Russian telecom market could shrink to 3% due to coronavirus pandemic

Russian telecom market could shrink to 3% due to coronavirus pandemic


The Ministry of Communications and Mass Media warns of the threat of a contraction in the domestic telecommunications market due to the coronavirus pandemic if emergency measures are not taken.

This was stated by deputy head of the department Oleg Ivanov during the online conference “Telecommunications: Now. Next Beyond. Self-isolation at high speeds. ” According to him, reports that operators have benefited from a pandemic have no basis. “If you look at the real numbers, this is not confirmed by anything. For example, the international and domestic roaming segment failed completely, sales of goods in mobile retail dipped by 33%, network maintenance costs sharply increased due to high workloads – for some operators up to 80%“, The official said.

Ivanov warned that without taking regulatory measures, the telecom market may shrink by 2.5–3%, despite a 2.1% increase last year.

Among the measures outlined by the government, the deputy minister named the provision of an annual deferral to telecom operators for an annual increase in traffic storage by 15% within the framework of the “Spring Law”, simplifying the procedure for importing electronic communications equipment, providing telecom operators access to infrastructure in residential buildings and facilities of the municipal and state property.

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