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Europe - Telecoms, Mobile and Broadband in Russia, Belarus, Moldova and Ukraine 2006-2007

This report covers Russia and the neighbouring former Soviet countries Belarus, Moldova and Ukraine.

FOR IMMEDIATE RELEASE

 
Bharat Book Bureau
Bharat Book Bureau
PRLog (Press Release) - Nov 20, 2007 -
Trends and developments in telecommunications, mobile, Internet, broadband, digital TV and converging media including VoIP, VoD and IPTV developments.

Subjects include:

Market and industry analyses, trends and developments
Facts, figures and statistics
Industry and regulatory issues
Research, Marketing, Benchmarking
Major Players, Revenues, Subscribers, Prepaid
VoIP, IPTV, VoD, digital TV and DTTV

Executive Summary

The region encompassing the countries of Russia, Belarus, Moldova and the Ukraine republic is a region in transition as strong economic growth fuels demand for telecoms services. Russia’s large population presents much market potential given its underdeveloped telecoms industry although its mobile communications market is now approaching saturation. With alternative operators encroaching on fixed-line markets held by the incumbents in Russia and Ukraine, the focus is now on offering broadband and convergence services, two relatively underdeveloped markets. The desire to offer such services, as well as the need to expand access into previously unserved areas, is driving new infrastructure deployment by both incumbents and alternative operators alike. Mobile penetration levels in all four countries are still growing rapidly despite approaching maturity. Consequently the major Russian mobile operators have expanded internationally in search of new revenue growth opportunities. Despite attempts to expand into Asia, the Middle East and Eastern Europe, most success has been achieved in the CIS region. Third generation services have yet to be launched although Ukraine’s fixed-line incumbent is to launch services by mid-2007 while Russia’s regulator has finalised the frequencies to be used for its 3G service.

Key Highlights

•   Russia’s domestic and international long-distance voice services market was finally liberalised in January 2006. Numerous long-distance licences have been awarded. Conditional to receiving the licence is the requirement to offer services in all of Russia’s 89 regions. Consequently licence holders have rolled out infrastructure.
•   Belarus is continuing preparations for liberalisation in 2007 as part of World Trade Organisation entry requirements.
•   Privatisation of the Russia’s state-owned telecoms group Svyazinvest continues to be delayed. The privatisation of Svyazinvest is significant as it holds controlling stakes in all seven ‘mega-regional’ operators that dominate their respective markets but require upgrades to infrastructure.
•   Privatisation of Ukraine’s fixed-line incumbent has also been delayed again, this time by the need to adopt a new privatisation program.
•   Alternative operators are making inroads into the fixed-line market in Russia and Ukraine. A number of Ukrainian CDMA WLL alternative operators are experiencing strong subscriber growth, with a 93% increase in total subscriber levels during 2005. Aggressive expansion plans have been released, with national coverage expected by 2007. Alternative operator Golden Telecom is also active in the wireless sector, revealing plans to rollout a mobile network with UMA capability in Kiev.
•   The Svyazinvest companies and alternative operators in Russia and Ukraine are generating increased revenue through mobile and Internet services, with plans to further grow revenue through broadband and IPTV.

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