Unlucky Chechen Telecom

Unlucky Chechen Telecom


Vsevolod Veselov, exclusively to Vestnik Kavkaza


Vainakh Telecom lost an equipment supplier for establishing a net of broadband wireless internet. The only Russian equipment producer for LTE standard broadband wireless internet announced its lay-off. Vainakh Telecom has no alternative supplier, it has to construct the net only with Russian equipment. Development of the communication provider’s net is under threat again.


Vainakh Telecom was one of first companies in the world, which declared an intention to build a 4G LTE standard net. If the plans were fulfilled, Chechnya would be a pioneer of constructing broadband wireless internet nets.


In 2010 the leadership of the telecommunication company rejected construction of Wimax net in favor of a promising technology of LTE. Many experts doubted whether the choice was right, as the new standard of broadband wireless internet access hadn’t got global approval. Time showed that the direction was right. However, numerous obstacles appeared on the path to construction of the net.


Failures started from the very beginning. One of conditions for getting a license for using radio waves for LTE technology within the range of 2.3-2.5 GHz was usage of “domestic produced equipment” in construction of nets. However, there was no such equipment at the market. Moreover, what “domestic produced equipment” is was defined by the Ministry for Economic Development and the Ministry for Foreign Trade in 2011 only.


The same year “a domestic producer” appeared in Russia. It was a joint company of Nokia, Simens Mobile, Rosnano, and Tomsk Mikran.


Vainakh Telecom didn’t wait for a moment when the company got a license of “a domestic producer” and used its equipment in construction of its net.


It planned to launch it into operation, but it appeared that the equipment wasn’t domestic – it Russian only CKD took place. The constructed net wasn’t allowed to be launched.


Meanwhile, constructions of LTE nets began in Russia within the range of different radio waves: Skartel (Yota), Megafon, Vympelcom, MTS, and Rostelekom got their own nets. Vainakh Telecom lost a status of a pioneer, but it continued trying to launch its net into operation.


In August 2013 there was information that the Chechen communication operator got a license for exploitation of its LTE net. The company began advertising its new service and selling customer equipment (brand routers). However, still there is no information on a coverage area.


The lay-off of the only supplier puts further development of Vainakh Telecom’s LTE net on risk. And the only way out is to get a license for the use of foreign equipment.