MTS AND VIMPLECOM TO EXPAND INFRASTRUCTURE SHARING
Tuesday, September 04, 2012
In September 2011, MTS and Vimpelcom signed an agreement on strategic cooperation in construction and use of the telecommunications infrastructure. At the end of July 2012, the two companies had already rolled-out 2,851 km of fiber-optic lines across Russia; by the end of the year the operators plan to jointly construct and share an additional 8,000 km of fiber-optic lines.
In 2011, the two operators installed 433 base station towers, which significantly expands coverage of 3G networks in geographically remote areas. MTS and Vimpelcom are also conducting joint maintenance and repair of air conditioning and ventilation systems in communication facilities in Russia’s Volga, Southern, and North Caucasian federal districts. The cooperation will also soon expand into the other regions where companies are in the final stages of selection of the service providers.
This cooperation allows both operators to accelerate the modernization of telecommunications networks and reduce capital investments by at least 50 percent. According to the MTS’s estimates, joint procurement of services, maintenance and repairing of the networks in the framework of this project will result in reduction of costs by 20% over three years.
By the end of 2012, the total length of the MTS’s fiber-optic network will amount to 130,000 km with a capacity of up to 400 Gbit/s.