technical, sales, etc.) Corporate・Solut
Slide 72: 2. Sales expansion
2. Sales expansion Growth from mutually exploiting Channels Utilize Utilize the the strong strong mass mass retailers’ network （approx. retailers’ network （approx. 3,000 3,000 shops） shops） that that the the SOFTBANK SOFTBANK Group Group ally ally Mass Appliance Retailers Vodafone Shop Synergy Inter
Slide 73: 3. Service improvement – Consumer service illustration
3. Service improvement – Consumer service illustration ¾Enhance content service and improve data ARPU through collaboration within the Group companies In motion ＋ At home 73
Slide 74: 3. Service improvement – Corporate service illustration
3. Service improvement – Corporate service illustration ¾Realize the value of the new “Mobile Office” work style ¾Aim to expand corporate customer base Vodafone Connect Card High speed data communication available from anywhere Etherconnect Managed AP Mobile Router ¾Free Address ¾WLAN/IP Phone ¾On-l
Slide 75: 3. Service improvement – Fixed and Mobile convergence
3. Service improvement – Fixed and Mobile convergence Provide all Broadband content seamlessly Content Portal In In motion motion At At cafe cafe Infrastructure At At home home At At office office 75
Slide 76: Swift Action
Swift Action Smooth migration to the new structure • Announced new management before completion of acquisition • Completed transfer to Shiodome head office （on the 2nd business day after completion of acquisition ） • Continue to maintain good relationship with the Vodafone Group 76
Slide 77: Current situation with Vodafone K.K.
Current situation with Vodafone K.K. A large part of revenue and profits from Infrastructure business as a telecom carrier Content Vodafone Live! Infrastructure 77
Slide 78: Mobile business – Future profitability illustration
Mobile business – Future profitability illustration Higher profitability from content business provided by the Group Content Vodafone Live! Infrastructure 78
Slide 79: SOFTBANK's Future Goal
79 Business Finance Commerce Platform/Portal Infrastructure Publication SOFTBANK’s Future Goal Sports Game Broadcast Music
Slide 80: Lifestyle Company in the 21st Century
Lifestyle Company in the 21st Century Amusement: Broadcast, sports, game Housework: Auction, on-line shopping Travel: hotel, Airport Business; Mobile office Finance: On-line trading Healthcare: home healthcare School: On-line education Broadband available to all living people everywhere 80
Slide 81: SOFTBANK's Fundamental Management Policy
SOFTBANK’s Fundamental Management Policy Endeavoring to benefit society and the economy and maximize enterprise value by fostering the sharing of wisdom and knowledge gained through the IT revolution. 81
Slide 82: http://www.softbank.co.jp
http://www.softbank.co.jp This presentation contains forward-looking statements including statements regarding future events, future strategies or future performance of SOFTBANK CORP. that involves risks or uncertainties. In evaluating these statements, a recipient thereof should specifically consid