Belgorod Cellular Communications (merged with Tele2 Russia)

active

Prospective

Belgorod Cellular Communications in December 1994 received its license for 824-828 MHz frequency which covered the Belgorod Oblast with population of about 1.512 million people. The company was created as a closed joint stock company whose main shareholder was Millicom International Cellular (MIC) with a 65% stake. The AMPS network was launched in September 1995 with Stanilite as the equipment supplier. The network had two cell by 1997. The service area included Belgorod, Stary Oskol, Gubkin, Schebelinko and Stroitel by 1997. The Russian Ministry of Communications awarded three other licenses for the region, none of them for AMPS 800 services. Millicom provided its services in Russia under the brand name FORA Telecom and held controlling stakes in 12 operators covering a population of 48 million. The regions covered by the FORA group are: Moscow, Saint-Petersburg, Belgorod, Izhevsk (Republic of Udmurtiya), Irkutsk, Kemerovo, Kursk, Nizhny Novgorod, Omsk, Smolensk, Rostov-on-Don, Chelyabinsk. The holding's Russian cellular operators had a total base of 165 thousand subscribers in various parts of Russia in 2001. Since entering the market, Millicom invested over US $100 million into Russian economy. In December 2001 the shares of Millicom in 12 Russian companies were acquired by Tele2 AB which, along with Millicom, is part of the Kinnevik group. The assets included 11 AMPS carriers and the Moscow Cellular Communications NMT 450 MHz carrier. Tele2 AB paid $80 million for the assets and promised another $30 million after the AMPS carriers, which had to abandon their spectrum according to an agreement with the Communications Ministry, received GSM 1800 MHz licenses. After the acquisition all of Tele2 subsidiaries switched to Tele2 brand. Tele2 planned to invest up to US$80 million in GSM communications in Russia in 2003. The GSM-1800 license was issued to Tele2 in 2001 for 10 years. GSM-1800 network was expected to be operational in Belgorod region in 2004. Brand name FORA Telecom (until 2001), Tele2 (after 2001) Starting from 2001 subscribers base is available only for FORA Telecom as a total and there is limited info about individual companies. Tele2, launched a GSM-1800 mobile network in April 2004. US$80 million investment (to be invested in Tele2 holdings - 11 companies in Russia in 2003) was added to project: Sankt-Peterburg Telecom and Oblcom Ownership of Tele2 increased to 70% in 2004. The other 30% were owned by Center Telecom (needs to be confirmed).

Information and communication technology (ICT)

Russia

World Bank Group

Project

Telecommunications, Manufacturing (Industrial), Government