Globalinform­servis

Developer of digital means of communication, digital radio means and embedded software of means of communication.

2024: Trial with the Ministry of Industry and Trade over subsidy

The Ministry of Industry and Trade decided to unilaterally terminate contracts with GlobalInformService (GIS) for subsidies due to the failure to achieve the planned value of revenue from the sale of products and demanded to return the subsidy in full - over 2 billion rubles, as well as collect penalties from GIS in the amount of more than 1 billion rubles. However, the department lost twice in this case in court - the demand for the return of the subsidy was declared unlawful.

As follows from the decision of the Ninth Arbitration Court of Appeal, published at the end of April 2024, controversial agreements for the provision of subsidies were concluded back in 2016^[1]. They were intended to financially support part of the costs of creating a scientific and technical reserve for the development of basic technologies for the production of priority electronic components and electronic equipment. The deadline for the implementation of complex projects under contracts was set on June 30, 2023. The ministry provided GIS with a subsidy in the total amount of about 2.267 billion rubles.

One of the indicators of the efficiency of the complex project is the volume of production and sale of import-substituting or innovative products, which will be created during it, measured in millions of rubles. In different treaties, it was calculated in different amounts.

source = "GlobalInformService"

GIS, in the course of performing work on several of the concluded contracts, without having its own production site, concluded contracts with Elektrosignal (part of the Voronezh concern Sozvezdiye controlled by Rostec) to organize the production of an experimental series of products. However, due to the introduction of restrictions on the work of industrial enterprises during the period of COVID-19, and later with sectoral sanctions against the Russian Federation, restricting the export of microelectronics, telecom elements and sensors, which were introduced by the US Department of Industry and the US Bureau of Industrial Safety, Electrosignal was unable to perform work under contracts in the required amount and in the necessary time. For this there were objective reasons: the lack of necessary components on the market, difficulties in finding possible analogues and new suppliers, the court ruling says.

GIS proposed to the Ministry of Industry and Trade to amend the agreements concerning the controversial indicator, but the department sent a request to the company with a notification of the termination of contracts unilaterally, as well as the return of subsidies and the payment of penalties.

"GIS" in court pointed out that the scientific and technical reserve (design and software documentation) created by him under contracts has commercial value. The bulk of OCD listed in court documents is related to LTE.

The courts of the first and appellate instances sided with GIS on a number of grounds. Thus, it was established that by the time of the unilateral refusal of the Ministry of Industry and Trade from contracts, GIS incurred its own costs for purposes related to the execution of contracts, and the ministry, having checked the targeted use of these costs, reimbursed their part through a subsidy. And the impossibility of achieving the result of providing a subsidy in the form of proceeds from the sale of serial products is caused by force majeure circumstances, which the Ministry of Industry and Trade recognized when signing additional agreements on increasing the timing of projects under contracts.

The Ministry of Industry and Trade did not provide evidence testifying to the unfair actions of GIS in order to obtain a subsidy without proper fulfillment of obligations to use budget funds. In addition, the court established, the Ministry of Industry and Trade did not send a motivated decision to GIS to refuse to accept reporting documents for any of the stages of work under the contract.

Also, the ministry does not charge the "GIS" misuse of the subsidy, despite the fact that, according to Art. 78 of the Budget Code of the Russian Federation, the seizure of money allocated as a subsidy is an exceptional measure of responsibility for their misuse.

As a result, the court of first instance recognized the demand of the Ministry of Industry and Trade to return the subsidy and pay penalties as unlawful, and the Ninth Arbitration Court of Appeal agreed with this.

As of May 2024, on the GIS website, the developments of which in the LTE field were reported by Rostec several years ago, two models of LTE base stations are presented in the products section.

2021: Establishment of a domestic LTE-Advanced carrier-class base station as part of Rostec

The company "GlobalInformService" (GIS) of the state corporation "Rostec" has developed a base station R45F. It was included in the register of telecommunications equipment of Russian production (TORP) of the Ministry of Industry and Trade of Russia. Rostec announced this in February 2021^[2].

The base station R45F supports LTE and LTE-A and provides access for subscriber terminals to the 4G communication network. The cost of the base station will be comparable to similar equipment from foreign manufacturers.

The base station meets the technical specifications of 3GPP Release 14 and belongs to the class of long-range base stations. It operates in the 450 MHz band and supports modern services and protocols such as Voice-over-LTE, Internet of Things NB-IoT and Mission Critical Push To Talk (MCPTT). The production of the base station will be concentrated at the enterprises of the Roselectronics holding of the Rostec state corporation.

The base station presented is the first product in the line of base stations currently being developed for operators and large industrial enterprises. This year we will also introduce products for other popular frequency bands. The creation of an LTE-A carrier-class base station gives Russian manufacturers the necessary basis and experience for the development and subsequent serial production of domestic 5G equipment, "said Vasily Brovko, Director-at-Large of Rostec.

2020: Plans for the production of 5G equipment in Russia

In early February 2020, it became known about the cooperation of Globalinformservice (GIS) and the Sozvezdiye concern (part of the Rostec Group of Companies), within which joint development of equipment for 5G networks will be established.

As a representative of Rostec told Vedomosti, GIS and Constellation have been cooperating for a long time, but since 2019 the partnership has become closer. To implement the national program "Digital Economy," the companies jointly developed a model of the fourth generation communication base station, they will be mass-produced by "Constellation." There are no such domestic complex solutions for fifth-generation networks on the market yet, Rostec said.

It became known about the cooperation of Globalinformservice (GIS) and the Sozvezdiye concern (part of the Rostec Group of Companies), within which the joint development of equipment for 5G networks will be established

Previously, GIS received the status of a leading research center in end-to-end digital wireless access technology. This allowed the company to receive a grant for the development of equipment for the fifth generation of communications from the Russian Venture Company in the amount of 224 million rubles. Under the terms of the grant, the project should be co-financed by the developer himself for another 114 million rubles.

This is not the largest amount, taking into account the fact that the Ministry of Industry and Trade estimated the costs of developing fifth-generation networks and the Internet of things at 28 billion rubles (16 billion was supposed to be allocated from the federal budget and 12 billion from extrabudgetary sources). This amount is also contained in the draft target program "Development of industrial production of fifth-generation networks and the Internet of Things for 2019 − 2024."

The timing of the development and preparation for the production of domestic 5G equipment "Globalinformservice" and "Constellation" was not established by the beginning^[3] February 2020^[4].

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