“MNP One-Stop System Launching on May 24 in Japan: What You Need to Know”

The “MNP (mobile phone number portability) one-stop system”, which the Ministry of Internal Affairs and Communications has been pushing for introduction, will start on May 24. Initially, four major carriers, Docomo, KDDI, Softbank, and Rakuten Mobile, will mainly introduce this system, but Japan Communications will also participate in the MVNO. In addition, Japanet Takata, which SoftBank provides Y!mobile lines and provides services in the form of line wholesale, will also be subject to the MNP one-stop system.

Until now, in order to transfer a phone number to another carrier with MNP, it was necessary to obtain a reservation number at the source of the move, enter the number at the destination, and make a new contract. For users, it was literally double the hassle. When the MNO one-stop method is introduced, it will be possible to transfer the phone number as it is simply by completing the procedure on the carrier side. If the simplification of procedures promotes MNP, it is likely that competition will intensify.

One-stop solution to remove MNP hurdles, each company responds online

In 2020, the Ministry of Internal Affairs and Communications proposed making MNP a one-stop service in its “Action Plan for the Development of a Fair Competition Environment in the Mobile Market.” After that, concrete consideration progressed, and in 2022, the expected schedule for one-stop was announced. The general reason for the decision to introduce the system is that there is a tendency to detain carriers who are planning to move out of the company when they ask them to issue a reservation number, and this hinders competition.

In 2021, we will abolish the fee and prohibit detention when issuing an MNP reservation number. In the past, there were cases where points and coupons were issued when trying to proceed with procedures on the web or by phone, but this is no longer possible when the user indicates the intention of MNP. On the other hand, the MNP reservation number is valid for only 15 days, and depending on the situation at the new destination, there are cases where the grace period is only about one week, making the procedure complicated for users with limited time. Making MNP a one-stop shop can be said to be a measure to reduce such trouble.

It was decided at the time that some MVNOs would be too small to be able to respond systematically immediately, and that the current “two-stop method” would coexist from the perspective of user protection. Rather than eliminating the MNP reservation number itself, the content of the one-stop process is to allow the transferee carrier to issue it semi-automatically from the API prepared by the transferor carrier.

The MNP one-stop system announced by the six companies has been introduced in line with this study. Only online contracts are eligible, and stores will continue to use the MNP reservation number. For example, in the case of Docomo, the MNP one-stop method is applied only to new contracts for Docomo Online Shop and ahamo. In the case of the corresponding 6 companies, it is possible to move in and out without a reservation number.

Although MNP was launched in 2006, the usage rate was sluggish. According to data released in March 2023 by the research company MMD Research Institute, only 24.6% of users had experience with MNP. Under these circumstances, the Ministry of Internal Affairs and Communications is trying to lower the hurdles for MNP because this system will lead to promoting competition between carriers and between carriers and MVNOs. If more users move to other companies with MNP, there is a possibility that the price will be reduced. There will also be carriers with more services to keep users on their premises.