TTK partners seven regional telcos in FVNO strategy

8 Mar 2019

Russia’s TransTeleCom (TTK) has partnered seven smaller regional telecoms providers under a Fixed Virtual Network Operator (FVNO) model, reports ComNews. TTK acts as an FVNO in certain regions by offering its fixed telecoms services – including telephony, internet and IPTV – over the regional telcos’ local access network infrastructure, thereby extending its national geographical coverage. TTK shares a percentage of revenues from its FVNO-based services with each local fixed line network host and provides the host operator with additional benefits which – depending on individual contracts – may include preferential access to its Federation-wide high speed transmission backbone and international connectivity. A TTK spokesperson noted that the revenue-sharing percentage can be up to 50% for the local provider depending on the tailored arrangement, whilst reciprocal FVNO local access on TTK’s network was also a possibility. The company representative added: ‘Today, the expansion of technical coverage through construction is becoming less and less effective, so we chose another way to increase the geography of our presence,’ adding that to date ‘more than 100,000’ new households have been added to TTK’s service coverage footprint via the FVNO scheme.

TTK’s existing Russian regional fixed telco partners are based in the Smolensk and Nizhny Novgorod regions, the Komi Republic, the Krasnodar Territory, Western and Eastern Siberia and other regions. The spokesperson told ComNews that FVNO negotiations are underway with a further 20 telcos, including both regional and ‘federal’ operators. Separately, TTK can offer OTT-based TV services Federation-wide.

Russia, TransTeleCom (TTK)