Ukraine’s mobile operators open up potential of IoT services
Ukraine’s telecoms market has attracted investors from Turkey and Russia and although there remain considerable difficulties resulting from the annexation of Crimea from Russia and continuing unrest In eastern regions, the country has emerged from the severe recession of 2015 and 2016 and this is reflected in improving revenue growth for telcos.
The sizeable broadband market enjoys effective cross-platform competition. DSL remains an important platform though by the end of 2019 it is expected to have been eclipsed by fibre following efforts by operators to build networks based on FttP. Wireless platforms such as Wi-Fi and WiMAX exist on a smaller scale and there is ongoing investment aimed at delivering a national wireless network. A number of wireless broadband licensees have also had their concessions extended to 2025, which will provide greater certainty in investment decisions.
The competitive mobile market is dominated by the three network operators Vodafone Ukraine (owned by MTS and using the Vodafone brand name), Kyivstar (owned by VEON) and Lifecell (owned by Turkcell). These dominant providers have effectively stymied the development of the MVNO sector by promoting their own low-cost subsidiaries. As a result, the MVNO market remains underdeveloped and few operators have been licensed thus far. Nevertheless, in coming years a gap in the low-cost segment may provide the opportunity for MVNOs to thrive.
Mobile broadband services present a significant growth opportunity. Significant investment has been made in extending 3G infrastructure, while operators have more recently concentrated on LTE. Spectrum in the 2600MHz and 1800MHz bands were auctioned in 2018and all three MNOs promptly launched LTE services.
This report provides an overview of Ukraine’s telecom market, including profiles of the major operators, a review of telecom network infrastructure, regulatory measures, and emerging network developments. The report also reviews the mobile market, offering a range of statistics as well as assessments on the key players and technology deployments. In addition the report covers the fixed-and fixed-wireless broadband segments, including subscribers forecasts.
Key developments:
Legal amendments to Telecoms Law widen regulator’s powers;
Fixed lines in service continue to decline;
Fixed-line and mobile providers team up to offer bundled services;
Lifecell and Vodafone launch NB-IoT services;
Ukrtelecom extends fibre-based services to additional communities;
Aero extends WiMAX licence to 2025;
Report update includes the regulator market data, State Statistics data to December 2018, telcos’ operating and financial data to Q3 2018, recent market developments.Companies mentioned in this report:
Ukrtelecom, Kyivstar (Beeline), Datagroup, Eurotranstelecom, Vega, Velton Telecom, Intertelecom, ITC, Telesystems, Golden Telecom, PAN Wireless, Volia Cable, Ukrainian Radio Systems, Lifecell (Astelit), Vodafone Ukraine (MTS)
Henry LancasterFebruary 2019
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Key statistics Country overview Telecommunications market Regulatory environment Law of Ukraine on Telecommunications Regulatory authority Government policies Privatisation Interconnection Carrier selection and carrier preselection Number Portability (NP) Licensing Network access Fixed network operators Introduction Ukrtelecom Datagroup Eurotranstelecom Kyivstar Vega Wireless Local Loop (WLL) operators Velton Telecom Intertelecom International Telecommunication Company (ITC)/CDMA Ukraine Telesystems of Ukraine/PEOPLEnet Telecommunications infrastructure Overview of the national telecom network Ukrtelecom Datagroup Eurotranstelecom Kyivstar Vega International infrastructure Data centres Broadband market Fixed broadband market Introduction and statistical overview Hybrid Fibre Coax (HFC) networks Digital Subscriber Line (DSL) networks Fibre-to-the-Premises (FttP) networks Other fixed broadband services Fixed wireless (Wi-Fi and WiMAX) Digital economy E-Health Mobile communications Market analysis Mobile statistics General statistics Mobile infrastructure 5G 4G (LTE) 3G GSM Other infrastructure developments Mobile data Mobile broadband Regulatory issues Licences Mobile Number Portability (MNP) Major mobile operators Vodafone Ukraine (MTS Ukraine) Kyivstar Lifecell (Astelit) Ukrtelecom (Utel/TriMob) Mobile Virtual Network Operators (MVNOs) Mobile content and applications m-bankingList of Tables
Table 1 – Top Level Country Statistics and Telco Authorities – Ukraine – 2018 (e)
Table 2 – Telecom services revenue by sector – 2006 – 2018
Table 3 – Ukrtelecom financial data – 2008 – 2018
Table 4 – Ukrtelecom broadband and fixed-line subscribers – 2012 – 2018
Table 5 – Datagroup subscribers by type (historic) – 2010 – 2012
Table 6 – Datagroup financial data (historic) – 2010 – 2012
Table 7 – Kyivstar financial data – 2007 – 2018
Table 8 – Kyivstar financial data by sector – 2007 – 2018
Table 9 – Kyivstar financial data (UAH) – 2012 – 2018
Table 10 – Kyivstar revenue by sector (UAH) – 2012 – 2018
Table 11 – Kyivstar subscribers by sector– 2007 – 2018
Table 12 – Public payphones in service – 2014 – 2009
Table 13 – Historic - Fixed lines in service - 1995 – 2009
Table 14 – Fixed lines in service - 2010 – 2018
Table 15 – International bandwidth - 2004 – 2016
Table 16 – Internet access revenue – 2012 – 2018
Table 17 – Historic - Internet users and penetration rate – 1999 – 2009
Table 18 – Internet users and penetration rate – 2010 – 2018
Table 19 – Fixed-line broadband subscribers and penetration rate – 2005 – 2018
Table 20 – Forecast fixed broadband subscribers – 2019; 2021; 2023
Table 21 – Cable broadband subscribers – 2009 – 2018
Table 22 – Ukrtelecom broadband subscribers – 2011 – 2018
Table 23 – Kyivstar broadband subscribers – 2008 – 2018
Table 24 – Kyivstar broadband revenue – 2012 – 2018
Table 25 – Kyivstar broadband ARPU – 2011 – 2018
Table 26 – DSL broadband subscribers – 2009 – 2018
Table 27 – Kyivstar FttB subscribers – 2010 – 2013
Table 28 – Kyivstar FttB revenue – 2011 – 2013
Table 29 – Fibre broadband subscribers – 2009 – 2018
Table 30 – Historic - Mobile subscribers and penetration rate – 1995 – 2009
Table 31 – Mobile subscribers and penetration rate – 2010 – 2019
Table 32 – Total mobile market revenue – 2006 – 2018
Table 33 – Active mobile broadband subscribers and penetration – 2010 – 2019
Table 34 – Vodafone Ukraine subscribers – 2004 – 2018
Table 35 – Vodafone Ukraine revenue – 2004 – 2018
Table 36 – Vodafone Ukraine Value Added Service revenue – 2007 – 2015
Table 37 – Vodafone Ukraine annualised ARPU – 2004 – 2015
Table 38 – Kyivstar mobile revenue ($)– 2007 – 2018
Table 39 – Kyivstar mobile revenue (UAH) – 2015 – 2018
Table 40 – Kyivstar ARPU – 2007 – 2018
Table 41 – Kyivstar subscribers – 2007 – 2018
Table 42 – Lifecell subscribers – 2008 – 2018
Table 43 – Lifecell active subscribers – 2013 – 2018
Table 44 – Lifecell financial data ($) – 2007 – 2015
Table 45 – Lifecell financial data (Turkish Lira) – 2013 – 2018
Table 46 – Lifecell financial data (UAH) – 2014 – 2018
Table 47 – TriMob subscribers – 2010 – 2013List of Charts
Chart 1 – Telecom revenue by sector– 2006 – 2018
Chart 2 – Ukrtelecom financial data – 2008 – 2017
Chart 3 – Kyivstar financial data – 2007 – 2018
Chart 4 – Kyivstar financial data – 2007 – 2018
Chart 5 – Fixed lines in service - 2005 – 2018
Chart 6 – Internet access revenue – 2012 – 2018
Chart 7 – Internet users and penetration rate – 2002 – 2018
Chart 8 – Fixed-line broadband and penetration rate – 2005 – 2018
Chart 9 – Mobile subscribers and penetration rate – 2005 – 2019
Chart 10 – Vodafone Ukraine revenue – 2004 – 2018
Chart 11 – Kyivstar mobile revenue (UAH) – 2015 – 2018
Chart 12 – Lifecell financial data (UAH) – 2014 – 2018
