Rostelecom cuts charges in the face of competition

11 Feb 2008

The Russian long-distance operator Rostelecom has cut its call charges in the face of increasing competition. The former long-distance monopoly says prices could fall by as much as 30% for daytime inter-city calls, while regular customers in Moscow could even see reductions of up to 50% for calls from the capital to the regions, according to a report from the St Petersburg Times. ‘The reduction in the rate was made possible because of structural changes in the cost of international calls, Rostelecom chief executive Konstantin Solodukhin said in a statement. Rival firms such as Golden Telecom, MTT, Transtelecom and Synterra are slowly beginning to eat away at Rostelecom’s market share, while VoIP telephony services are also hitting long-distance traffic.

Russia, Rostelecom