Sep./Oct. 2003 |
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Market Snapshot - Japan
RFID- leading the way to ubiquitous computing
Each month the Japanalyzer takes you
inside one of Japan’s IT industries- showing you who’s who and where
the market is heading. This month we focus on the recent spate of
RFID activity in Japan whereby new research organizations are
forming and inspiring trials aimed at creating ubiquitous computing
environments. Radio Frequency Identification (RFID) is a method of
identifying unique items using radio waves. “RFID tags” are small
devices; often in labels that can transmit information over a short
range for identification purposes- a big advantage over bar code
technology, which requires a laser to be in sight of a bar code to
read it. Radio waves do not require a line of sight and can pass
through materials such as cardboard and plastic. The big promise of
RFID is in its ability to make logistics “aware” as each physical
item in the supply chain can be tracked in real-time. For several
Japanese companies and organizations, this promise extends to
pervasive computing and the ability to bring network computing even
further into everyday life.
Leading the RFID movement on an
international level, and most recently Japan, is the Auto-ID Center,
founded at MIT in 1999 with the aim of creating a global system for
tracking goods using a single numbering system called the Electronic
Product Code. After establishing labs at Cambridge (UK) in 2000 and
the Univ. of Adelaide (Australia) in 2002, the Center opened a lab
at Keio University in January of this year. Prof. Jun Murai, who
leads the Keio lab, is professor of environmental information at
Keio University, president of the Japan Network Information Center,
and general chairperson of the WIDE Project (a Japanese Internet
research consortium). A pioneer in building the Internet in Japan in
the early 1980s, Prof. Murai is expected to lead the Center in
continuing its innovations. Several companies in Japan are involved
in leveraging the Auto-ID Center’s specifications to pilot new
applications based on RFID. Last month, a system for tracking
shoppers as they browse for books was demonstrated at the Tokyo
International Book Fair by Sun Microsystems (who worked on database
component of the project), Dai Nippon Printing, NTT, and Dutch
chipmaker Philips Semiconductor (who provided the RFID chips.) By
placing tag readers on the shelves of bookstores, the new system
allows booksellers to receive information such as the range of books
a shopper has browsed, how many times a particular title was picked
up and even the length of time spent flipping through each book.
Yet the Auto-ID Center is not the
only organization in Japan promoting RFID for the supply chain. In
March of this year, several major Japanese companies announced that
they had joined forces to back a new group called the Ubiquitous ID
Center. The stated goal of the center is “to develop technologies
that will enable the widespread use of RFID and other pervasive
computing technologies.” Among the center's backers are Hitachi, NEC
and Toppan Printing. Prof. Ken Sakamura, a professor of Information
Science at the University of Tokyo and the chief architect of
Japan's TRON Future Computing Project, runs the center. Unlike the
Auto-ID Center, which seeks to create a single numbering system, the
Ubiquitous ID Center uses a meta-code format. Meta-tags stored on
the RFID chip refer to other number systems, such as the JAN Code in
Japan, the Universal Product Code (UPC) in the US and the
International Standard Book Number.
On an industry-level, RFID has
inspired real world trials by companies realistically contemplating
the technology to improve efficiency. For example, the technology
consortium that represents the Japanese Airline industry, the
Advanced Airport Systems Technology Research Consortium, is testing
the "hands-free" delivery of luggage through the radio tagging of
luggage. The consortium believes that with such a system in place,
”bags could be picked up from travelers' homes by courier, processed
and then loaded into the aircraft without further involvement of the
passenger.” The consortium will test the system at Singapore's
Changi, Amsterdam's Schiphol and New York's John F. Kennedy
International airports later this year. The Narita Airport Authority
is aiming to commercially launch the system in two to three years.
In the wireless communications industry, key players NTT Docomo and
KDDI are doing pilots with shoppers in Tokyo’s Roppongi and Ginza
shopping districts. Individuals participating in the pilot, receive
an RFID device that can be attached to their mobile phone. Users can
ask for promotional information via their mobile phone for whatever
store they are visiting, courtesy of the RFID’s transmission of the
users ID to a nearby tag reader. Once the in-store system identifies
the user, an email is sent to the user via e-mail. The KDDI Ginza
pilot is expected to have 500 users while the Docomo trial in
Roppongi will be test on a group of 4500.
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This
Month's Bridge Builder
Featuring
the real voice of IT across the Pacific
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Sep./Oct., 2003
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Honesty
and Acceptance: the Keys to Building Intercultural Trust
Mr. Akio
Orii, VP-Marketing & Business Development, KDDI Labs USA, Inc.
Differences in self-expression during
Japanese and American encounters are often explained from the
point of high-context and low-context cultures. Since Japan, a
high-context culture, is a homogeneous country, people pretty
much share similar lifestyles, cultural backgrounds and
experiences. Thus, their communication activities are
organically driven by understanding each other through careful
awareness of context, called “sasshi” in Japanese, instead of
completely stating one’s thoughts and/or feelings. Human
communication in such culture requires this “sasshi” ability
to reach out for greater understanding of each other. By
contrast, in low-context cultures as typified by the U.S. and
some European countries, diversity in religion, historical
background of family, and educational environment encourage
people to be unique individuals. They respect each other’s
individuality and therefore tend to clearly express themselves
to others. In such low-context culture, having the skill of
“clear self-expression” is critical to increasing
understanding levels between communicators and creating trust
amongst each other. It sounds simple in theory, but the
differences in these communication styles can be understood
only through one’s actual experience and continuous efforts in
everyday life. Mr. Akio Orii, VP of Marketing & Business
Development at KDDI Labs USA, Inc. (based in Silicon Valley)
is one of those people who has both “sasshi” and “clear
self-expression” skills through his extensive experience and
who carries these skills into business practice. His belief
that “accepting each other’s abilities is the foundation of a
trusting relationship” is the starting point from where people
from different cultures are able to cooperate each other.
Q. Please tell us about your initial
motivation to come to the U.S. and your current role at KDDI
Labs USA, Inc.?
A. It was in May of 1993 that I was assigned
to the SF branch of KDD America. Before that, at the former
KDD, I had been involved with strategic planning for global
data communications services after 4 years in the legal
department there. In 1989, KDD America was established as a
U.S. corporation by combining several KDD liaison offices that
had been here since the 60’s. This move was in response to the
market entry by many foreign carriers after the 1985
initiation of Japan’s open market policy for the
telecommunications industry. KDD America did not introduce its
own services in the U.S. until 4 years after establishment. I
dealt with the resale-based and facilities-based license
application to the U.S. government, the development of
strategic alliances with UScarriers, and the introduction of
telecom services to U.S. market with the cooperation of our NY
Headquarters.
After some time working in NY and serving as
the General Manager of SF branch office, in April of this year
I transitioned to KDDI Labs USA, taking over responsibility
for marketing and business development. In 1999, when KDDI
Labs USA was opened here, its role was to conduct research on
state-of-the-art U.S. technology, native to Silicon Valley,
and report back to Japan. These days however, we are engaged
in three major areas. First, a broad range of R&D activities
that support research at KDDI Labs and in conjunction with
local universities such as Stanford, UC Berkeley, UC Davis, UC
Santa Barbara and so forth. Among our own research activities,
Network Security and IPv6 in particular, have started showing
successful results that are expected to add more value to
KDDI’s global communications services. The second area is
research on cutting-edge technology and market trends in the
U.S. This ranges from research on specific topics requested by
KDDI Labs and other KDDI group companies to detailed research
on technologies and services that would directly increase the
value of KDDI services. Finally, the third area is marketing;
we promote a wide range of technologies developed at KDDI Labs
at NAB, etc. in order to diffuse them into the U.S. market and
not just Japan.
Q. What are the main research areas that
your lab targets recently?
A. KDDI advocates itself as a ”Ubiquitous
Solutions Company”- thus it provides comprehensive services
ranging from wired to wireless networks as well as voice and
data communications. In the light of this mission, our target
research areas are: broadband, content delivery and
management, IPv6, security, wireless technology and more.
We’ve seen both positive and productive relationships with
U.S. companies emerging and broadening through our
technologies. And we’ve undertaken joint research and
development with American companies that own advanced
technology. For U.S. ventures seeking market entry into Japan,
we work with them towards successful product introduction
through: testing of their potential using our infrastructure,
design proposals based on the test results, and in some cases,
joint development.
Our core team consists of two PhD holders,
our President and CTO, who are practicing experts in
Application and Network technology, respectively. I round out
the team with over 10-years of business experience in the U.S.
telecommunications industry. Each of us brings our knowledge
and experience together to accomplish our mission. We have
been involved with many deals with research institutions,
companies, and universities and going forward we wish to
cultivate new collaborations with other companies.
Q. Through your over 10-year business
experience here in the U.S., how do you perceive the
similarities and/or differences between Japanese and American
cultures?
A. Let me start with the cultural
differences. As many people would say, it is often necessary
for Americans to make a clear line between “Yes” and “No” in
any given case. In the U.S. culture, saying “No” is
appropriate as long as there is an existing trusting
relationship, where each person’s ability, knowledge and
performance are mutually recognized. I don’t think
honesty-(saying “no”) would make a relationship go sour.
Rather it’s out of genuine consideration that we try to avoid
wasting other people’s precious time and resources. Once I was
an employee on loan to an American carrier where KDD had
invested then, I was the only Japanese person there back then
dealing with the company’s new business plan and the
introduction of their new products to the market. The company,
although small, allowed me to learn how to do business in
America, and understand the American decision-making process
and how fast it can be. This was the real time when I truly
experienced cultural differences.
On the other hand, the bottom line is that
we are all people no matter where we come from. It all comes
down to one’s own personality that is the foundation of
personal and business relationships. I often hear that
“relatively speaking, English does not require a linguistics
system as complex as that in Japanese”. However, factors such
as one’s position and negotiating power can affect one’s
speech style even in English. In addition, linguistics
characteristics vary even between East and West coasts. So it
is very important for us to fully understand the business
culture and customs by region as well.
Q. Through your own experience here, what do
you think are the key points of successful business in the
U.S.?
A. As I mentioned earlier, trust lies
beneath both community and business in building a solid
relationship. It is not like a “back-scratching” relationship,
but one that is based on acceptance. The logical approach is
indeed important, but that has to be persuasive to the other
party. I believe that “honesty” is the crucial point in every
human relationship: for example, learning how to ask people
about things you don’t know or sometimes listening to expert
opinions. It really adds up and before you know it, a positive
relationship is formed. What’s more, in order to keep the
ideal “give” and “ take” business relationship, it is
important to always work on having something to “give”. As
long as you’re doing business in America, English skill is a
basic requirement. However, English is really just a tool to
carry information, one’s will, and ideas to others. In that
sense, building up accurate information well articulated in
one’s native language, Japanese, is much more important. And I
believe that in the end, this contributes to establishing a
reciprocal relationship both socially and personally.
Thank you Mr. Orii. For more information
regarding KDDI Labs USA, Inc. and their research activities,
please visit their website at
http://www.kddilabs.com .
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Global
Venture Forum 2003
October 20-21, 2003, Mydome Osaka
This forum offers a meeting place for high-tech
venture businesses with advanced technology and products in and outside
Japan. Individual presentations of approx. 30 min. are given by each
company, followed by business negotiations and information exchange by
interested companies on sales, technological tie-ups, joint venture,
license production, fundraising, etc. (See our interview with
Mr. Ryoichi
Nakano, Osaka Chamber of Commerce and Industry, Manager, GVF
Secretariat).
Internet and Mobile
2003
October 29-30, 2003, Mydome Osaka
An exhibition of Internet technology and products,
mobile phone technology and products, information appliance technology and
products, security, e-learning, and broadband. This program runs
concurrent with the Intermedia Forum.
Database Tokyo 2003
October 29-31, 2003, Tokyo
International Forum (Exhibition Hall)
Sponsored by the Japan Database Promotion Center,
DPC, which reports on Japanese Databases, Electronic information services
in Japan and others.
Storage Networking World 2003
November 11-13, 2003,
Tokyo BigSight
This conference and expo will tackle key issues and
feature case studies on such topics as the latest storage networking
technologies and its future, storage outsourcing, SAN interoperability,
managing storage and server assets, the role of storage systems within the
Internet infrastructure and integrating diverse environments, and storage
network implementation.
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