Russia has the largest mobile market in Europe, with more than 241 million subscriptions. A number of mobile network operators offer services although the market is dominated by three major operators (MTS, VimpelCom and MegaFon), which have expanded nationally through the acquisition of smaller regional service providers. Competition in the key markets of Moscow and St Petersburg is fierce, due to the size of the cities’ populations and the higher concentration of wealth there. Russia’s recent economic woes, partly resulting from the ongoing global financial crisis, have impacted growth in the telecom sector although this is expected to pick up in line with the overall economy. Mobile SIM card penetration approaches 170% although actual mobile user penetration is lower due to the popularity of multiple SIM card use. The deployment of HSPA networks presents a new growth opportunity through the offering of mobile broadband services, while the rapidly evolving LTE sector offers considerable promise.
This report provides a concise overview of Russia’s mobile market, covering regulatory developments, the major mobile operators including MegaFon, VimpelCom and Tele2, as well as technologies and mobile data, content and applications, and a variety of financial and operational statistics.
MegaFon signs seven-year infrastructure upgrade contract with Huawei; Yota and Rostelecom share resources for LTE networks; MTS and VimpelCom sign LTE network construction deal; Rostelecom given Ministry of Defence clearance to develop LTE in the 2.3GHz band; MegaFon completes IPO; MNOs join forces for m-commerce platform; VimpelCom merges with subsidiaries, signs five-managed services contract with Ericsson; MTS awarded Moscow LTE license; MNP now available for subscribers; government proposes using spectrum for new national LTE network; Roskomnadzor cancels large number of radio frequency permissions; government withdraws DVB-H funding; MegaFon signs partnership deal with Telefónica; 900MHz used for 3G following technological neutrality ruling; four licensees receive 800MHz spectrum for LTE; regulator’s market data to Q1 2014; telcos’ financial and operating data to Q1 2014; market developments to mid-2014.
Companies covered in this report include:
MegaFon, Tele2 Russia, Skylink, Volga Telecom, SMARTS Group, Uralsvyazinform.