Kyivstar FTTB in 127 towns; fibre users reach 320,000; wireless modems top 700,000

24 Nov 2011

Ukrainian mobile and fixed broadband network operator Kyivstar, part of the Vimpelcom group, has announced that it has connected a total of 127 towns and cities to its fibre-to-the-building (FTTB) high speed network. Its most recent batch of launches were in Kostopil (in the Rivne region), Snizhne, Zugres (both in the Donetsk region) and Smila (Cherkasy region), covering 20,000 households in the four locations, and offering connection speeds of up to 100Mbps. The rollout was part of an accelerated expansion of FTTB coverage which saw Kyivstar’s number of towns covered rise from 61 to 101 in the third quarter ended 30 September 2011, driven by a 60% year-on-year rise in fixed and mobile quarterly capital expenditure (CAPEX). The number of Kyivstar’s ‘Home Internet’ fixed broadband subscribers rose by 117% in the year to the end of September, when it registered a total of 324,000 lines in service (320,000 on FTTB connections and 4,000 DSL users).

Meanwhile, its mobile division recorded 24.75 million cellular customer accounts at the end of Q3 2011, a 1.2% decrease on an annual basis, while the number of GPRS/EDGE mobile internet users stood at 7.22 million at the end of the period, down by 1.9% quarter-on-quarter. The reported number of mobile internet users ‘per day’, however, more than doubled year-on-year, to 1.054 million customers in July-September 2011, compared to 485,000 clients in the same quarter of 2010. In 3Q11 the volume of data consumed by users of Kyivstar’s mobile internet services increased by 37% y-o-y, to 787.5TB. Wireless modems activated amongst Kyivstar’s cellular subscriber base grew by 211,000 during the period January-September 2011 to reach a total of 700,000, the company reported; USB modem users have access to the cellco’s EDGE-based internet services plus the option of accessing 3G W-CDMA/HSPA services over Ukrtelecom’s network via Kyivstar’s resale agreement with the Ukrainian incumbent telco.

One year on from the merger of Kyivstar into Vimpelcom (approved in October 2010), the Russian parent company reported that the ongoing structural integration of the Ukrainian mobile market leader with its sister operations Beeline Ukraine and Golden Telecom had so far resulted in total synergies of USD160 million as on 1 October 2011.

Ukraine, Kyivstar