Why Russia is a Key IT and Telecoms Market
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1 Why Russia is a Key IT and Telecoms Market
2 MOSCOM NET Over 12 years of experience bringing new communication tools to the Russian market. The first company to introduce Wi-fi technology in Russia. Moscom Net Group provides a comprehensive solution in Broadband and Wireless Data communications and adds efficiency and value to our Customers.
3 UK MOBILE PHONE MARKET More mobile phones than people Over 60 million mobiles in use Seven years ago only 9 million subscribers 90 minutes average calls per month 50 pounds p m average mobile phone bill
4 RUSSIAN MOBILE PHONE MARKET Moscow- mobile penetration of 134% Dec 2005 Across Russia it is 86% Increase of 6.2 million subscribers over Nov Subscribers (SIM cards) 125.8m Dec minutes average per month call time Average monthly bill 8.70 USD
5 VALUE ADDED SERVICES While saturation levels are being approached there is still fantastic room for growth in value added services. These have yet to go much beyond SMS messaging- which is still some way behind the UK. 1.5 billion UK text messages now being sent every month. Costing customers about 150 million pounds every month.1.8 billion pounds per year!
6 MOBILE COMPUTER SALES RUSSIA SALES OF MOBILE COMPUTERS IN % OVER 2003
7 BROADBAND GROWTH RUSSIA For the last 6 months, the number of broadband channels increased by 40%, and the growth for 2005 is expected at more than 85%. By the end of 2006, the number of broadband connections in Russia should exceed 2.5 million lines with the market share of Moscow falling to 40%.
8 RUSSIA COVERING ELEVEN TIMES ZONES SPANNING NEARLY HALF THE CIRCUMFERNCE OF THE EARTH
9 THE RICHEST ASSET COUNTRY ON THE PLANET ONE FIFTH OF THE WORLDS FRESH WATER 40% OF THE WORLDS GAS RESERVES HALF THE WORLDS COAL LARGEST GOLD RESERVES HUGE OIL RESERVES RICH IN DIAMONDS, METALS, TIMBER, MINERALS
10 RUSSIA GDP During the past 4 years Russian demonstrated fantastic average annual growth rates of 19%, almost 2 times higher than in China.
11 RUSSIAN ECONOMY USD 500 million new money being deposited every month saw the GDP growth rate at +7.3% and an expected a final GDP growth for 2004 of 7.0%+. In nominal dollar terms economic growth is even more impressive reflecting a continuous strengthening of the ruble against the dollar. Our long-term forecast is still that Russia will become the eighth largest economy in the world by 2008/9. Source IRG Market Research Russia
12 MOSCOW- FIRST FULLY WI-FIED HOTEL MARRIOT THE FIRST HOTELS IN EUROPE TO GO TOTALLY WI-FI
13 THE FUTURE The future is in wireless, the next wave of expansion in the Russian IT market will be based on Internet Protocols (IP) facilitating the transfer of voice and data between mobile devices, whether the latest generation of phones, Notebook computers, PDA s or cameras. In fact, Russia's market for mobile content and cellular services could grow approximately 56% from last year to $530 million-$550 million in 2006, the research company J'son & Partners has said.
14 THE OPPORTUNITIES Russian cellular market remains far behind Western European markets when it comes to value-added services -This is where the opportunity lies. Presently too few content providers in Russia to make data services worthwhile for the average user. While there are thousands of companies providing content for cellular phone users in Europe and North America, in Russia there are only 20 to 30 such companies.
15 OPPORTUNITIES Technically, the current cellular network is not able to support a huge stream of data. Russian market is only just beginning to mature sufficiently for users to be interested in high-end services. That is changing. J son & Partners predict that by 2008 Russian operators' revenues from value-added services would reach $1.5 billion, or 25 percent of all revenue.
16 GROWTH As we begin rolling out Wi-Fi in other regions of Russia from our Moscow base, and introduce Wi-Fi in petrol filling stations, railway terminals and large shopping malls the availability of affordable Wi-Fi devices and accessibility to the service is going to spur demand overtaking all predictions.
17 CONTACT DETAILS THANK YOU FOR YOUR KIND ATTENTION MY CONTACT DETAILS ARE OFFICE MOBILE patrick@moscom.ru
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