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(And Not Only) in Russian Federation CO-DEPLOYMENT OF FIBRE OPTIC CABLES FOR CROSS-BOARDER CONNECTIVITY ALONG THE HIGHWAY ROUTS (AND NOT ONLY) IN RUSSIAN FEDERATION 1. Introduction 1.1. At 17,125,191 square kilometers, Russia is by far the largest country in the world, covering more than a ninth of the Earth's land area. Russia is also the ninth most populous country in the world with 147 million people. It extends across the whole of northern Asia and 40% of Europe, spanning 9 time zones and incorporating a wide range of environments and landforms. Russia has the world's largest reserves of mineral and energy resources, and is considered an energy superpower. It has the world's largest forest reserves and its lakes contain approximately one- quarter of the world's fresh water. Russia has boarders with 18 countries in Europe and Asia-Pacific area: Finland, Norway, Poland, Belorussia, Ukraine, Abhasia, South Osetia, Georgia, Azerbaidzhan, Kazakhstan, China, Mongolia, North Korea, Japan and USA. Russian Transport system in figures: • 11 major cities with the population more than 1 million inhabitants • 1 140 medium cities • 240 000 villages • 1 140 000 km regional roads • 45 000 km federal roads • 56.6 miln registered road vehicles • Access to 3 oceans • 64 seaports • 131 river ports • 200 000 km of rail roads • 250 federal and 400 regional airlines • 2 000 expedition companies 1.2. Cross-border check points. There is a network of 388 checkpoints on all extent along the state border of Russian Federation which is 62 262 km. The network is composed of 108 road, 56 railway, 81 air, 56 marine, 7 mixed, 3 river and 1 pedestrian checkpoints. The activities of branches take into account the social-economic development of the regions, cross border cooperation, intensity of movement of foreign trade goods and passenger traffic, which in turn is the basic principal for differentiated approach to the arrangement of each specific section of the state border. The main cross border check points are equipped with the modern fiber optic cable network and different equipment which allows the automatic mode to determine weight and size characteristics of trucks, to recognize the state registration marks of cars, to provide comfort, security and maximum speed of custom clearance of goods and border crossing formal procedures. 1 3. Mainline operators in Russia In Russia, the largest private Federal operators have practically monopolized the market of backbone Internet networks. They build the thickest lines of communication, and then sell to local providers the right to use them. The government had set a mandatory task for Federal operators in 2014 to enter each city with a population of 100 thousand people, and in 2018 it is mandatory to be present in settlements with a population of 8 thousand people. This is a very huge investment. But as a privilege they have a monopoly on the market of foreign traffic. The global backbone network of the Internet encircles the entire planet, connecting continents, countries and individual cities. In Russia, only large Federal providers can build cross-border networks and transfer traffic abroad. 3.1. Top 10 largest mainline operators in Russia In Russia, there are two segments of main communication networks: domestic and international channels. We present to you the Top 10 largest trunk providers in Russia: - Rostelecom-500 thousand km of fiber optic highways; - MegaFon (including Synterra networks) - 118 thousand km; - MTS - 117 thousand km; - VimpelCom - 137 thousand km; - TransTeleCom (TTK) - 76 thousand km; - Start Telecom - 16 thousand km; - Raskom - 8.6 thousand km; - Orange Business Services - 8.5 thousand km; - RentNet - 5.7 thousand km; - Telia Sonera International carrier Russia - 2 thousand km. The first five leaders are Federal Russian providers who invest heavily in the development of their networks and are practically monopolists in many segments of the high-speed Internet market in Russia. Most of the operators from the second five do not provide services to private Russian users, but work more with other providers, leasing their highways. 3.3. Problems of backbone networks in Russia The main problem of backbone providers in Russia is its size. After all, it is not enough to pave the highway, it is still necessary to maintain its normal operation, regularly upgrade and repair. And on such a vast territory it is extremely difficult and expensive. Therefore, providers often pull to the last with the modernization, trying to save and somehow increase the payback of the network. In addition, they are pressured not only by economic conditions, but also by legislation obliging each year to lay more and more main lines. 2 4. The Best practices of cross border fiber projects between Russia and neighbor countries Many years of successful international and domestic experience in developing fiber optic network, fulfilled, ongoing and perspective projects in Russian Federation demonstrates the effectiveness of legal, financial and technical escort with full set of tools to support, protect and promote industrial and business activities in this sphere. 4.1. Europe- Russia – Mongolia – China (ERMC) In early 2002 TTK Russia and Railtelia Ltd (Finland) announced the interconnection of their fiber optic networks following the railways on Russia-Finland boundary of Buslovskaya– Vainikkala. The segment Saint-Petersburg - Buslovskaya is a part of Trans Asian Railway Network. In 2004, as shown in table 4 below, TTK in collaboration with the Mongolian carrier “Ulan- Bator railway” and the Chinese national telecommunication company China United Telecommunications Corp. (China Unicom) offered the shortest fiber-optic path between Europe and Asia. This fiber optic line called ERMC (Europe – Russia – Mongolia – China) stretches from London to Stockholm, Moscow, Ulan-Bator, Beijing and ends in Hong Kong, following Mongolia - Russian Federation rail line (part of Trans Asian Railway Network). It provides an alternative, shorter path to submarine communications cables, spanning a length of 11 500 km. Table 1. ERMC (Europe-Russia-Mongolia-China) ERMC (Europe-Russia-Mongolia-China) Date 2004 Length 11500 km (total) International Russian Federation to China via Mongolia Connectivity Main Nodes London, Stockholm, Moscow, Ulan-Bator, Beijing, Hong Kong Capacity Initial capacity 40 Gbit/s, and it can be scaled up to 400 Gbit/s. Network SDH Technology Developers / Owners TransTeleKom (TTK), Russian Federation / Operators / Ulan-Bator railway, Mongolia Suppliers China United Telecommunications Corp. (China Unicom), China Continuity with Follows Mongolia - Russian Federation rail line (part of Trans Asian Rail/Highway Railway) 3 4.2. China and Mongolia. Commensurate with its status as the world’s largest country by landmass, the Russian Federation plays a pivotal role in facilitating terrestrial connectivity. In addition to the use of co-deployment as a best practice for the national network, several cross-border connections make use of co- deployed fiber optic cables. Russian Federation and China has implemented many cross border terrestrial fiber projects. As shown in table 2 below, few of these crossings extensively link Russia, China and Mongolia, providing valuable redundancy and opportunities for economic development. Table 2. Region Border Border Station Operator Crossing Russia and China- Fuyuan，Manzhouli， China Telecom, China Unicom, Mongolia Russia Heihe，Suifenhe China Mobile Russia and China- Erenhot China Telecom, China Unicom, Mongolia Mongolia China Mobile 4.3. Russian Federation (Rostelecom) – Azerbaijan. The routes follow the E119 highway ( AH8 segment of Asian Highway Network) and the Azerbaijan-Russian Federation rail line. Table 3. Russian Federation (Rostelecom) - Azerbaijan Russian Federation (Rostelecom) – Azerbaijan Date 2003 Length 400 km International Azerbaijan to Russian Federation via the border crossing at Samur, Connectivity Azerbaijan Main Nodes Baku Capacity Initial capacity of STM-1 (155.52 Mbps) Network Technology SDH Developers / Owners Azertelecom/Delta Telecom / Operators / Rostelecom Suppliers Fiber supplied by Alcatel Continuity with Follows the E119 (AH8) highway Rail/Highway Notes Rostelecom’s investment in the network, which stretches 200 kilometers on the Russian Federation side between Makhachkala and Derbent, was RUB 137 million (USD$4.5 million). 4 4.4. Russian Federation – Azerbaijan (Aztelecom). Azertelecom and the Russian Federation operator Synterra signed an agreement in May of 2009 for the construction of a 10 Gbps link between Derbent, Russian Federation and Guba, Azerbaijan, following the E119 (AH8) highway, within the framework of a $17 million joint venture between the two companies, known as C-Ring Telecom, aimed at targeting neighboring telecommunications markets in the Caspian region. In 2009 the Iran Mobin consortium also entered into a 50/50 joint venture with C-Ring to expand connectivity southward toward Islamic Republic of Iran. In July of 2010, the Russian Federation regulator Roskomnadzor granted a license to Synterra for the operation of the trans-border fiber optic link, and as of 2011 sources in Azerbaijan indicated that the Azerbaijani segments of the network had been completed and that C-Ring was awaiting completion of Russian Federation fiber segments. However, the future of the C-Ring consortium was called into doubt following the purchase of Synterra by Russian telecommunications conglomerate MegaFon in 2010, which reportedly reevaluated the role of C-Ring in its international network development
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