Taxing mobile connectivity in Asia Pacific

The government and private sector in Japan have intensified their efforts to make a decisive ‘digital leap’ – a shift away from the incremental modernisation of legacy systems towards a bold, comprehensive transformation aimed at establishing a fully integrated, human-centred digital nation. By examining Japan’s recent digital policies and initiatives, this research reveals the strategic pillars and underlying factors supporting the country’s accelerated 'digital leap'.

For much of 2025 and early 2026, the development of sovereign AI and sovereign digital service strategies – including the role telecoms could play in supporting them – was regularly in the news. For operators, the strategies represent an opportunity to support national agendas, reassert their relevance in the digital economy and drive new revenues based on their position as highly regulated and trusted service providers. This analysis looks at the sovereign messaging conveyed in sessions at MWC from operators, vendors, regulators and cloud providers.

Although significant progress has been made extending network coverage, rural populations remain 28% less likely to use mobile internet than their urban counterparts, and 30% less likely to regularly engage in online services such as messaging, banking and education. This latest research examines how the digital divide affects people living in rural areas, and how governments and regulators can address this challenge.