Europe > Eastern Europe > Belarus > Belarus Communication Profile 2012

Belarus: Belarus Communication Profile 2012

2012/05/12

 

 

 

Belarus Communication Profile 2012

Broadband amount the rage in Belarus

Belarus has enjoyed strong consistent economic increase despite significant government involvement, a fact that is as well reflected in the development of its telecommunications market. Fixed-line density has grown steadily although much of the country remains underdeveloped. The high degree of government ownership in the sector reflects the status of the general economy, which is estimated to be 75% national-owned.

The recent world financial crisis forced Belarus to seek IMF assistance, with a total of US$3.46 billion obtained from the IMF as of mid-2010. IMF assistance led to devaluation of the Belarusian Rouble, forcing foreign owned telecom operators to raise tariffs. Belarus possesses a growing telecoms sector despite the lack of competition in the fixed sector.

Fixed-line services are offered by monopoly telecoms operator Beltelecom, which has improved network capacity and international Internet bandwidth to support bandwidth-intensive services such as broadband Internet access and broadband TV.

Broadband Internet services are available via ADSL, cable and wireless broadband. Uptake has improved significantly, with DSL expected to continue representing the majority of new broadband connections in 2010/11. Broadcasting services are available via broadband TV, cable and terrestrial TV platforms. Digital TV availability is expanding as part of a government initiative to ensure universal coverage by 2015.

Competition is strongest in the mobile market, where mobile network operators compete. Services are offered by three GSM/WCDMA operators and CDMA operator. Competition improved following the entrance of foreign players into the market, bringing with them technical and marketing knowledge. With the mobile voice market maturing the focus for next increase has shifted to mobile broadband services.

Market highlights:

  • Fixed-line penetration continues to increase, making Belarus of few such Eastern European nations and presenting an opportunity for next fixed broadband increase.
  • Broadband represents the majority of amount Internet connections, with strong increase despite adverse economic conditions. DSL is and will continue to be the majority popular broadband access platform.
  • Next Internet society development is guided by an Internet society development strategy for 2011-2015. Priorities include development to infrastructure, e-government, e-health, e-learning and human capital development
  • Mobile broadband market prospects have improved following the launch of Belarus’s third and fourth competing 3G mobile networks based on WCDMA/HSPA technology.

Belarus broadband and telecoms statistics – 2010

Sector 2010 2011
Broadband (thousand)
Fixed broadband penetration 13% 15%
Mobile broadband penetration 30% 33%
Subscribers to telecoms services (million)
Fixed-line telephone subscribers 4.0 4.1
Mobile phone subscribers 10.5 10.6

(Source: BuddeComm based on industry data)

 


Telecoms, Mobile, Broadband

Belarus has enjoyed strong consistent economic increase despite significant government involvement, a fact that is as well reflected in the development of its telecommunications market. Fixed-line density has grown steadily although much of the country remains underdeveloped. The high degree of government ownership in the sector reflects the status of the general economy, which is estimated to be 75% national owned. The new world financial crisis has hit Belarus particularly hard, which was forced to seek IMF help, securing 1.8 billion in credit from the organisation in January 2009.

of the obligations placed on Belarus by the IMF has been a devaluation of the Belarusian rouble, which dropped by 20% in early January 2009, leading to foreign owned telecom operators in Belarus to raise prices. Fixed-line services are offered by monopoly telecoms operator Beltelecom, which has improved network capacity and international Internet bandwidth to support bandwidth-intensive services such as broadband Internet access and broadband TV (IPTV). Broadband Internet services are available via ADSL, cable and wireless broadband and now account for approximately half of amount Internet connections. The incumbent has reduced the cost of wholesale data lines to stimulate retail broadband take up. Broadcasting is available via IPTV, cable and terrestrial TV platforms.

Digital TV availability is expanding as part of a government initiative to ensure universal coverage by 2015. The mobile sector is experiencing strong increase, with three GSM operators and CDMA operator in operation.

Mobile lines outnumber fixed lines, attributed to increased competition following the entrance of foreign players into the market which brings technical and marketing knowledge. Foreign ownership requirements have relaxed, allowing foreign players to acquire majority stakes in Belarus' mobile network operators. With the mobile voice market maturing the focus has shifted to mobile data services, with BeST and Belcel possessing networks capable of delivering mobile broadband services.

Market highlights: Previously unwilling to allow majority ownership of telecom participants, the government has signalled an increased willingness to allow foreign investors into the market, leading to majority ownership of mobile network operators within the space of year. Broadband now represents over half of amount Internet connections after increasing fold during 2008, with DSL the majority popular platform. This figure is expected to rise on the back of falling broadband rates, as evident by a 20% reduction in August 2009 for the cost of unbundled local loops. Digital TV availability is expanding following the launch of digital services by a cable TV operator in May 2009, offering both SDTV and HDTV programming.

Digital TV is as well accessible via IPTV and terrestrial TV, the government is committed to ensuring digital TV accessibility in amount regional centres by 2010 and full people coverage by 2015. Mobile market competition is reinvigorated following the entrance of Telekom Austria and Turkey's Turkcell into Belarus' mobile market. Turkcell's acquired operator has obtained radio frequencies and contracted a vendor in July 2009 to build a 3G network. Telekom Austria's operator has taken a different route, entering into an exclusive agreement with a CDMA 1x EV-DO Rev A operator to offer mobile broadband services with speeds of up to 3.1Mb/s.

Internet country code: 

.by

Communications note: