J’son & Partners Consulting together with General Informational Partner – Compulink Company – presents brief results of the research: The Construction of Fiber-Optic Line (FOL) Market in Russian Federation.
We also recommend you to watch video interview with Alexey Klivenko (Vice President of GC Compulink) on the corporate video portal JSON.TV:«Fiber-Optic Line Imlementation by Compulink’s Technology»
FOL construction market in Russia is experiencing changes nowadays, due to the high demand on fixed and mobile broadband access (BBA) services. Key demand drivers for these services are:
- Increasing number of multimedia BBA-devices among end customers;
- Expansive range of new services based on high-speed data transfer with consumption of large data, such as IPTV, online-TV, navigation and map online services, and other “heavy content” services.
Main trunk FOL directions had been constructed by now and at present all focus is made on WAN construction in the Russian regions. The explosive growth of traffic forced companies to modernize the transmitting capacities of currently operating trunk networks till terabyte level.
According to J'son & Partners Consulting, in Russia the length of fiber-optic communication lines increased for 61.6 thousand km (excluding mobile backhaul).
Lack of market growth in 2012 is explained by range of problems connected to market leader’s activities of InfraEngineering Company, which constructed networks for Rostelecom company and took over 1/3 of the market in 2011. Changes in assets and main contractor for FOL construction influenced the total market tendencies.
According to J'son & Partners Consulting’s estimations, in 2013 half of all constructed optical networks are located in North-West, Central and Volga federal regions. In 2011 share of these regions in the total number of constructed FOL was 55%. Share of these regions is decreasing and operators’ focus is aimed at Ural federal region (UFR). The active construction of FOL in 2013 was observed in Siberia (SiFR) – 15% of all constructed FOL.
Intracity networks secured the key growth rate of FOL length in 2013. This increase is being explained by the development of high-traffic generated BBA services in medium-size and small Russian cities. Nevertheless, according to J’son & Partners Consulting’s experts, the construction of intrazone FOLs will prevail in the short-term perspective – in order to connect new cities to trunk operators’ networks. The “milestone” period will more likely be in 2016, when major part of constructed FOLs will be the intrazone networks.
According to J'son & Partners Consulting, over 100 companies operate on the FOL construction market today, 20 largest of them have around 80% market share. TOP 10 largest companies are:
- http://bses.ru/ http://www.compulink.ru/
By J'son & Partners Consulting’s experts opinion, the following tendency can be viewed lately on the FOL construction market – increasing business activity of small construction companies. They more and more often compete with large market players, but in general still do not play major roles on the market, and work as sub-contractors. Key customers on FOL construction in small and average cities are large communication operators, which fulfill projects together with large construction companies.
FOL Construction Market in Russia is stable and attractive one. It provides its participants opportunities for further development for new construction and for network modernization by capacity inceasing of currently working FOLs.
The following questions have also been researched in the study:
- Market competition: in-length and monetary indicators of construction companies, their market shares;
- The description of main markets, influencing the development of FOL in Russia;
- Analysis of FOL market structure (by types of networks, construction, customers);
- Market geographical structure by revenue from construction and length of new FOL;
- Forecast of key market indicators till 2018.
Detailed Results of the Research are Presented in the Full Version of the Report (122 p): Overview of FOL Construction Market in Russian Federation, 2011 – 2018
- The Construction of Communication Networks in Russia: Main Tendencies
2.1. Drivers for Fiber-Optic Technologies Development
2.2. Key Stages of Fiber-Optic Networks Development in Russia
2.2.1. Trunk Networks
2.2.2. Intrazone Networks
2.2.3. FOL Deployment for Mobile Backhaul
2.2.4. Intracity Networks and Access Networks
2.3. Market Pecularities
2.3.1. Capital Costs Reduction
2.3.3. Expansion of Specialization
2.3.4. Regional Market Players’ Activity
- Estimation of Russian Communication Networks Construction Market’s State, Results of 2013
3.1. Total Russia – Physical and Monetary Indicators
3.2.1. By Types of Networks (Trunk, Intrazone, Intracity)
3.2.2. By Types of Construction
3.2.3. By Federal Regions
3.2.4. By Key Customers’ Categories
3.2.5. Analysis of Leading Market Players’ Activity. Competitive Situation.
- Communication Networks Construction Market in Russia: Forecast and Perspectives for 2014-2018
4.1. Forecast for Trunk Communication Networks Construction
4.2. Forecast for Intrazone Communication Networks Construction
4.3. Forecast for Communication Networks Construction – Transport Networks for Mobile Backhaul Deployment
4.4. Forecast for Intracity Networks and Access Netowkrs Development
Annex. Profiles of Largest Companies – FOL Contruction
This Information Note is Prepared by J’son & Partners Consulting, We strive to provide factual and prognostic data that fully reflect the situation and are available to us before issuing the material. J’son & Partners Consulting reserves the right to revise the data after publication of new official information by the market players.
· http://bses.ru/ http://www.compulink.ru/