5G subscriptions in Japan will surpass 4G connections in 2025. 5G will account for 70.1 percent share of the total mobile subscriptions in 2026 due to 5G network expansions by mobile operators including NTT Docomo, KDDI, Softbank and Rakuten.

NTT Docomo led the mobile services market in Japan in terms of mobile subscription share in 2021, followed by KDDI and Softbank Japan. NTT Docomo will remain the leading postpaid services provider in Japan through to 2026, given its focus on mobile network expansion and strong presence in the postpaid segment, according to GlobalData.

Mobile services revenue in Japan is forecast to register a CAGR of 5.1 percent from $72.7 billion in 2021 to $93 billion in 2026, supported by rapid growth in smartphone subscriptions and mobile data service revenues, Aasif Iqbal, Telecom Analyst at GlobalData, said.

Mobile voice service revenues in Japan will continue to decline during the forecast period. Mobile data service revenue in Japan will increase at a CAGR of 7.5 percent during the outlook period, primarily driven by growing mobile internet subscriptions, and increasing adoption of higher average per user revenue (ARPU)-yielding 5G services.

The monthly mobile data usage is expected to increase significantly from 9.5GB in 2021 to 20.6GB in 2026, driven by the rising consumption of online video and social media content on smartphones and data-centric packages.