Using unapproved modems in Japan: What are the risks?
The sale and use of data communications equipment, including non-approved modems, has grown sharply in Japan over the past few years. As individual importers, mail-order companies, and small electronics shops bring unapproved equipment into Japan at an increasing rate, a question that needs to be asked is whether restrictions on the use of non-certified telecommunications equipment are valid, or whether they are just typical governmental red tape.by Steven Farrell
"So you did you buy a new, faster modem yet?"
"Not yet. I made a trip to Akihabara and came close to picking up the Hayes Optima V.FC for ¥67,000. But then I realized that I can mail-order one from the States for about half that price."
"But those US modems aren't made for Japan. I've heard the phone system uses different specifications. Will a US-model modem work OK here?"
"Hey, that's a good question. Come to think of it, I read in Computing Japan last year that modems need some sort of government approval to be used in Japan. Maybe I'd better check up on this a bit more."
This type of conversation is occurring with increased frequency in Japan, so much so that such forums as Japan's Electronic Frontier (efj) and Usenet's fj.net.modems topics recently have featured discussions about the use of approved/unapproved modems. By all accounts, the modem market in Japan is booming, with double digit growth. So too, it would seem, is growth of the "unapproved" modem market.
What is an approved modem?
In accordance with the 1985 Telecommunications Business Law, telecom equipment (such as modems, telephones, PBXs, fax machines, and ISDN equipment or packet switching equipment) that is to be connected to Japan's public network requires regulatory approval by JATE (Japan Approval Institute for Telecommunications Equipment). JATE was created by the Ministry of Posts and Telecommunications in 1985 to take over what was previously NTT's responsibility: overseeing the telecommunications equipment approval process. JATE's charter is to ensure that new equipment does not disrupt or damage the public telecommunications network, and it does this by requiring manufacturers to submit specific data proving compliance with Japanese specifications.An "approved" modem, one that has successfully passed through the JATE review process and received an approval label, might also be thought of as a "localized" modem. Almost all foreign telecommunications equipment manufacturers who are serious about selling their product in Japan seek JATE type approval. One reason is that because of the Telecommunications Business Law, most reputable Japanese distributors of telecommunications equipment will not buy or sell unapproved products. Nevertheless, the growing population of modem users in Japan, the price differential between modems sold overseas and those sold in Japan, and the fact that US manufacturers are making today's hot modem products these days have created a steady supply of unapproved modems making their way into the market.
Will it work?
What, in fact, are a buyer's risks in using an unapproved modem? The million-dollar question is whether the modem will work properly. Almost all unapproved modems will have some degree of glitch factor (problems or anomalies experienced when hooking the modem to the Japanese network). The problems can range from minor annoyances to "fully cooked" modems that will never work again. A Global Village modem, for example, may need a step-up transformer when used with a server. A Supra may need a step-up transformer to work at all. But use a step-up transformer with a US Robotics modem, and you might just fry it. And using an unapproved modem with an office PBX increases the risk of functional problems.In short, if you are using an unapproved modem, don't expect a bumpless ride to connectivity. Products that do not have type approval for Japan almost certainly have not been designed or modified for use in Japan.
The telephone systems of Japan and the US are somewhat compatible, as is physically evident by the common use of an RJ-11 modular jack interface. There are differences in the electrical physical interfaces between the countries, however, that influence a modem's functions. An unapproved modem that seems to work fine in Japan may actually be causing noise on the analog lines that could interfere with other telephone subscribers (or so says NTT). And don't underestimate the glitch factor, or be surprised if sooner or later your unapproved modem develops problems.
While your unapproved modem is probably functional to some degree in Japan, other types of unapproved equipment, such as ISDN (Integrated Services Digital Network) or leased-line data communications equipment, may not work at all. For example, while NTT may have based its ISDN technology on the international CCITT (Consultative Committee for International Telegraph and Telephone) standards, NTT's ISDN differs from other ISDNs of the world, and European ISDN products not modified for Japan will almost certainly not work here. For all its headaches, the approval process forces vendors to design or modify their products so that they will not only work in Japan, but work safely and legally.
Service with a frown?
Don't expect service with a smile if you buy an unapproved modem. International sales representatives of foreign manufacturers are difficult to reach, and technical support is elusive (not to mention expensive when calling long-distance), and resellers are often not capable of, or not interested in, providing such support. While writing this article, I tried to contact two manufacturers, and it took several weeks to get an initial response in the form of e-mail. I suspect I could expect similar service if I bought their product.You have the right to connect, but...
Another risk that users of unapproved equipment face is having NTT cancel their service contract. Article 48 of the 1985 Telecommunications Business Law states that Type 1 carriers (such as NTT and KDD) cannot refuse a request to connect to or utilize the public network "with the exception of equipment that does not comply with the Technical Compliance Conditions of Approval as defined by the Ministry of Posts and Telecommunications." While this article does not explicitly make it illegal to sell or use unapproved equipment, it does give carriers the right to refuse service to users of such equipment.
Article 108 of the same law prescribes that "users of equipment that does not comply with JATE's technical requirements, but is falsely bearing a JATE Approval Label or another label that could be confused with an Approval Label, is punishable by a 300,000 yen fine." Interestingly, while this article spells out punishment for persons using non-compliant equipment that bears a counterfeit label, the Telecommunications Business Law does not prescribe penalties for individuals or businesses caught connecting equipment that lacks JATE approval or an approval label.
"If we catch a customer using unapproved equipment, we can cancel their service contract," says Masami Kato, general manager of NTT's Technology Research Department (which, until 1985, processed all type approvals in Japan). "We usually won't disconnect the customer right away," Kato adds, but "we will ask the customer to either replace the equipment with JATE approved equipment, or we will test the equipment for the customer."
NTT will process Voluntary Compliance Type Approval Applications for products that are not to be sold on the market, such as equipment for demonstrations and trade exhibition. In addition, customers who wish to use unapproved equipment that they own can call NTT and have the equipment tested for compliance, for free. If you are looking to have your unapproved modem blessed, however, the chances it will fully comply with all of NTT's requirements and pass the testing are slim.
It is not illegal to sell unapproved modems in Japan because, according to both JATE and NTT, it is feasible that a customer might want to use a phone or modem within a private network. For instance, a large company or university might set up their own internal voice communications system with phones that never connect to the public network. In such a case, the equipment does not need approval.
Thus the law, as written, requires JATE approval before connection to a public network, but not prior to sale. This loophole allows merchants in Japan to sell unapproved modems without knowing or caring how the end user intends to use the equipment. In short, the manufacturer, distributor, and reseller are completely free from any legal liability. It is the users who could have their service cut if caught using unapproved equipment, and be held liable in the unlikely event that an unapproved modem were to damage the network.
A buyer's decision
NTT tells Computing Japan they hope that the use of unapproved modems is a temporary fad; the carrier would prefer not to have to take a more aggressive approach to the issue. The company is, however, disturbed by the prospect of mail-order companies and local merchants ignoring the spirit of the law and mass-selling unapproved equipment into the market. NTT admits that it would like to see the law changed, so that all analog telephone equipment would require approval prior to being sold (rather than prior to being connected to the network). Whether or not NTT will take steps to bring about a change in the law, or start to look more carefully at what equipment their subscribers are using, remains to be seen.The prices for foreign unapproved modems are enticing, and Japanese modem distributors are often ill-prepared to take calls in English or supply English manuals. In the end, it is the buyer who gets a good price on the unapproved modem, but it is also the buyer who assumes the risks of subpar functionality and service. And it is the buyer, not the manufacturer or reseller, who assumes the risk of service cancellation and legal liability. An unapproved modem may still be the solution you are seeking, but be sure to consider the associated risks.
Steven Farrell is manager of business development at Incom Ltd., a telecommunications regulatory consultancy and equipment distributor. He can be contacted via the Internet at farrell@twics.com.
For more information...
On JATE's rules, contact the Japan Approvals Institute For Telecommunications Equipment at 03-3591-4300.
On NTT testing, contact Nippon Telegraph and Telephone Corporation, Technology Research Department, at 03-3509-4595, 3721.
On JATE-approved modem availability/pricing, contact Incom Ltd. at 03-3288-
How unapproved modems enter Japan
Are NTT and JATE fighting a losing battle? Perhaps, but there are some positive notes. Both JATE and NTT officials outwardly praise the fact that the vast majority of non-Japanese manufacturers work hard to understand and meet Japan's type approval requirements. The root of the problem, they say, lies elsewhere. (My extensive search revealed only one small US manufacturer who is openly ignoring the type approval laws in Japan while selling their modems.)
There are more and more foreign businesses and foreign residents in Japan representing a lucrative niche market for foreign-made telecommunications equipment. This market is attracting two types of small resellers who are responsible for the majority of unapproved modems in Japan: foreign mail-order companies, who often buy unapproved products from manufacturers that have JATE approval then resell to Japan independently (often to the chagrin of the manufacturer), and small electronics merchants who are aware of the type approval laws but choose to sell unapproved direct imports.
Tales of supply and demand
A merchant (a large Akihabara electronics retail outlet selling a US-made unapproved low-end modem): "These modems are imported directly from the United States. No, they don't have approval for Japan, but that's not a problem. Functionally they work well, and we aim to sell them to people running English Macintosh systems. The modem manual is in English, the products work fine, and we have had no complaints. In fact, they are popular and sell well." (Keep in mind that this was a sales pitch from a fast-talking Akihabara clerk.)A US electronics mail-order company selling unapproved modems via mail order to Japan: "These models are the US version of the modem, but we have sold hundreds of units to Japan and have had no problems. None of them have come back. We are unaware of any law in Japan that prohibits the use of our modems there." (Again, a sales pitch.)
A small US modem manufacturer: The company would not comment, but this well-known modem manufacturer has decided to enter Japan through the back door by selling their unapproved modems directly through an outlet in Akihabara. The company has even translated its marketing material into Japanese for the store displays.
Buyer A: "This is strictly a red tape issue. As long as the price differential remains large, I will buy from overseas. In general, these modems should do just fine. "
Buyer B: "I know that the modems don't have approval, but I am strictly using them for personal use at my own risk. If I were running a business, I would definitely think twice about using unapproved items."
Buyer C: "My modem doesn't seem to function properly here. I guess I wasted my money on it."
Thou shalt not cause problems
Some foreign manufacturers charge that Japan's regulatory approval is excessive, expensive, and tedious. Both JATE and NTT officials, however, counter that the purpose of the approval system is to ensure that users of the telecommunications network do not damage the network or interfere with other users. The telecommunications network is public property, they point out, and unapproved equipment could cause electrical damage or interrupt efficient network operation.JATE prescribes a set of requirements designed to maintain the integrity and efficient use of the public telephone network. Among the more interesting requirements that force foreign manufacturers to modify their modems before selling here are:
* Limitation of automatic redials
In Japan, if the number called is busy, a maximum of two automatic redials within three minutes is allowed. NTT maintains that the widespread use of immediate auto-redial functions could congest and overload their circuits.
* Automatic disconnect
If no answer is detected when a call is placed, the caller side must automatically disconnect within one minute. This is a shorter period than is commonly seen in modems made outside of Japan (255 seconds is a common value). NTT says that it is seeking to clear the circuits more quickly to avoid congestion.
* Output power level restrictions
Modems made for the US market need to meet an output power level of -9 decibels (dBm). This is a significantly higher than NTT's -15 dBm specification. It is doubtful that the additional power level would result in any physical damage to the network, but it is possible that the use of an unapproved modem could result in interference or noise for other callers in the form of crosstalk attenuation between NTT's antiquated analog telephone circuits.
The approval process forces vendors to design or modify their products so that they will not only work in Japan, but work safely and legally.
The Telecommunications Business Law does not prescribe penalties for individuals or businesses caught connecting [unapproved] equipment.
The law, as written, requires JATE approval before connection to a public network, but not prior to sale.
