Jupiter Telecommunications Financial Results for FY2008

Total revenue at Jupiter Telecommunications (JASDAQ: 4817) increased by ¥29,800 million, or 11% from ¥264,508 million for the year ended December 31, 2007 to ¥ 294,308 million for the year ended December 31, 2008.

The total number of subscribing households (the number of households that subscribe to one or more services) at consolidated system operators increased by 508,300 or 19% from December 31, 2007 to 3,167,400 households at December 31, 2008. By type of service, cable television subscribers grew by 369,000 households or 17% from December 31, 2007 to 2,557,000 households at December 31, 2008. The number of high-speed Internet access and telephony services subscribers increased by 275,200 or 23%, and 257,200 or 20%, respectively, to 1,486,800 and 1,569,800 households, respectively, as of December 31, 2008. The bundle ratio was unchanged at 1.77 as of December 31, 2008 from December 31, 2007. However, excluding the impact of five acquisitions in 2008, the bundle ratio increased to 1.82 as of December 31, 2008. ARPU increased from ¥7,687 for the year-ended December 31, 2007 to ¥ 7,789 for the year-ended December 2008.

Introduced in fiscal 2006, the J:COM Group’s digital video recording service (HDR), which enables the recording of HD broadcasts to an internal hard disk drive using a set-top box, has also experienced steady growth in its number of subscribers. HDR offers a variety of benefits including enhanced convenience, becoming popular for both its features and perceived cost/performance ratio to users. As of December 31, 2008, J:COM had 404,800 subscribers to its HDR service. This contributed significantly to ARPU growth. Furthermore, the Company launched a new “HDR Plus” high-specification and functionality service across all service areas on December 17, 2008.

“HDR Plus” features an enhanced DVD drive with digital high-definition video recording capability as well as an expanded 500 gigabyte hard disk. It delivers approximately four times more recording capacity as compared to the conventional HDR service. With the introduction of “HDR Plus”, J:COM expects to increase its base of digital service users while improving customer satisfaction.

                                 June 07  Dec. 07  June 08  Dec. 08
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"HDR" STB with Hard Disk Drive   186,300  254,600  313,700  404,800