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MTS Exolve Interregional TransitTelecom MTT

Company

Content

Revenue millions Ths. rub

Owners

Interregional Transit Telecom OJSC (MTT) is a Russian fixed-line operator. Provides long-distance and international communication services under the MTT brand (according to its own data, 8.5 million subscribers used its services in 2009), passes traffic of Russian cellular networks

MTT ecosystem

LoRaWAN network in Moscow and the Moscow region

Main article MTT LoRaWAN

Federal transport network in Russia and abroad

MTT, an operator of multi-service communication services, IP services, long-distance communications and traffic transit services, announced in February 2014 the completion of an important stage of a large-scale modernization of its own federal transport network in Russia and abroad, and the complete transfer of the network to IP technologies.

Due to the completion of the key stage of the modernization program, MTT today has a modern IP MPLS (Multi-Protocol Label Switching) backbone network throughout Russia, with a bandwidth of 10 Gb/s core, which allows you to provide both voice services and high-speed data transmission. One of the important characteristics is the modern network topology with full automatic redundancy, which significantly increases the reliability of the communication services provided.

The technological development of the MTT infrastructure increases the company's ability to provide communication channels, telematics services, VoIP-based services, increasing and expanding joints with partners and operators provides a wide range of services based on reliable and modern technologies.

The program of large-scale modernization of the MTT network, launched in 2011, is designed before the end of 2016, but its implementation is proceeding at a faster pace. The modernization project includes three main stages. At the first of them, in 2012, old TDM transit switches (TMgUS) were replaced with modern NGN switches based on Huawei equipment in all centers of federal districts of Russia (Moscow, St. Petersburg, Rostov-on-Don, Krasnodar, Samara, Yekaterinburg, Novosibirsk, Khabarovsk). At the second stage, in 2013, the transport data network was modernized at the core level of the network using modern Juniper MX-480 routers in the centers of federal districts of Russia and at a foreign site in Frankfurt am Main (Germany).

In 2014, the company began implementing the last stage of modernization, which included the replacement of outdated DTX-600 equipment with modern IP gateways (Median and NetBorder SS7). The work will be carried out in more than 50 constituent entities of the country - points of accession throughout Russia.

Subsidiaries

The largest subsidiary of Audiotele - a content provider, a service aggregator, a call center, a telecom operator - was separated from the structure in 2021 and MTT Group left after a deal with MTS.

MTT Partner Program

2023: Turnkey Partner Program Presentation

MTT JSC, a provider of intelligent solutions for business, on March 21, 2023 announced that it had developed a special agency offer addressed to small telecom operators.

Within the framework of cooperation, MTT invites telecom operators to take full service of their subscribers and thus mitigate all risks associated with the conduct of activities, reduce to zero the costs of customer support, personnel costs, maintaining the network, maintaining equipment and its operation, but at the same time maintain and even increase profits.

To become an agent of MTT, it is enough to conclude an online agreement for receiving agency remuneration. According to the agreement, MTT will take over the service of turnkey subscribers, and the MTT agent will receive a one-time payment, as well as a permanent monthly remuneration - 30% of the revenue from each client.

The program is already valid for those operators who transfer subscribers to MTT numbers. From the second half of 2023, it is also planned to transfer the number capacity of operators to MTT in order to provide an opportunity for customers to keep the previous phone number during the transition.

The MTT offer will allow partners to provide existing subscribers with the most up-to-date information and communication services, making their smooth transition to the MTT infrastructure - an experienced and reliable provider of telecom solutions. Subscribers will have access to a large range of virtual PBX capabilities, integrations with a large number of CRM systems, SMS mailings, voice robots and other sales and service automation services from MTT. Participation in the partner program will allow subscribers to receive even more comfortable service, and operators to increase their income.

History and Performance Indicators

2023: Appointment of Ramil Bikkuzhin as CEO of MTT

MTT, a provider of intelligent solutions for business, on March 14, 2023, announced to TAdviser the appointment of Ramil Bikkuzhin, who previously held the post of commercial director of MTT JSC, to the post of general director. Ramil Bikkuzhin began performing his duties as general director of the company on March 14. In this post, he replaced Oleg Aldoshin, who headed MTT since March 2022. Read more here.

2022

MTT told how to make money in metaverse

MTT JSC, a provider of intelligent solutions for business, gathered more than 300 representatives of large companies in Moscow on December 15 to talk about trends in new technologies, discuss the best business solutions for working with neural networks, and learn how to make money in metaverse. Read more here.

In 2022, MTT will disappear: MTT Group will be renamed, and MTT will go under the MTS brand

As it became known to TAdviser, MTT Group will soon rebrand and be renamed. About this TAdviser told the general director and co-owner of MTT Group Evgeny Vasiliev.

According to him, MTS sold 100% of the IP operator MTT (Interregional TransitTelecom). However, some of the assets were pre-allocated and transferred to MTT Group. Today, the group includes three existing businesses: one of the largest contact centers in the country, Audiotele, a multifunctional business management system LP tracker and a b2b media platform Spark.ru. Read more here

Appointment of Oleg Aldoshin as CEO

MTT, a provider of intelligent solutions for business, on March 1, 2022 announced the appointment of Oleg Aldoshin to the post of general director of the company. In this post, he replaced Andrei Zimenkov, who served as CEO of MTT since July 2021. Read more here.

2021

MTS bought MTT for 5 billion rubles

On June 30, 2021, it was announced the sale of 100% MTT to MTS for 5 billion rubles. The deal was approved by the Federal Antimonopoly Service (FAS) and has already been closed.

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The deal with MTS will allow you to open a new page in the history of MTT. Synergy of competencies in the field of telecommunications, voice services and cloud services opens up new opportunities for digital transformation of the business of customers of our companies, - said MTT CEO Evgeny Vasiliev.
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MTS acquired MTT for 5 billion rubles

According to MTS's own estimates, after the acquisition of MTT, the company will take a leading place in the market of virtual PBXs (VATS), APIs and 8-800 in terms of revenues with a share of about 29%.

According to the analytical company TMT-Consulting, in 2020 the volume of the VATS market amounted to 13 billion rubles. The leading player is Mango Office (24%).

Inessa Galaktionova, First Vice President for Telecommunications Business of MTS, commenting on the takeover of MTS, noted that the global market for virtual PBXs and Telecom APIs is growing at a rapid pace - from 15 to 20% per year. In Russia, the platform solutions market is just beginning to develop and in the coming years will grow faster than the global one, and MTT is already one of the leading players in these segments, she stressed.

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With the purchase of the asset, we will be able to integrate promising MTT solutions into our B2B product line in a minimal time, which will allow MTS to become the leader in the Russian virtual PBX and Telecom API market in a few years. The integration of MTT solutions will help us strengthen our positions in such areas as online trade, delivery and logistics of goods, medical institutions, sale and booking of tickets, taxi services - where organizations and businesses need to quickly and without interruptions interact with an extensive client base in rapidly changing conditions, Galaktionova said.
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MTS plans to acquire Interregional TransitTelecom in March 2021 were reported by Vedomosti, citing sources. According to them, MTS could be interested in the intelligent services that MTT develops. The purchase of the company can strengthen the direction associated with virtual PBXs, as well as strengthen the position of MTS in the market of services for medium and small businesses, said one of the interlocutors.

Former company employee killed family and committed suicide

At the end of May 2021, the bodies of two children and two adults were found in the apartment of the city of Shchelkovo. Among them is a 42-year-old native of Tajikistan, Firuz Erov, who worked in the VimpelCom group. Read more here.

2020

Sale of 100% of Synterra Media shares to Rostelecom

On October 22, 2020, Rostelecom announced the conclusion of a legally binding agreement on the acquisition of a 100% stake in Synterra Media CJSC, a federal media service operator, from the MTT group of companies. The transaction amount is 1.5 billion rubles, while the terms provide for a deferred payment, depending on the extension of existing contracts. Read more here.

Interview with TAdviser with Director of New Products Development Alexander Nikolaev

In September 2020, in an interview, TAdviser Alexander Nikolaev the director for the development of new MTT products spoke about the features. cloudy telephony Read more here.

Inclusion in the number of providers for Yandex.Telephony

On provider September 8, 2020, MTT OJSC announced the inclusion providers communications Yandex.Telephony of virtual AST for business in the number of intelligent business solutions. Thanks to this, customers Yandex of Telefonia can choose rooms in 66 regions. RUSSIAN FEDERATION More. here

MTT sold the latest asset in the home Internet and pay TV services market

On August 11, 2020, it became known about the sale of the last MTT asset in the market for home Internet and pay TV services - MTT Connect. It was bought by the Ivanovo operator Intercomtel. Read more here.

2019

Buying a blog platform Spark.ru

On April 17, 2019, MTT Group LLC announced the acquisition of a blog platform for Spark.ru entrepreneurs (previously part of the media network of the Committee Publishing House together with VC.ru, TJournal, DTF.ru, etc.).

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"MTT intends to actively implement a partner program with Spark.ru, which will not only help increase the sales and recognition of our products for SMB customers, but also provide partners with new tools to promote their cases and solutions," comments MTT Marketing Director Sergey Maslov. "So, by the end of 2019, we plan to increase the volume of traffic to the blog platform by 2-3 times, and in 2020 to make the resource one of the leading B2B media in Runet."
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Read more here.

Peering Partnership with China Mobile in GRX/IPX Services

MTT OJSC, a federal provider of intelligent business solutions, on January 31, 2019 announced the next stage of cooperation with China's multiservice operator China Mobile International (CMI).

In early 2019, MTT signed a contract with China Mobile, becoming a peering partner in the field of GRX/IPX (roaming data) services in Russia.

As noted by Andrey Agigirov, Deputy General Director, Director of the Interoperator Interaction Bank of MTT, MTT provides a full range of GRX/IPX services for B2O clients. In turn, CMI is the only IPX provider connected directly to China Mobile Communications Corporation (CMCC), which allows MTT access to the world's largest telecom operator and another 47 leading operators in Asia.

For MTT, international roaming services are one of the important infrastructure areas of business. In the context of the emergence of an increasing number of operators, including virtual mobile communications, GRX/PX services provide MTT partners and customers with a wide range of technological capabilities for organizing high-speed voice and data transmission for end subscribers with different levels of quality of service, anywhere in the world, the operator emphasized.

2017

70% of profits are B2B solutions, the share of services for the operator market has decreased to 30%

MTT's financial performance reflected the successful transition to a new business model and re-positioning of the company in the market. All new lines of business - Unified Communications (UC), Telecom API and Infrastructure Solutions (MVNE +), showed growth, while "classic" services experienced a predictable decline in revenues. 70% of MTT Group profits are B2B solutions, while the share of services for the operator market has decreased to 30%.

The general market trend in reducing revenues from traffic transit was practically compensated by profit growth in Telecom API and the MTT Business platform. Thus, despite the decrease in the overall financial indicators of MTT Group (revenue in 2017 decreased by 1% in 2017 compared to 2016, EBITDA decreased by 8% compared to 2016), new areas of MTT business showed positive dynamics. Revenue growth from the Unified Communications segment in 2017 was 18% compared to 2016, Telecom API - 75% year-on-year.

  • In the Unified Communications segment, MTT implemented a number of new products, integrated the Pozvonim.com platform and took second place in the VATS market in Russia, increasing the subscriber base of UC services by 33% to 80 thousand customers. The drivers of the direction were both mobile tools (SIM MTT) and new OTT solutions - smart widgets, CallTracking and SMS Communication.
  • The Telecom API direction in 2017 showed explosive growth: for example, the subscriber base of the MTT telecom platform grew by 96% compared to 2017, thanks to contracts concluded with large customers such as Avito and Cian.ru.
  • In the MVNE segment, MTT implemented 7 projects, launching mobile products for Almatel, 1C, Virgin Connect and a number of other customers on its platform for virtual mobile operators.
  • Along with the further development of these priority segments, in 2018 MTT began to develop the Inside Out IoT strategy as part of the direction of mobile infrastructure solutions.

Sale of Promsvyaz-Invest LLC

On October 24, 2017, MTT announced the completion of a transaction to sell a 100% stake in the authorized capital of a subsidiary of Promsvyaz-Invest LLC (provides broadband and telephony services in Lipetsk and the Lipetsk region) to the Internet provider and digital TV operator Broadband Access Tochka Group of Companies. The amount of the transaction was not disclosed.

According to MTT CEO Yevgeny Vasiliev, the MTT development strategy assumes a focus on innovative, fast-growing and highly profitable services for the B2B market. For several years, the company has been actively engaged in cloud products in the VATS segment, virtual mobile services and API platforms. Thus, the exit from the non-core broadband access market for the company is a planned step in the transformation of the MTT business. As a result, since 2015, the company has begun restructuring broadband access assets and selling them.

For his part, Managing Director of Zelenaya Tochka Group Sergey Kostelyanets explained that the purchase of Promsvyaz-Invest was carried out as part of a strategy to expand the company's presence in Lipetsk and the Lipetsk region. At the same time, this is the second acquisition in this region - in 2015, Green Point bought an asset in Lipetsk from VimpelCom. According to the company's calculation, the transaction with MTT will increase the company's market share in the B2B segment in this region.

In the near future, Promsvyaz-Invest subscribers will have access to all services and services of the Green Point.

Earlier, in 2015, MTT, during the transformation of the company's business structure, sold broadband access assets in the cities of Dzerzhinsk and Saransk to Rostelecom. As of October 2017, the company has another broadband access asset - MTT Connect in Ivanovo.

2016:60% of MTT revenues - from B2B of MTT Business

By the end of 2016, more than 60% of MTT's revenues are provided by the high-margin B2B direction, which MTT develops using Cloud Communications products. In 2016, the Business division in MTT showed 51% revenue growth, which is almost twice the growth rate of this market.

This result was made possible by increasing the presence of MTT in the VATS market, as well as expanding the functionality of products by introducing CallBack and Calltracking services. The company has started implementing the fixed mobile convergence (FMC) platform for MTT Business. In addition, MTT built new elements of the MVNO architecture and launched the first MVNE (mobile virtual network enabler) platform in Russia, to which the first business clients are already connected. The convenience and low entry threshold of MVNO that this platform provides allows customers of all sizes to add mobility to their product.

In 2017, MTT plans to continue expanding the B2B segment in three key areas - Cloud Communications, MVNE and telecom platforms (API).

2015: MTT transforms the company's management model

EBITDA amounted to 1.1 billion rubles, an increase of 58% compared to the same period in 2014. Net profit in 2015 grew almost 2 times, amounting to 59 million rubles. (against 42 million rubles loss in 2014). The Net Debt/EBITDA ratio was 1.5, halving compared to 2014. Revenue amounted to 15.3 billion rubles. (17.1 billion rubles in 2014).


In May 2015, Interregional TransitTelecom OJSC (MTT) announced the transformation of the management structure to implement the company's development strategy until 2017 and achieve the key goal of increasing asset capitalization.

The reorganization of MTT OJSC is designed to solve several main strategic tasks. This is a centralized management of investment decisions, which increases the return on capital and, accordingly, the capitalization of MTT OJSC, the creation of a single center for making operational decisions that take into account the peculiarities of all business areas, as well as increasing the transparency of the company's activities and the level of its corporate governance.

The current corporate structure of OJSC MTT complicates the implementation of strategic goals due to heterogeneity of business processes. Changing the management structure and organizational structure will ensure the most effective development of each business area depending on long-term and short-term priorities, tasks and conditions.

The structure of MTT OJSC will consist of the Corporate Center (CC), the Joint Service Center (SSC) and four business units (BU) corresponding to the company's activities: Core, Business, MVNO and PaaS. The company intends to complete the transition to this structure in the first quarter of 2016.

The Corporate Center will take over the functions of management and control, development of strategies, corporate practices and business processes. The Joint Service Center will be engaged in operating activities, and business units will become the main profit centers for the company.

At the first stage, part of the assets of the MTT group of companies will remain outside the consolidation circuit - these are CJSC Audiotele, Sinterra Media and broadband access assets, as well as a foreign subsidiary MTT Oy.

2014

Revenue of MTT Group in 2014 according to US GAAP increased by 32% - to 17.1 billion rubles, compared to 12.9 billion rubles. a year earlier. The company's EBITDA in 2014 increased by 67% (RUB 303 million) to RUB 753 million, compared to RUB 450 million in 2013.

The company's net profit in 2014 amounted to RUB 116 million and remained at the level of 2013, due to the influence of exchange rate differences in 2014.

The net debt/EBITDA ratio for 2014 was 2.6 versus 5.3 in 2013.

Due to the determined trend in the migration of voice traffic towards IP services, combined with a sharp decrease in the price of traffic, the revenue structure of MTT Group has undergone significant changes. As a result, in 2014, the most noticeable growth was demonstrated by the direction of VoIP due to the company's activity in the B2B market: more and more services are provided to corporate customers using this technology.

In addition, Interregional TransitTelecom OJSC (MTT) announces the transformation of the management structure to implement the company's development strategy until 2017 and achieve the key goal of increasing asset capitalization. The new structure of MTT OJSC will consist of the Corporate Center (CC), the Joint Service Center (SSC) and four business units (BU) corresponding to the company's activities: Core, Business, MVNO and PaaS. The company intends to complete the transition to this structure in the first quarter of 2016.

2013: First net profit in 5 years

Logo in 2013

Interregional TransitTelecom OJSC (MTT, long-distance operator) in 2013 for the first time in five years received a net profit under RAS, which, according to preliminary data, amounted to more than 50 million rubles against a net loss of 644 million rubles in 2012 (636 million rubles - in 2011), the general director of the company Yevgeny Vasiliev told Prime agency reporters.

According to him, profits were achieved due to organic growth. Its main sources were revenues from OTT services (YouMagic, Beam), traffic transit and V2V solutions.

MTT's revenue in 2013 amounted to more than 11 billion rubles, which corresponds to the level of 2012. In the structure of revenue, revenues from traffic transit (the operator's key business) accounted for less than 50%, 15% - for revenues from OTT services, 35% - for V2V services.

The indicator EBITDA more than tripled and amounted to 540 million rubles against 165 million rubles in 2012.

2012

Promsvyazkapital withdraws from MTT shareholders

In September 2012, the PromSvyazKapital group left the MTT shareholders.

The closure of MTT branches is part of the company's strategy

By the end of 2012, Interregional TransitTelecom OJSC (MTT) plans to close some representative offices in the regions of Russia as part of cost optimization. This was reported to a ComNews reporter in the fall of 2012 by a source in one of the company's counterparties. According to him, the company is also going to terminate contracts with agents who assist in attracting clients - individuals. However, MTT counterparties interviewed by ComNews reported that they did not receive any notice of termination of the contract and continue to cooperate with the operator. MTT CEO Yevgeny Vasiliev told a ComNews reporter that the company is optimizing business processes related to the organization of the sales system. "First of all, this manifests itself in the active combination of its own direct sales channel and agency scheme," he explained. "The chosen strategy is already bringing us tangible results: in the falling market of long-distance and international communications, MTT is the only company that has shown growth both in the volume of services and in monetary terms."

According to Yevgeny Vasiliev, the closure of MTT branches is part of the company's strategy. "In a number of regions, sales through partners show great efficiency, thus the maintenance of their own departments becomes economically unattractive. In 2013, we expect a significant economic benefit from the reorganization - while maintaining the trend for sales and revenue growth, we plan to have an additional effect on the margin of several million dollars, "he added.

2011

Purchase of "Audiotele"

February 2011: Interregional TransitTelecom announced the closure of the transaction on the acquisition of 100% shares in Audiotel. This acquisition, according to the operator, will allow for a powerful synergistic effect, since Audiotele has a strong market position, as well as a high-quality subscriber base, and MTT, in turn, has the widest range of services. In the near future, new package solutions will appear, which will be offered to both existing and new partners. The combined efforts of the two companies will increase revenue by more than 2.5 times in 2011.

Loss for the year 630 million rubles.

At the end of 2011, MTT's net loss amounted to 630 million rubles. (with revenue of 10.8 billion rubles), Start-Telecom - 60 million rubles. But by the end of 2012, MTT Group will be a plus, Vasiliev expects: the consolidated EBITDA indicator (profit before taxes, interest on loans and depreciation expenses) will amount to 230-250 million rubles, and by the end of 2013 will reach 500 million rubles.

2009

Transfer of 50% of the company's shares on loan

In December 2009, Promsvyazkapital pledged 50% of the shares of the second largest long-distance and international telecom operator - MTT to Sberbank under a credit line of 1.6 billion rubles, opened to its other subsidiary, Sinterra. This is stated in the statements of Sinterra for the first half of 2009. Sberbank provided it with a three-year credit line for 1.6 billion rubles in August. The rate is 17.5-18.5% (depending on the financial results of the company). The loan is provided by fiber-optic communication lines and Synterra equipment for 1.07 billion rubles. and 50% of MTT shares. The package in MTT, like 100% of Sinterra, belongs to the subsidiary of Promsvyazkapital Synterra Cyprus Limited.

50% of MTT based on the statements at the pledge were estimated at about 600 million rubles. ($20 million). And Promsvyazkapital only in March acquired this package from AFK Sistema for $54 million. In banking practice, loans are secured in the amount of not only the loan itself, but also interest, so the collateral provided debt totaling 2.4 billion rubles, of which 50% of MTT - more than 1.3 billion rubles. (about $43 million), says Andreeva. In addition, a discount of 50% was applied to MTT shares. Accrued interest is not always taken into account when pledging, objections Uralsib analyst Konstantin Chernyshev. But a discount is inevitable, he admits. In addition, the risks of a decrease in MTT's income against the background of increased competition in the long-distance and international communications market are high, adds Tolmacheva.

Approval of Strategy 2010-2012

The MTT Board of Directors approved the company's development strategy for 2010-2012. According to the document, the operator should strengthen its presence in the traditional transit segments of inter-operator traffic and long-distance communications, as well as strengthen in the mass market for broadband access (builds networks in partnership with local providers) and mobile communications (recently received a virtual operator license).

Reduction of the share in the market for passing traffic of cellular operators to 15%

According to MTT's plans for 2009, the company was supposed to maintain a share of 20% of revenue in the market for passing traffic of cellular operators, but in the end MTT was able to show only 15%. But in the segment of passing incoming international traffic, this figure was 17% with a plan of 15%, and in the market for long-distance communication services for end users - 7% (1% less than the planned indicator).

2008: Revenue of RUB 13.5 billion

The company's revenue in 2008 amounted to 13.5 billion rubles, profit - 411 million rubles, while the company received a net loss of 208 million rubles.

2007: Revenue of $1 billion

US GAAP: Revenue - $1.08 billion, EBITDA - more than $138 million.

2006: Entering the Fixed Line Market

In 2006, the company entered the fixed-line market, becoming the first alternative long-distance operator. The company's revenues from working with mobile operators are steadily decreasing: if in 2006 they accounted for 58% of the total revenue of MTT, then in 2009 - only 42%. At the same time, the share of subscribers of fixed networks in the company's revenue increased during this time from 20 to 31%.

1990e

MTT was created in the 1990s as an exclusive provider of long-distance traffic for cellular communication networks.