ROSTELECOM: Transit –Asia The New Opportunities

Moscow 27.10.2011

www.rt.ru FACTS & FIGURES

2 www.rt.ru ROSTELECOM AT A GLANCE, 1Q 2011

29,2 mln fix line subscribers

7,4 mln broadband subscribers

5,5 mln pay TV subscribers

13,8 mln mobile subscribers

6 bln minutes of voice traffic per month

3 www.rt.ru OUR BACKBONE NETWORK DEVELOPMENT 4

Backbone length– 500,000 New transit routes to Iran, Current capacity – 3,2 Tbps km China TEA upgrade up to 200 Local backbones–2,6 mln New EPEG cable system Gbps km 2012 2012

www.rt.ru OUR IP/MPLS NETWORK 5 INTERNATIONAL PoPs • UK, London: LINX • Sweden, Stockholm: Netnod • Germany, Frankfurt: DE-CIX, KleyrexIX • Netherlands, Amsterdam: AMS-IX

www.rt.ru OUR IP NETWORKEfficient CONNECTIVITY Connectivity 6

In 2011 there are over 100 notable players at the national wholesale and retail Internet markets

AS № AS №

Rostelecom leads both of them

Source: Renesys, Connectivity rating in , September, 2011

www.rt.ru NEW PROJECTS

7 www.rt.ru EUROPE-PERSIA EXPRESS GATEWAY (EPEG)

A BRAND NEW HIGH CAPACITY FIBER OPTIC CABLE SYSTEM EPEG WILL LINK EUROPE WITH MIDDLE EAST IN MAY, 2012.

EPEG consortium strategy is to increase ME region connectivity via new transit traffic system that will go from Oman to Frankfurt through Iran, Russia and Western Europe.

EPEG CONSORTIUM MEMBERS will build and develop their part of the network.

8 www.rt.ru EPEG KEY FEATURES

EPEG IS A NEW RELIABLE AND PHYSICALLY REDUNDANT EU-ME ROUTE

CAPACITY CALCULATED RTD DISTANCE Design - up to 3,2Tbps Short route - 91.97 ms Short route – 9,430 km Initial - 540 (54x10) Gbps Long route - 98.51 ms Long route – 10,100 km

EPEG geographic routing

Frankfurt am Main SERVICES 10G wavelength • Ancotel • Interxion LEASE OPTIONS IRU Monthly basis • SMW-3 • GBI • FLAG • EIG • TWA1 • POI Barka • MENA • Omran

9 www.rt.ru NEW TRANSIT ROUTES TO MIDDLE EAST EUROPE – IRAN ROUTE runs via Russia - G- submarine cable – Georgia – Armenia CAPACITY – х10G. This route becomes a second available one from Europe to Middle East via Russian territory in addition to the existing route via Russia and Azerbaijan.

EUROPE – AFGHANISTAN ROUTE runs via Russia, Kazakhstan, and Uzbekistan. New route enables traffic transit to Afghanistan and provides the most reliable connectivity between Europe and Afghanistan at the present time.

10 www.rt.ru NEW TRANSIT ROUTES TO ASIA EUROPE – CHINA ROUTE runs via Russia and Kazakhstan CAPACITY – N х10G. This new route was recently constructed by Rostelecom, China Telecom, and KazakhTelecom. At the moment it becomes the shortest available route between China and Europe.

11 www.rt.ru TRANSIT EUROPE-ASIA ROUTE UPGRADE ( -2)

Rostelecom will upgrade the Transit TEA-2 SYSTEM WILL BECOME A Europe-Asia (TEA) route up to LOW-LATENCY ROUTE ALTERNATIVE 200 Gbps in 2012 to offer TO SUBSEA CABLE SYSTEMS competitive high capacity PROVIDING 10G WAVELENGTH TO connectivity from Europe THE MARKET ON IRU AND MONTHLY to China and Japan BASIS. via Russian territory.

This fully terrestrial path runs from Europe to Hong-Kong over DWDM networks of Rostelecom and China Telecom, and extends to Tokyo via protected Russia-Japan Cable RFS DATE – 1Q, 2012 System (RJCN) and KDDI network.

12 www.rt.ru OUR CONTACTS

OJSC Rostelecom 14, 1st Tverskaya-Yamskaya st., , 125047, Russia Phone +7 499 999 8283 Fax +7 499 999 8222 www.rt.ru

www.rt.ru