OREANDA-NEWS. May 21, 2009. Company TTK announces preliminary results of working with new market segments within the framework of its “Development Strategy for 2008-2015”. The Strategy was adopted by TTK’s Board of Directors in February 2008, reported the press-centre of TTK.

TTK Development Strategy suggest development of retail broadband Internet access in Russian regions, provision of local and Long Distance Calls telephony and other retail telecommunication services. Until 2015 TTK aims to control 17% of Russian regional fixed telecommunications retail market. Plans are to service more than 2 mln households.

During the initial stage of the strategy implementation TTK provided broadband services to 3 500 small and medium business companies (SMB) and 25 000 individual users as well as Long Distance Calls (LDC) services to more than 6000 corporate clients.

TTK group of companies started the implementation of the Strategy in the mid of 2008. In the beginning of the Strategy it was essential to develop versatile internal procedures, uniformed business processes as well as technical and technology solutions. Another important step for TTK was to form a team of managers both for new business areas and for the each of TTK’s regional branches and target cities where it is planned to provide broadband services using existing and acquired access networks.

The existing retail access networks of TTK’s regional branches were generally designed to provide broadband services via the DSL technology. According to the strategic decision taken prior to emerging to retail segment the new access networks are built exclusively with the use of optical technologies – FTTB (Fiber-to-the-Building) and xPON (various kinds of passive optical networks). The Strategy also suggests the acquisition of regional telecommunication companies. However TTK only considers acquiring companies which own optical metropolitan infrastructure that allows the provision of both broadband and telephony to customers.

In November 2008 TTK’s regional branches actively started to supply broadband services for retail customers. By the end of 2008 the service was piloted in 22 cities (covering one or number of residential areas in each city). By the end of the first quarter of 2009 the service was delivered to 5 000 multi-apartment blocks in more than 40 cities with more than 25 000 retail customers serviced. The ARPU (Average Revenue per User) is US19 per month.

By the end of 2009 TTK group of companies plans to provide broadband service to more than 75 000 retail customers and 6 500 business clients.

TTK also actively provides LDC services to corporate clients. Their current number now top to 6 000 and it is increasing 15% each month. The volume of voice traffic is also rising accordingly and now amounts to 110 mln. minutes each month. Starting January 2009 TTK registers the rise of LDC service consumption by clients from banking and oil & gas industries as well as SMB.

The past year LDC generated 2 bln. roubles revenue. The 2.5 rise up to 5 bln. roubles is expected by the end of this year.