Russia - Mobile Infrastructure, Broadband, Operators - Statistics and Analyses

Russia - Mobile Infrastructure, Broadband, Operators - Statistics and Analyses

Russia has the largest mobile market in Europe, with the number of subscriptions having passed 232 million. Several mobile network operators are active, although the market is dominated by four major operators (MTS, VEON, Tele2 Russia/Rostelecom and MegaFon). These have expanded their footprints widely through the acquisition of smaller regional service providers. Tele2 Russia has undergone several changes of ownership in recent years, becoming a significant player following its merger with Rostelecom. 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.

Mobile SIM card penetration is high, at around 164% by early 2018, although actual mobile user penetration is lower due to the popularity of multiple SIM card use. The extensive deployment of LTE infrastructure is supporting growth opportunities through mobile broadband and data services, which make up a growing proportion of overall mobile revenue. Investments in carrier aggregation and LTE-A technologies have further boosted network capabilities, while operators are also partnering with vendors to prepare for 5G.

This report provides an overview of Russia's mobile market, covering regulatory developments, the major mobile operators including MegaFon, VEON and Tele2, as well as technologies and mobile data, content and applications, and a variety of updated financial and operational statistics.

Key developments:

Roaming charges to end by mid-2018; Telenor again scales down shareholding in VEON; Tele2 Russia sets up an MVNE service; MegaFon reports data rates of up to 35Gb/s in 5G trials, deploys CA technology to deliver gigabit LTE-A; Rostelecom considers increasing its stake in Tele2 Russia; MegaFon and Rostelecom cooperate to develop 5G networks; SCRF turns down MNO requests for spectrum to trial 5G technologies; VEON contracts Huawei to trial LTE-A and 5G technologies; VEON agrees to sell tower infrastructure to Russian Towers; Ericsson and MTS sign agreement developing 5G services; Ministry of Communications removes restrictions on IMS, allowing for national VoLTE services; report update includes the regulator's market data to September 2017, telcos' financial and operating data to Q3 2017, recent market developments.

Companies mentioned in this report:

MegaFon, Tele2 Russia, Skylink, VEON (VimpelCom) Volga Telecom, SMARTS Group, Uralsvyazinform, MTS.