TransTeleCom (TTK)

Trademark - TransTeleCom. The largest trunk telecom operator providing services for telecom operators Internet-providers and corporate clients.

TTK operates and maintains one of the largest fiber-optic communication network in Russia with a length of more than 53,000 km and a capacity of up to 200 Gbps. The network is laid along the country's railways, has more than 1000 access points in all regions of Russia and connects Europe and Asia. 17 regional enterprises created in the largest cities of Russia provide TransTeleCom services throughout the country.

TTK is one of the five leading alternative fixed-line operators and provides 37% of long-distance leased channels, occupies 35% in the backbone Internet segment and 35% in the IP VPN market.

TransTeleCom operates in the international market. The EurasiaHighway transcontinental route, organized by TTK, is the optimal telecommunications route between European and Asian countries.

TransTeleCom implemented large-scale telecommunications projects for state organizations and large commercial corporations. Among the clients of TransTeleCom -,, MINISTRY OF EMERGENCY SITUATIONS MINISTRY OF INTERNAL AFFAIRS Regional Customs Administration RAS Roskosmos OKB Sukhoy KnAAPO Sberbank Alfa-Bank Bank Russian Standard,,,,,,,,,,,,,,,,,,,. Ingosstrakh Uralsib Norilsk Nickel SUAL SG IARC Evrazruda EuroChem VimpelCom Megaphone MTS VGTRK

Branch management structure

2016: directorates reduced

Telecom operator TransTeleCom has optimized its management structure by reducing one of its levels - the directorate, which has reduced the decision-making chain and increased the speed of business processes in the company, according to a press release from TransTeleCom.

The departments that made up the disbanded directorates entered the zone of direct subordination of department leaders and vice presidents. The heads of the disbanded directorates were partially transferred to positions in the new structure, and partially left the company.

"The absence of unnecessary management levels will allow vice presidents to even more effectively control the company's operations and at the same time increase the degree of responsibility of line employees. This will create a favorable environment for quick decision-making and their exact execution, "said TTK President Artem Kudryavtsev

.

In addition, the company's management expects that the changes will serve as a tool for additional motivation of employees, since the powers and partially the wage fund are redistributed between the most valuable specialists.

2014: the formation of a single company with a branch management structure is completed

In the fall of 2014, TransTeleCom announced the completion of the procedure for forming a single company with a branch management structure. Subsidiaries, 100% of which belonged to TransTeleCom Companies, were reorganized in the form of joining TransTeleCom Companies and were excluded from the Unified State Register of Legal Entities on November 5, 2014.

On the basis of the existing regional enterprises of TransTeleCom, macro-regional branches were created: "Macroregion North-West" (St. Petersburg), "Macroregion Baikal" (Irkutsk), "Macroregion of the Far East" (Khabarovsk), "Macroregion of Chita" (Chita), "Macroregion of Western Siberia" (Novosibirsk), "Macroregion Kaliningrad" (Kaliningrad), "Macroregion Center" (Moscow), "Macroregion Verkhnevolzhsky" (Nizhny Novgorod), "Macroregion Volga" (Saratov), "Macroregion Middle Volga" (Samara), "Macroregion Sakhalin" (Yuzhno-Sakhalinsk), "Macroregion North" (Yaroslavl), "Macroregion Kavkaz" (Rostov-on-Don), "Macroregion Siberia" (Krasnoyarsk), "Macroregion Ural" (Yekaterinburg), "Macroregion Southeast" (Voronezh), "Macroregion South Ural" (Chelyabinsk). Also, the companies acquired by the TransTeleCom Group were transformed into separate regional branches.

Subscriber base of the company TransTeleCom

2017: 1.66 million users

Broadband Internet access from TransTeleCom is used by 1.66 million subscribers throughout Russia, the operator is one of the five largest providers. Compared to 2016, the volume of the subscriber base of TransTeleCom increased by 8.8% or 134 thousand subscribers. TransTeleCom provides broadband Internet access services in 250 settlements throughout the country.

2016: 1.51 million users

Broadband Internet access from TransTeleCom is used by 1.51 million subscribers throughout Russia. Since the beginning of 2016, the volume of the subscriber base of TransTeleCom has increased by 1.33%. The largest increase in the number of subscribers was recorded in the Volga region (+ 3.2%), in the Urals (+ 2.6%) and in the Far East (+ 1.2%). The average connection speed for broadband access of subscribers in the TransTeleCom network for the year increased by almost 20%. More than a third of new TransTeleCom subscribers today choose tariff plans that provide Internet access at a speed of more than 50 Mbps, which is one and a half times more than a year earlier.

2015: 1.9 million users

The subscriber base of TransTeleCom, one of the telecom operators in Russia, reached 1 million 900 thousand users. The increase in the subscriber base of TransTeleCom since the beginning of 2015 amounted to 6%. Over five years, since the end of 2010, the total retail subscriber base of TransTeleCom has increased 9 times.

Since the start of the retail business development strategy in 2011, TransTeleCom has built networks in 250 Russian cities with a total coverage of more than 6 million households. TransTeleCom continues to actively develop in retail, occupying 5.6% of the regional market for broadband Internet access in Russia.

2014: 1.7 million users

The subscriber base of TransTeleCom exceeded 1 million 700 thousand users in September 2014. The increase since the beginning of 2014 was 13%. TransTeleCom have been develop in the retail broadband Internet access market in the regions of Russia since 2011. According to the results of 2013, the number of TransTeleCom users increased by 31%.

"About 20% of the population of Russia are residents of small towns and settlements. TransTeleCom was the first to actively develop this significant segment of the market, and continues to follow the chosen strategy. Today, the TransTeleCom provides Internet access in 240 cities, most of which are with a population of less than 50 thousand inhabitants, and ranks second in the number of cities of presence with broadband access among all operators. The share of TransTeleCom in the retail broadband access market is 5%, - said Svetlana Shamzon, vice president of TransTeleCom - head of the Access block. "Since 2012, we have also been actively providing cable television to our subscribers, and today more than 260 thousand Russians use it."

2013: 1.5 million users

The subscriber base of TransTeleCom reached 1.5 million users. In two and a half years, the number of people using high-speed Internet access from TransTeleCom has grown 10 times. The number of cities included in the retail subscriber base of TransTeleCom amounted to 226. The technical coverage of the company's access networks increased by 1.6 million to 6 million households.

2012: 1.1 million users

In February, the total subscriber base of TransTeleCom reached 1 million 100 thousand users. The TransTeleCom plans for 2013 are to continue the active development of broadband Internet and cable television services to end users in the regions of Russia.

2011:433 thousand broadband subscribers

The subscriber base of the company for broadband access service Internet in increased by 134% compared to the end of 2010 and amounted to 433 thousand subscribers.

Main competencies

• TransTeleCom - provider of a set of telecom services, engineering, construction, operation
• TransTeleCom is a platform for "incubation" of new digital products and services for Russian Railways, as well as for open

external market - from concept to pilot to monetization

• TransTeleCom - Competence Center in the areas of "Internet of Things," "BigData," Telecom, Artificial Intelligence and Machine Learning, Digital Railway
• TransTeleCom - possesses the construction competencies of communication facilities and their subsequent operation

TransTeleCom services for the transport industry

Logistics from the Cloud

• Cloud-Based Transport and Logistics Business Management System
• Complete selection of services from transport management to advanced logistics

Services for the Transportation Industry

• Federal infrastructure services for the road freight industry
• IoT-based services for road infrastructure management

Enterprise Warehouse and Asset Management Cloud

• Warehouse Process Management
• Security, including intelligent video surveillance
• Enterprise Materials Management

EDI - Integration as a Service

• Secure EDI exchange of financial, commercial, logistic documentation in the form of a standard structured electronic document
• Quickly design and deliver integrated turnkey solutions on an XaaS model

Telecommunications infrastructure

Main article: TransTeleCom projects for the development of telecom infrastructure

2021: Construction of the quantum network Moscow - Petersburg

"Transtelecom" built quantum network Moscow -. St. Petersburg This became known on April 19, 2021 from the words of the deputy general director of Transtelecom (a subsidiary). RUSSIAN RAILWAY Alexey Nozdrin

The network already exists, the equipment is installed, in fact, commissioning remains, - said Alexey Nozdrin. - In the second quarter, the launch should take place in the form of a transmitted quantum key.

The operator calls the main advantage of the quantum network the maximum security of those transmitted over it. data Transtelecom is counting on demand from financial organizations, law enforcement agencies and others. state organizations According to Nozdrin, the quantum network uses Russian production equipment - he did not name its developer.

Quantum encryption will allow implementing cryptography mechanisms at a completely different, unattainable level, "said Andreev, deputy general director of IVKValeriy. - If an acceptable result is achieved during the Transtelecom project, it will be the beginning of a coup in the information security market. Information protection will require new tools, new threat models, and a new regulatory framework. Provided, of course, that the use of new methods and tools is not associated with prohibitive financial costs - this will also be checked in the project.

The construction of an 800-kilometer quantum network between Moscow and St. Petersburg is provided for by the roadmap for the development of quantum communications developed by Russian Railways and approved by the government in the summer of 2020. The cost of implementing the entire project - a quantum network of 10,000 km - by 2024 should be 16.7 billion rubles. (10 billion should be allocated from the federal budget, 6.7 billion - from extrabudgetary sources, of which more than 5 billion rubles. ready to allocate Russian Railways itself). Most of these funds - 12.8 billion rubles. - should go to the construction of quantum trunk networks. By 2024, the volume of services provided on the network will reach about 55 billion rubles. - such calculations were previously cited by Russian Railways. Among the scenarios for the use of quantum technologies, in addition to the transfer of data from banks and government agencies, the developers of the roadmap cited the construction of secure Internet of Things systems and the management of unmanned trains.

In terms of the development of the technological component of the quantum distribution of keys, Russia practically does not lag behind other countries, "says Alexei Fedorov, head of the quantum information technology group of the Russian Quantum Center. There are plans to use such lines for industrial applications in Europe, but so far the prototypes available and being developed are mostly used for research purposes. In the United States, they are betting not on the construction of quantum key distribution networks, but on the development of post-quantum algorithms - the latest generation of cryptography algorithms that are more resistant to attacks. The US National Institute of Standards and Technology is standardizing post-quantum medium[1]- Petersburg.

2017

TransTeleCom infrastructure

• Backbone network 76,000 km
• Redundant ring structures > 85%
• Independent Cable Infrastructure
• In-house linear operation
• More than 1000 points of presence of the backbone network
• International presence in Europe, Asia, America
• Border joints with operators of all neighboring countries
• Local communication networks in more than 240 cities
• > 400 partner operators in all regions of the Russian Federation

Interactive TV

In 2017, TransTeleCom introduced services and services to provide subscribers with a range of telecommunications services. In the spring, the Interactive Television service was launched, which gives subscribers access to high-quality TV channels with pause and rewind functions, an archive of programs up to three days, an interactive program of programs and a video rental service (subscription to video content). The service is available in 128 cities of Russia. In June 2017, TransTeleCom launched the TV Without Borders OTT service, which allows you to watch television from TransTeleCom on the networks of any Internet providers throughout Russia. In September, the company offered subscribers the TTK TV mobile application, and is currently preparing to adapt the TTK TV product for SMART TV platforms.

Telematics Services Platform

Corporate network of TransTeleCom on the principle of "single window"

Target state of the corporate network (Network 2.0) ^[2]

• Transition from buying channels and communication technologies to acquiring the availability and reliability of business objects
• Organization of proactive monitoring of network objects (the Operator begins to solve the problem when the Client does not know about it yet)
• Online statistics system with integrated information on the causes of incidents, areas of responsibility, TT numbers for each monitoring object
• Automated penalty calculation
• SLA for the duration of connection organization with minimal requirements ("Quick start")
• Ability to implement XaaS principles ("Everything as a service")
• Guaranteed savings in running costs

Step 0. What is "Fast Start"

• Not more than 5 business days from request to inclusion at any point
• L2/L3 channel with a capacity of at least 2Mbit/s
• Availability factor (CU) is not less than 0.99
• Packet loss not more than 3%
• RTD not more than 200 ms
• Jitter not more than 80ms

Step 1. Collaborative Object Clustering

Step 2. Pilot zone

• Handover of 20-30 objects of different types (together with current contracts)
• Save payment at current level
• Set up a proactive monitoring system
• Bringing objects to the specified quality parameters (SLA) within 1.5 months (without fines)
• Inclusion of 5-10 objects according to the "Quick Start" scheme

Step 3. Transition to a single Network 2.0 operator

• Adjustment of requirements for facilities based on the results of the Pilot Zone, determination of the target discount value
• Conclusion of contract for Network 2.0 organization
• Transfer of all current contracts with data service providers
• Bringing the network into the target state of quality parameters (SLA) within 2-3 months (without additional fines)
• "Enable" SLA parameters and agreed discount

Step 4. Own transport management, creation of a multi-service communication network (MSS)

• Creation of reference nodes (the number is determined from the features of the Client's infrastructure), connected by trunk channels (separated geographically and technologically (SDH + MPLS)), their transfer under the control of the Client
• At each node - connections to the networks of local providers (used to organize the connection of the main MCC channels)
• Connection of redundant channels to the main control points of the Client's business (mainly - FOCL + RRL)
• Connection of redundant channels to the Client's remote facilities (basis - FOCL/RRL, reserve - channels based on APN in 3G/4G networks)
• The proactive network monitoring system detects accidents without the Client's requests, automatically creates a TT, notifies the Client and contractors, and starts a "counter" of fines
• Bringing the current network to MCC - 6-8 months

MCC Support Assembly

• The nodes are organized in the Client's cities of presence and provided according to the CAPEX as a Service scheme (organized at the expense of TransTeleCom and leased under the Client's control)
• Budget - within 3 mln RUR per node (taking into account EP redundancy)
• Reference network KG for 8 months of operation - 100%

2016: Operation of Russian Railways telecom infrastructure

TransTeleCom operates the telecommunications infrastructure of Russian Railways, serving one of the largest fiber-optic communication lines in Russia with a length of more than 76,000 km. TransTeleCom uses its own operation system, including its own control centers and more than 500 own line crews, which ensure the restoration of any cable breaks at any time of the day within a period of no more than 6 hours. In addition to JSCo Russian Railways own cable, TransTeleCom operates cables and other operators with the same high quality level.

TransTeleCom significantly strengthened its position in the Azerbaijani market, where the company's share grew from 15% to 40%, and became the first Russian operator to sell a 100 Gbps channel to the Caucasus. The company also continued to develop international network joints, including launching a joint with the Finnish operator Cinia, a new optimal IP traffic route from Frankfurt to Moscow through Belarus and a new joint with the Chinese operator China Telecom.

TransTeleCom occupies about 20% of the global data transfer market between China and Europe, which is half of the traffic transit market through Russia. Two of the three largest Chinese operators are among the top 5 consumers of TransTeleCom highways. At the same time, in 2016, the company increased the cash volume of long-term transactions with Chinese operators by more than 70% compared to 2015.

2013: TransTeleCom services

Since 2011, TransTeleCom have been develop in the retail broadband Internet access market in the regions of Russia TransTeleCom has been offering broadband access services to its subscribers in more than 200 cities of Russia, while the main market for TransTeleCom is small towns and towns with a population of less than 100 thousand people, they account for almost 40% of all connections. TransTeleCom provides broadband Internet access and cable television services using modern access technologies: FTTB, FTTH, GPON. Subscribers of the TransTeleCom also have the opportunity to connect home Internet at a speed of 1 Gbps using Gigabit Ethernet technology.

History

2024

Attending TAdviser IT-Infrastructure Day

Expert from TransTeleCom Company - Deputy General Director for Telecom Business Sergey Yakovlev - at the IT-Infrastructure Day conference will tell you how to provide yourself with guaranteed communication quality in the face of global changes. Read more here.

Participation in TAdviser SummIT

TransTeleCom will show a new approach to organizing communication networks on TAdviser SummIT. Ilya Gudenko, expert of the company, head of the telecom business development department, will talk about the experience of applying a new approach to solving the problems of building corporate networks. Read more here.

2023

Ransomware Virus Attack

Transtelecom was attacked by a ransomware virus, which became known at the end of October 2023. Sources in the information security market told Kommersant that the company has its own cyber incident response center, but nevertheless, hackers managed to hit the IT infrastructure of a provider of telecommunications solutions for private users and large businesses.

At the same time, the publication does not know the consequences of a cyber attack using a ransomware malware. Such malware encrypts company data, making it unreadable. Attackers use it to subsequently demand ransom from the victim for decrypting the data, Kommersant's interlocutors explain.

Transtelecom told the newspaper that cyber attacks on the company's information infrastructure occur daily.

Over the past day alone, hundreds of external computer attacks have been recorded and neutralized by information protection tools. Nevertheless, the Transtelecom communication network operates normally, the company said on October 30, 2023.

According to Transtelecom, the number of cyber attacks on telecom companies is growing in Russia. So, only in the first quarter of 2023, the number of such incidents increased 4 times compared to the previous quarter. Also among the leaders in the number of DDoS attacks are the IT sector, educational institutions and government agencies.^[3]

Attending TAdviser Banks IT Day 2023

On April 5, 2023, the Digital Services Provider TransTeleCom Company presented at the Banks IT Day 2023 conference solutions for creating corporate communications networks based on SD-WAN (software-defined networking in a wide area network) technology, which allow managing digital information resources of companies, enterprises and departments in real time.

A software-defined network is a modern approach to the organization of a communication infrastructure, in which a traffic control point is transferred from endpoints to a central performance controller that controls the connection through various physical channels simultaneously without the participation of special technical personnel in the field, simple equipment settings can be made by regular IT office employees.

Among the main qualities of SD WAN are centralized management of all routers in the corporate network and flexible load balancing over all communication channels. An important advantage of this decision is also the provision of a unified security policy for all segments of the network - this is important for such industries as the financial and banking sectors, - said Sergey Kozerod, Director for Business Development in the Corporate and State Market of TransTeleCom Company JSC.

According to a number of experts, software-defined communication networks allow you to minimize, capital expenditures centralize corporate management IT infrastructure and ensure independence from a specific one - which is Internetprovider especially important for companies with a large number of geographically remote offices and divisions.

2022: Blocking Web App Attacks with WAF Service

The WAF service based on BI.Zone solutions will allow TransTeleCom to identify and block attacks on customer web applications. BI.Zone announced this on April 21, 2022. Read more here.

2021

Decision to sell 100% of TTK-Svyaz and 75.2% of Zap-Sibtranstelecom

Transtelecom, a subsidiary of Russian Railways, sells two of its companies at once - 100% of TTK-Svyaz and 75.2% of Zap-Sibtranstelecom. Their minimum price is 8.9 billion rubles, but during the auction it may increase. Potential buyers are Rostelecom, MTS, ER-Telecom and other market participants.

Earlier, Transtelecom separated the retail business TTK-Svyaz (except for Western Siberia) into a separate structure with the possibility of its further sale. The reason for the reorganization in the company was called the fact that B2C is not a strategic segment for the holding. Then analysts estimated this asset at 15-20 billion rubles. However, for July 2021, the starting price was much lower.

B2C business in Western Siberia is conducted by Zap-sibtranstelecom (24.8% of which belongs to TransTeleCom communication). In this way, the entire B2C business of TransTeleCom is concentrated in the companies for sale.

Applications for participation in the auction are accepted from July 12 to October 11, 2021. The auction will be held in Moscow on October 25 at 15:00. As follows from the announcement of the auction, to participate in it, the applicant is obliged to pay a deposit in the amount of 890 million rubles to the TransTeleCom account.

At the time of publication of the material, the aforementioned companies could not answer the question about their intention to participate in the auction^[4].

Agreement with Neotelecom to develop the Safe City direction

On April 9, 2021, it became known that the TransTeleCom company is developing a direction to create segments of the Safe City hardware and software complex (APK). The project is aimed at improving the efficiency of management processes for the prevention and elimination of crisis situations and incidents, reducing the total working time for the search, processing and issuance of information. Preventive measures are of key importance in it, which make it possible to predict possible risks and warn about them, as well as to establish effective interaction of specialized structures for the prompt solution of the situation.

To develop the Safe City direction, a strategic partnership agreement was signed between TransTeleCom Company JSC and Neotelecom JSC. The document aims to combine efforts to create and integrate solutions for public safety, law and order and habitat security, as well as interacting monitoring systems.

As an integrator of integrated digital services, we understand that it is worth joining forces to improve the efficiency of the Safe City project, and the signed agreement meets this goal. In the future, we intend to integrate software solutions at the municipal and regional levels into a single information and communication infrastructure to increase automation and efficiency of decision-making in emergency situations, "said Alexey Nozdrin, Deputy General Director of TransTeleCom.

"After signing the license agreement together with a strategic partner, TransTeleCom, we plan to scale up the experience of using the Universal Security and Communications System (USBIS) in Russian regions. The system allows you to provide prompt notification of the population about emergencies both massively and pointwise - up to a specific apartment. Previously, apartment radio points and landlines served for this, the number of which continues to decline steadily. All these endpoints worked on wired communication channels, which guaranteed their stable operation, reliability and information security, unlike devices with wireless communication channels. The USBiS system is endowed with all the advantages of wired communication, "said Grigory[5], director of Neotelecom JSC[6]

Separate Retail Business B2C

Retail business (B2C) is separated from the telecommunications operator Transtelecom (TTK) into a separate company TTK-Svyaz. This became known on March 16, 2021. Read more here.

2020: Work starts in Severodvinsk

The company "TransTeleCom" (TTK), a provider of digital services for operators, business and the state, on August 18, 2020 announced the expansion of the list of cities of its presence and the start of work in Severodvinsk.

Now commercial enterprises and government agencies in Severodvinsk can use TransTeleCom services for organizing communication channels, telephony, information security and data storage services.

It also became possible to expand the partnership with operators within the framework of the FVNO (virtual fixed-line operator) program. The program allows you to distribute functions between TransTeleCom and local providers and jointly provide services to individual subscribers on the operator's network.

Due to the implementation of individual projects, TransTeleCom expands the coverage area of ​ ​ fast Internet access networks and digital services. The FVNO program offers regional partners to more effectively use existing communication networks by increasing the ports involved for TransTeleCom subscribers, or expand the set of services using additional TransTeleCom services without the need to invest in creating their own products, the company explained. At the same time, the partner of the program may be an organization that is not a telecom operator, but has networks and network infrastructure (developers, contractors, management companies). In this case, the partner does not need specific operator and most expensive functions, such as SORM, billing, call center for servicing subscribers and others.

"The expansion of the geography of our services for corporate and state customers became possible thanks to the organization of a communication line from Arkhangelsk to Severodvinsk by the forces of the Macro-Region North of TransTeleCom," said Sergei Yakovlev, head of the Department for Business Development in the Corporate and State Market.

2019: Mikhail Ivanovich Beskhmelnitsyn was elected Chairman of the Board of Directors. Updated its composition

On August 6, 2019, TransTeleCom announced changes in the composition of the company's Board of Directors. In July 2019, Mikhail Ivanovich Beskhmelnitsyn, Head of the Control and Analytical Service of the General Director and Chairman of the Management Board of Russian Railways, was elected Chairman of the Board of Directors. Evgeny Igorevich Charkin, who previously headed the Board of Directors of TransTeleCom, took the post of Deputy Chairman of the Board of Directors.

Sergey Vasilyevich Burkov, member of the Audit and Risk Committee of the Board of Directors of JSC Russian Railways, and Liubov Romanovna Nisenboym, head of the department of ANO Analytical Center under the Government of the Russian Federation, also joined the Board of Directors of JSC TransTeleCom.

2017

North Korea's internet connection

In early October 2017, it became known about the second source of North Korea's connection to to the Internet. Russia

According to Reuters, citing data from Dyn Research, which specializes in monitoring Internet connections, at 6:00 Moscow time on October 1, 2017, the Russian Transtelecom began providing routing services for web traffic from the DPRK. Read more here.

Fitch confirms TransTeleCom rating

The international agency Fitch Ratings has confirmed the long-term default ratings of the issuer of JSC TransTeleCom in foreign and national currencies at the level of "B +." The rating forecast is Stable.

Fitch Ratings notes that TransTeleCom operates and services one of the largest trunk networks in Russia, and this resource still has the potential for business development, both in the trunk and in the mass segment. The company also plans to enter new markets, Fitch Ratings highlights the development and provision of services for Russian Railways among the promising areas of development of the company.

The agency's specialists see the potential for further increase in the rating in the company's stable financial results in the mass segment, including through new services. TransTeleCom is one of the five largest operators of broadband Internet access with a market share of 5%. In March 2017, TransTeleCom launched a single interactive television platform for its subscribers, and in the summer it will begin providing mobile services under the MVNO model under the TTK Mobile brand .

Among the growth factors of the rating are also positive free cash flow aimed at reducing the debt burden, and high liquidity.

2016

Revenue growth in the operator segment by more than 650 million rubles

At the end of the year, TransTeleCom retained a significant share in the transit market of international traffic - about 32%, and in the domestic transit market - about 30%. The company's revenue in the operator segment increased by more than 650 million rubles compared to 2015.

Development strategy for five years

TransTeleCom announced in the fall a competition for the development of the company's development strategy for five years. As a result of the purchase, PwC was recognized as the winner, which offered to complete the work for 22.5 million rubles.

The company will have to assess the current state of the business of TransTeleCom and competitors, develop directions of development in existing and new market segments. Among them are the provision of infrastructure, digital services, comprehensive integrator projects for 2017-2021. The final materials must be agreed with the customer and Russian Railways by the end of January 2017.

The structure of the document should contain three sections: the current bidnes TransTeleCom, services for Russian Railways and new services on the foreign market.

In addition to PwC, Constanta Capital claimed to participate in the competition, offering to develop a strategy for 23.8 million rubles. The choice of service provider was made based on the price, experience of the company, including in this type of activity, and personnel qualifications.

Transtelecom

is entering a new stage of its development. We conducted a comprehensive analysis of the company's existing business, assessed its effectiveness and clearly understand in which areas we will work further. If until 2011 Transtelecom was mainly a main operator, from 2011 to 2015 there was a "five-year broadband access plan," now we are aiming to significantly strengthen work with corporate and state customers, "RIA Novosti quotes TransTeleCom President Roman Kravtsov.

TransTeleCom changed its name

March 30, 2016 it became known about the change in the corporate name of TransTeleCom. The closed joint stock company became the joint stock company^[7].

In accordance with the amendment to the charter registered on March 25, 2016, the full corporate name of the company in Russian looks like: Joint Stock Company TransTeleCom Company. Abbreviated corporate name in Russian: JSC TransTeleCom Company; the full corporate name in English is Joint Stock Company TransTeleCom. The short corporate name in English is JSC TransTeleCom.

Changes in the name of the TransTeleCom are due to the need to bring the constituent documents in line with the norms of Chapter 4 of the Civil Code of the Russian Federation (as amended by Federal Law No. 99-FZ of 05.05.2014 ).

Re-issue of existing contracts and power of attorney issued on behalf of TransTeleCom Company JSC is not required due to the name change. The TIN, BIC and correspondent account numbers of the company have not changed. Changing the corporate name in relation to customer service will not entail changes - all obligations of the company to customers and partners remain valid.

2015: Finding ways to monetize TransTeleCom

On March 12, 2015, it became known about the upcoming meeting of the Board of Directors of Russian Railways in May 2015, where it is expected that options for monetizing the telecom operator Transtelecom (TTK)^[8] be considered^[8]

Earlier it was reported about the plans of the Russian Railways board to determine the most effective option for monetizing TransTeleCom by mid-2015.

Russian Railways is working on updating the TTC development strategy adopted in 2011. The main points of this document are:

• development of broadband services retail sales in Internet
• pay-TV services in Russian regions.

The measures stated in the strategy to achieve the set goals should lead to the fact that at the end of 2015 the company's subscriber base will amount to 2.3 million users in 200 cities of the Russian Federation.

In addition to the development of retail sales, the increase in the TransTeleCom base should be facilitated by merger and acquisition transactions. Russian Railways planned to invest about 4 billion rubles in them. The Council planned to allocate another 20 billion rubles for the development of broadband access in the regions and 16 billion rubles for the construction of these networks.

2014: Transtelecom employees suspected of corruption with Cisco

Operator Transtelecom, as one of Cisco's Russian customers, could participate in corruption schemes. This was announced according to the results of his own investigation by the well-known journalist Aram Roston, who published an article on the website of the Buzzfeed.com^[9].

Roston is a contributor to Newsweek, the New York Times, the Guardian, the Observer, the Nation and other publications. While at CNN, he led the investigations department. In 2010, Roston was awarded the Daniel Pearl Award for an article in Nation magazine "How the US Funds the Taliban." In addition, the journalist has two Emmy awards and a Reporter Investigation Award.

The Russian office of Cisco (Sisko Systems LLC) attracted the attention of a journalist after the outbreak of the political crisis around Ukraine - as one of the leading suppliers of telecommunications equipment in Russia. In addition, the Russian representative office of Cisco is interesting in connection with the investigation that Cisco's parent company is conducting around it at the request of the US Securities Commission (SEC) and the US Department of Justice.

At the end of July 2014, the TransTeleCom reported the following development indicators:

• the total length of the company's broadband transmission networks exceeded 15 thousand km
• the total number of households with access to broadband access services from TransTeleCom exceeded 6.3 million,
• 1.7 million households can use the cable television service from the operator.

2013

Revenue - 27.4 billion rubles

The company's revenue in 2013 reached 27.4 billion rubles, an increase of 1% (27.1 billion rubles in 2012). Net profit, as last year, decreased, amounting to 0.1 billion rubles (0.4 billion rubles in 2012).

Completion of consolidation of shares of regional enterprises of TransTeleCom Group

At the beginning of 2013, the consolidation of shares of regional enterprises of the TransTeleCom group, previously owned by Russian Railways, was completed. The shares of regional enterprises of the TransTeleCom group, previously owned by Russian Railways, were transferred to TransTeleCom Company CJSC to pay for the additional issue of ordinary registered non-documentary shares of the company, which were placed by closed subscription in December 2012. The total volume of the additional issue amounted to 1,069,365 units, with a nominal value of 1,000 rubles each, for a total amount of 1 069 365 000 rubles. The report on the results of the additional issue of securities of TransTeleCom Company CJSC is registered by the Federal Service for Financial Markets.

The consolidation of shares of regional enterprises of the TransTeleCom Group was implemented as part of the reorganization plan of TransTeleCom Company CJSC to create a single vertically integrated company with a branch management structure on its basis. This process is scheduled to be completed by the end of 2013.

2012

Revenue growth and profit reduction

Revenue in 2012 amounted to 27.1 billion rubles, an increase of 9% compared to 2011. Revenue in 2011 amounted to 24.9 billion rubles

OIBDA grew by 10% compared to 2011 and amounted to 4.8 billion rubles. OIBDA in 2011 amounted to 4.3 billion rubles

OIBDA margin increased to 17.7% vs 17.5% in 2011

Net profit in 2012 amounted to 0.7 billion rubles against 1.0 billion rubles in 2011

Investments amounted to 8.6 billion rubles (32% of revenue)

Debt as of December 31, 2012 amounted to 11.9 billion rubles. Debt to EBITDA ratio was 2.47

Key operating results for 2012:

• The retail subscriber base of TransTeleCom Company increased by 144% compared to the end of 2011 and amounted to 1.05 million subscribers
• The main fiber-optic communication line "Tynda - Yakutsk," the first fiber-optic line in the Republic of Sakha (Yakutia) was built and put into operation
• A cable television project was launched throughout Russia, the subscriber base for the service by the end of the year amounted to about 100 thousand users
• An entertainment portal has been launched OKNO.ru

Purchase of Electro-Com (Spark)

TransTeleCom (TTK) acquired 100% of the authorized capital in Electro-lump ZAO "" (trademark Spark""). According to TransTeleCom, as a result of the transaction, the number of broadband access subscribers at TransTeleCom increased by one and a half times, and the transaction itself is the largest for TransTeleCom in its entire existence. The acquisition of the assets of the Spark operator was implemented as part of the TransTeleCom development strategy until 2015. Due to this purchase, TransTeleCom strengthened its position in the mass segment of the service market, BROADBAND ACCESS and also expanded the coverage area in the Central and Southern regions. Russia

CJSC Electro-com (Spark brand) is an independent telecom operator established in 2003 in Moscow.

The company provides broadband Internet access services to private and corporate customers and building corporate networks for legal entities. At one time, Spark began working in the broadband access market in a number of regions of Russia and providing access to the Internet, using PLC technology (the so-called "Internet from an outlet") as the "last mile." Several years ago, Spark sold the Moscow part of its business to 2Kom and focused on developing the network in regional markets.

According to TransTeleCom, at the time of purchase, the total subscriber base of Electro-com CJSC is more than 200 thousand subscribers, including 4 thousand subscribers-legal entities. The technical coverage of the networks of CJSC Electro-Com, built using FTTB technology (fiber optic cable to the building), is about 700 thousand households in the cities where the company operates. The total length of the operator's urban fiber-optic networks is more than 920 kilometers. The TransTeleCom expects that due to the subsequent organic growth, the subscriber base of the TransTeleCom on the network of Electro-com CJSC by 2015 will amount to about 255 thousand subscribers.

2011

Return to plus at the end of the year

Net profit in 2011 amounted to RUB 1.0 billion against the loss in 2010. OIBDA grew by 31% compared to 2010 and amounted to RUB 4.3 billion. OIBDA margin increased to 17.5% compared to 12.7% in 2010. Revenue amounted to RUB 24.8 billion, a decrease of 5% compared to 2010.

Investments amounted to 6.2 billion rubles. (25% of revenue). Net debt as of December 31, 2011 amounted to RUB 7.0 billion. The ratio of net debt to OIBDA was 1.6.

Pilot operation of MVNO in the Nizhny Novgorod region

In August 2011, Transtelecom (TTK) began pilot operation of the Virtual Mobile Operator (MVNO) project in the Nizhny Novgorod Region. Services are provided on the basis of the GSM network of Nizhny Novgorod Cellular Communications (NSS, a subsidiary of Rostelecom), but TransTeleCom controls the parameters of services itself using its own billing. MTS is also participating in the project, says her press secretary Valeria Kuzmenko: it provides subscribers with 3G Internet access. TransTeleCom 's Nizhny Novgorod subsidiary is a corporate client of MTS, but there are no agreements on the MVNO project with it, Semenova says.

Since the beginning of 2011, TransTeleCom has discussed MVNO projects with cellular companies. First of all, the operator planned to provide mobile services to its largest corporate client and owner of Russian Railways (it has 99.55% of TransTeleCom). But the NSS works only in seven regions of the Volga region, so the TransTeleCom continues negotiations on MVNO with the "big three" federal cellular companies, although it is not going to interrupt cooperation with the NSS in any case, Semenova notes. MTS is considering the possibility of expanding the partnership with TransTeleCom throughout the Volga region, not excluding cooperation in other regions, says Kuzmenko.

While mobile communication from TransTeleCom is used by the employees of the operator himself. MVNO subscribers can not only call, but also create corporate working groups, call short extensions thanks to the technology of combining mobile and fixed FMC networks, Semenova says.

But for the commercial launch of the TransTeleCom project, telephone numbers are needed. According to Semenova, the company has already submitted an application for one federal DEF code, which holds 10 million numbers, and is waiting for the regulator to respond. The order on the allocation of codes for MVNO has not yet been signed, and until then the statements of virtual operators are not considered, the representative of the Ministry of Communications said.

Virtual Cellular Operator Startup Plan

February 17, 2011 it became known that Transtelecom wants to become a virtual cellular operator. The potential customer base of TransTeleCom is almost 1 million subscribers. TransTeleCom is negotiating with MTS, Megafon and VimpelCom on the creation of a virtual cellular operator (Mobile Virtual Network Operator, MVNO), Vice President for Strategic Development of TransTeleCom Shukhrat Ibragimov told Vedomosti^[10].

The new service will be offered primarily to the largest corporate client and TransTeleCom- "Russian Railways" (RR) owner, Ibragimov says. Applications for licenses and allocation of number capacity will be submitted by the TransTeleCom after it has agreed with cellular companies, he notes. Mobile communication is a logical addition to the service package for corporate clients, and within the framework of limited access to MVNO frequencies, this is the only model, he points out. TransTeleCom plans to use its backbone network to pass mobile traffic, receive discounts from cellular operators and, therefore, offer preferential conditions to customers, Ibragimov points out.

Now the "corporate" mobile operator of Russian Railways is MTS. The creation of MVNO would give access to the TransTeleCom backbone network and would improve the quality of communication along the railways and organize it where there is no coverage now, says MTS representative Irina Osadchaya. If other operators join the project, then such cooperation can theoretically reduce the costs of developing networks, she adds.

As of October 1, 2010, Russian Railways (excluding subsidiaries and affiliates) had 980,300 employees. If all of them become customers of TransTeleCom, the company will turn into the largest virtual operator in Russia. TransTeleCom has a backbone network and a billing system, so its investments in the new project will not exceed $10 million, says Maxim Romashkevich, Marketing Director of Plus One (specializing in creating infrastructure for MVNO). According to his estimates, the average subscriber account (ARPU) MVNO can be about 300 rubles. per month. Thus, revenue for the year may exceed $100 million. From 40 to 70% of this amount may remain with the TransTeleCom itself. Everything will depend on how deeply the infrastructure of the cellular operator is involved in the project, Romashkevich notes.

2010

The first loss in the history of the company

Analysis of open information on the results of TransTeleCom activities shows that the company for the first time in its history suffers losses on the results of its activities for the year. Thus, the consolidated net profit of TransTeleCom in 2006 amounted to 2.172 billion rubles, in 2007 - 2.539 billion rubles, in 2008 - 1.9 billion rubles, and in 2009. - 936 million rubles.

A ComNews source in Russian Railways, which owns 99.95% of the shares of TransTeleCom Company CJSC, said that a meeting of the audit committee under the board of directors of Russian Railways was scheduled for May 17, 2011 and, possibly, the issue of losses of the telecommunications subsidiary would also be considered there.

"The fact is that TransTeleCom is included in the list of strategic subsidiaries in the Russian Railways system, and the financial results of this company are consolidated in the statements of Russian Railways. In this regard, the net profit of the transport monopoly will be adjusted by the amount of TTK losses, "the source

says.

The auditor of the TransTeleCom in 2010 was PricewaterhouseCoopers (PwC). From a source familiar with its audit report and the operator's financial statements, the ComNews reporter learned that according to the results of the first half of 2010, the net profit of the TransTeleCom amounted to 231 million rubles, and according to the results of the first nine months - 177 million rubles.

"It turns out that the loss was formed in the IV quarter of 2010," the source summed up. At the same time, he added that in the 2010 budget of the TransTeleCom for the year, net profit was planned at the level of 151 million rubles.

Vyacheslav Sotnik, First Vice President for Economics and Finance of TransTeleCom, commented on the results of 2010:

"The loss at the end of 2010 is related to the revaluation of financial investments, the write-off of illiquid assets due to the conservative position of the new auditor of the company (PwC), as well as tax claims (accruals) for previous years. In total, the impact of these indicators on the company's financial results for 2010 amounted to RUB 837 million. Without these non-operating expenses and journal entries, the company would have ended the year with a profit. " Vyacheslav Sotnik also added: "At the moment, the company is showing positive dynamics of financial indicators, and in the first vartal of 2011 alone, the net profit of the TransTeleCom amounted to 364 million rubles."

"Initially, Transtelecom was created in order to ensure Eurasian traffic transit, but revenue from this direction, amounting to about $60 million, hardly covers even operating costs," says Yuri Rustelecom Bryukvin, general director of the analytical agency. "In the current conditions, Transtelecom focuses on national transit, but in connection with the development of the" big three "cellular operators of its own trunk channels, this direction also seems unpromising."

A few years ago, Transtelecom began expanding into the broadband access market in, Internet but there are no impressive results yet, adds Bryukvin: for example, in St. Petersburg, St. Petersburg Transtelecom serves 10 thousand subscribers - less than 1% of the market. Russian Railways has already hired consultants from McKinsey to create a new development strategy for Transtelecom, and also announced plans to conduct IPO an operator or sell 50% minus one share to a strategic investor. Bryukvin also associates the resignation of Sergei Lipatov's team in June 2010 with the weak results of Transtelecom's activities.

Plans to sell a stake in the company

Although TransTeleCom is a "chicken carrying golden eggs," in the near future the issue of selling a stake in the company will be decided, said Sergey Lipatov, chairman of the board of directors of TransTeleCom. He estimates the entire TransTeleCom at $1.5-2 billion. According to Lipatov, various options for attracting a third-party investor are being considered. In March 2010, Russian Railways sought advice from investment banks on how best to dispose of a stake in TransTeleCom: keep all 100%, conduct a private placement or IPO. Russian Railways plans to sell 50% minus 1 share of TransTeleCom in 2010-2012. senior vice president of Russian Railways Valery Reshetnikov told reporters later. He added that Russian Railways already has offers, but did not name potential buyers.

It will be very difficult to do without the sale of TransTeleCom Russian Railways. The company's annual investment program is planned at the level of 535 billion rubles. Part of the money will be raised through the sale of assets. For three years, Russian Railways intends to sell shares in 30 subsidiaries. How much the company plans to help out at the same time, the representative of Russian Railways does not say.

July 20, 2010 it became known that Russian Railways does not intend to transfer the main digital communication network to its 100% "daughter" - "Transtelecom" (TTK). "Today it is impossible," he said. After all, the communication network is "part of the technological traffic of Russian Railways, the safety and efficiency of railway communication depend on it." The easiest and most effective way out of the situation is, according to Lipatov, the long-term lease of the network. Now the fiber optic network, the second largest in Russia after Rostelecom, is rented by TransTeleCom from Russian Railways. Guaranteed lease payments to TransTeleCom amount to $150 million.

But other operators are not ready to buy TransTeleCom without a network. TransTeleCom as an asset is not interested in Megafon, and without a network - especially, says a source close to the company. MTS continues to consider buying a stake in TransTeleCom, the operator's representative said, but the backbone network is its most attractive asset.

The departure of Sergei Lipatov

Since July 1, 2010, President Sergei Lipatov has been leaving Transtelecom, the company told CNews, adding that Lipatov raised this issue during the year. In his statement, the president of Transtelecom says that he has worked at the company for 8 years and intends to focus on his own strategic development. According to Interfax, the company will be headed by Vyacheslav Sotnik, First Vice President for Economics and Finance, and Lipatov may become chairman of the company's board of directors. Transtelecom noted that this issue is within the competence of the operator's sole shareholder, Russian Railways.

Lipatov's departure is not the only personnel change in the company over the past few months. In May 2010, she left the first vice president for commercial activities Andrei Semenov-Vladov and the head of the department of economics and finance Alexander Mazharov (remained in the position of adviser), in April - the head of the department of international sales Valery Rostokin (headed the system integrator acquired by Rostelecom "NVision Group"). In addition, Vice President of Public Relations Arkady Matkovsky also left Transtelecom: according to a CNews source close to the company, he, after Rostokin, goes to work at NVision.

True, Transtelecom assures that Lipatov's deputies left for a different reason than their chief. The company has undergone structural changes - three commercial departments (international sales, wholesale sales in the national market and voice services) are merged into one under the leadership of a new manager - Vitaly Kotov, explained in Transtelecom.

2008: Rebranding and New Strategy to 2015

In May 2008, TransTeleCom rebranded and launched a new strategy until 2015. Its main areas are the development of mass broadband Internet access in the regions, local, international and long-distance communications for end users and telecom operators, and other services of the retail telecommunications market. By 2015, income growth is more than 2.5 times.

The consolidated income of the TransTeleCom group of companies in 2008 amounted to 27.5 billion rubles, net profit for 2008 amounted to 1.9 billion rubles.

2002: The company's co-founders Ratnikov and Sparkman leave the company. Lipatov is the head of the company

In 2002, its president Victor Ratnikov and senior vice president of business Lee Sparkman, who were the founders and minority shareholders of the operator, left the company. The reason for their resignation was disagreements with the Ministry of Communications, which refused to issue a long-range license to Transtelecom communication and at that time advocated maintaining the monopoly "" Rostelecom(the license was nevertheless granted to Transtelecom in 2007 during the demonopolization of the long-distance communication market). Ratnikov was replaced by the vice-mayor. Sochi Sergey Lipatov

Notes