Armenia Extends Its Opportunities Of Linking To International Commun

ARMENIA EXTENDS ITS OPPORTUNITIES OF LINKING TO INTERNATIONAL COMMUNICATION LINES

Noyan Tapan
Feb 20, 2009

YEREVAN, FEBRUARY 20, NOYAN TAPAN. ArmenTel CJSC is at the stage
of signing an agreement on laying a new line linking Armenia to the
international fiber-optic line passing through Turkey. CNC-Alfa company
is building a fiber-optic channel in parallel with the Iran-Armenia gas
pipeline. It will connect Armenia with the international fiber-optic
line through Iran.

Fibernet’s and ArmenTel’s access lines connected with the international
communication lines passing through Georgia currently operate in
Armenia. NT correspondent was informed about it by Armen Grigorian,
Secretary of the IT Development Support Council (ITDSC), Head of the
Armenian Development Agency’s (ADA) Secretariate on IT Development
Issues.

In terms of developing the communication networks in Armenia, he
attached importance to the connection of channels of the companies
providing communication services, as well as to the start of the
process of signing agreements on conditions of the sale or exchange
of traffic. He expressed an opinion that the current situation in
this market is like "the previous situation in Armenia’s gasoline
market when gasoline was sold in cans".

In the words of A. Grigorian, there is no necessity for the state to
intervene in the market of the last mile Internet services because
the operation of other big companies (in addition to ArmenTel) in this
market has led to the fall in prices and the improvement of quality of
last mile services. "The providers raise the issue of use of penalties
against ArmenTel at ITDSC because the hi-line service provided by
ArmenTel makes competition in the "last mile" market impossible".

A. Grigorian conditioned the opportunities of further development of
Armenia’s Internet market by the fact that the third mobile operator –
Orange Armenia will start providing its services in late 2009, while
its founder – Orange company which is part of France Telecon group
has a great experience in the international market of development of
broadband Internet networks.

"As regards wireless Internet, it was announced that Armenia is among
those few countries that have a WiMax national network, but these
networks become especially efficient in mountainous areas when they
are connected to fiber-optic channels and Wi-Fi stations".

In this connection A. Grigorian underlined the importance of state
investments for creation of a powerful network of fiber-optic channels
in Armenia. This goal is reflected in the concept of Armenian IT
sector’s development approved by the government in 2008.