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VOICES FROM OPERATORS We were ready for 3G yesterday. We’ve increased voice capacity and data capacity. We’ve changed our old base stations for new ones, and these are ready to support 3G. a huge number of competitors,” he adds. “There are a lot of small players in each of the different regions. As for national players – those are fewer. Ukrtelecom is of course, No. 1, and we are No. 2. In the next two or three years, I want us to be No. 1.” This aim has been much helped by a merger that took place in 2010 between Kyivstar and Beeline Ukraine, which possesses advanced fixed broadband Internet access. “The decision of the two parties’ shareholders to merge their assets was aimed at improving economic efficiency,” says Lytovchenko. “The merger has already generated a synergy effect of USD52 million in the past few months. And users have benefited too, as they now have a new operator with new features combining Kyivstar’s mobile leadership with Beeline’s fixed expertise.” He adds that the merger has now created a multi-service operator that can offer a whole range of telecom services at affordable prices. The development of fixed broadband will also bring with it IPTV, and Lytovchenko says Kyivstar, which is currently waiting for its IPTV license, is well placed to take advantage of its nationwide presence when it obtains the license. “The scale of our business is definitely seen as a threat by our competitors, since IPTV is a major step towards full-fledged multi-service business,” he says. “Today, we are offering FTTB to two million subscribers across 32 cities in Ukraine. Of course, they will all have access to IPTV when we can provide it.” Mobile crossroads One of the impediments to Kyivstar’s plans for growth over the last few years has been the scarceness of 3G licenses for most players in the Ukraine market. Currently, the only 3G license belongs to the operator Ukrtelecom, which has some 600,000 subscribers. Kyivstar, which currently offers mobile data through its EDGE network, is understandably eager to acquire a 3G license. “The demand for 3G is already there in Ukraine,” says Lytovchenko. “People have millions of 3G-enabled devices at present. This technology should have been launched five years ago; 2G and 2.5G are still capable enough, but new times call for new technologies.” To him, the issue of 3G licenses needs to be addressed immediately to ensure that the country is on par with its European peers. “In the Ukrainian telecom market, this is the biggest issue,” he adds. “In other European countries, 3G has been widely available for some time now, and many operators are even developing LTE. However, the government has promised that it will issue a tender for 3G in 2012. If that happens, then I’m absolutely sure that the Internet will develop very fast in the Ukrainian market.” In anticipation of the arrival of UMTS, Kyivstar has carried out a swap of its network equipment. “We were ready for 3G yesterday,” Lytovchenko says. “We’ve increased voice capacity and data capacity. We’ve changed our old base stations for new ones, and these are ready to support 3G. When 3G is introduced, we will be able to launch our 3G network within a maximum of six months.” He adds that the operator would like 3G to be available by the time the Euro 2012 football championship, slated to be held in Poland and the Ukraine, comes around. “Everyone coming to see this event will expect to use high-speed mobile Internet. I hope Kyivstar can provide it,” he says. In March, Lytovchenko announced that in case the 3G rollout did not happen soon, Kyivstar would consider a direct transition to LTE. He says, however, that this would not be the first option. “Technically, it is possible to jump from GSM to LTE,” he says. “At the same time, it would be more logical to develop a little bit slowly: GSM-UMTS- LTE, because that’s the way it has been historically. Besides, there are not enough terminals today, and the LTE networks today are not working in the way that we had expected. I think that after two years, it might be possible to make the jump. But today, it is too early.” 9 DEC 2011
I am 100% sure Kyivstar will be No. 1 in every aspect – mobile, multimedia and Internet. Today we are the mobile leader, and we will assume leadership in other areas as well. The distance between us and our competitors will be even greater. A confident future Fixed and mobile broadband aside, Kyivstar is also looking at VAS as an additional revenue stream. In the last couple of years it has rapidly expanded its multimedia service portfolio. An example of this is the operator’s active promotion of digital music sales by allowing downloading of music tracks directly to a subscriber’s handset via broadband. The operator also generates its own music content; it has set up a unique Internet community of up & coming artists, which to date comprises more than 30,000 singers and bands. Users get to choose the best tracks, which are then sold alongside those by more famous musicians. “We are aware that operators worldwide are facing a choice: either stay a pipe for third-party traffic, and let other businesses grow around it, or become a smart pipe by developing their own solutions, applications and content, and delivering them to users,” says Lytovchenko. “We have chosen the latter.” The operator has already entered into agreements with the world’s biggest record companies to allow songs to be downloaded into handsets at a rate of just USD0.25 each. It plans to start offering video content as well, including video content it has itself developed. He adds that when high-speed Internet can be offered on mobile phones, new VAS opportunities like video streaming, video & games-ondemand, conferencing and IPTV will open up. All of this means that Kyivstar can expect to maintain its leadership position in the market well into the future. “I am 100% sure Kyivstar will be No. 1 in every aspect – mobile, multimedia and Internet,” says Lytovchenko, when asked about his predictions for the future. “Today we are the mobile leader, and we will assume leadership in other areas as well. The distance between us and our competitors will be even greater.” Editor: Julia Yao Julia.yao@huawei.com DEC 2011 10
Page 1: 12/2011 Issue 11 Telekom Malaysia G
Page 4 and 5: 12/2011 Issue 11 WHAT’S INSIDE Vo
Page 6 and 7: VOICES FROM OPERATORS Telekom Malay
Page 8 and 9: VOICES FROM OPERATORS HSBB promises
Page 10 and 11: As of one year after its November 2
Page 12 and 13: VOICES FROM OPERATORS Kyivstar: The
Page 16 and 17: Tao of Business Riding the wave of
Page 18 and 19: Tao of Business The challenges with
Page 20 and 21: Tao of Business A SKY without limit
Page 22 and 23: Tao of Business Unlike other operat
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Page 26 and 27: Tao of Business I believe mobile br
Page 28 and 29: Perspectives Internet of Vehicles Y
Page 30 and 31: Perspectives With GID capabilities,
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Page 34 and 35: Perspectives The Internet of Things
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Page 40 and 41: Winners Swisscom From fast to faste
Page 42 and 43: Winners The dual optical and cable
Page 44 and 45: Winners China Unicom Enhancing the
Page 46 and 47: Winners Through continued optimizat

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