09/04/2001 | www.europemedia.net

Ukraine Internet Association to appeal against Ukrtelecom's pricing policy

Novecon, the Russian news agency, reports that the Ukraine's
Internet Association (INAU) intends to appeal to the local Anti-Trust
Committee against the pricing policy of Ukrtelecom, the national

Earlier this month, the country's Supreme Arbitration Court
overturned a ruling by the
Kiev city arbitration court ordering Ukrtelecom to pay Golden
Telecom, the alternative fixed-line operator, UAH17.8m (E3.6m) for
failing to allow the Ukrainian-US joint venture full access to the Kiev
city telephone network.

INAU, which represents the interest of internet service providers in
the Ukrainian market, is arguing that Ukretelcom's decision earlier
this year to raise the rent of major communications channels by 20
per cent and simultaneously cut the price of internet access for end
users, restricts the level of competition in the sector.

Indeed, in a recent open letter vilifying the decision of the Supreme
Arbitration Court to reverse the previous ruling in favour of Golden
Telecom, INAU said that "all members of INAU, to one or another
extent, suffer from the dominant position of the state
operator-monopoly" and that although the earlier decision
appeared to finally show that the government was getting serious
about applying the law and commercial principles to disputes in
the telecoms sector, this was a red herring.

The INAU continues to say that the success, or not, of alternative
operators' activities continues to depend on the whims of a few
government officials. Not an ideal situation
for the government, which is trying to conjure up interest among
foreign investors for a 37 per cent stake in Ukrtelecom.


  • 2001.09.04 | www.europemedia.net

    Internet grows slowly in the Ukraine

    Internet grows slowly in the Ukraine

    More than 32,000 hosts, 11,000 '.ua' domains and 6,000 web
    servers were registered in the Ukraine by the end of 2000, according
    to Ukrtelecom, the Ukrainian state-run operator. The annual average
    rate of internet expansion in the world is about 50 to 55 per cent,
    while the Ukrainian rate is 40 per cent. In addition, Ukrtelecom
    remains the largest Ukrainian ISP according to the company itself.

    Ukrtelecom's internet subscribers grew four-fold last year to 7,500.
    Most are based in the areas of Kiev (50 per cent), Donetsk,
    Dnipropetrovsk, Kharkiv and the Odesa regions. The least
    developed are the Khmelnytsky and Volyn regions.

    According to Deputy State Telecommunications Committee
    Chairman Aleksander Baranov, the internet is growing too slowly in
    the Ukraine as compared with other European countries. During the
    conference 'The Reality and Prospects for Developing the
    Information Community in the Ukraine' he stated that the Ukraine
    has around 300,000 frequent internet users. Another 150,000 use
    the medium occasionally. The population of the Ukraine is over 49
    million however.

    Ukrainian websites fall into the following categories: businesses -
    47 per cent, news and information - 16.6 per cent, entertainment -
    14.8 per cent, research and education institutes - 4.4 per cent.

    The number of people enjoying access to the internet in the Ukraine
    will significantly grow next year, according to forecasts, the Director
    of Infocom (Ukraines other large ISP) Vasyl Polischuk said. His
    company announced the launch of Ukraine's first general-purpose
    data storage center - the Data Center. The project is based on
    solutions from US Intel. The company plans to host more than
    15,000 websites in the next few years.

    It is forecast that, in 2003, Ukrainian users will make spend 30 per
    cent of their time on Ukrainian sites, 30 per cent on CIS countries'
    sites (mainly Russia) and 40 per cet on sites from the rest of the
    world. Currently they spend 65 per cent of their time on websites
    from the rest of the world now.

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