We see our mission
in building the stable world of mobile communication,
which unites people, enriches their lives and discloses
their potential at work and home.
We use the flexible strategy trying to anticipate
tomorrow needs, attaining the highest quality of
services rendering and sustaining the growth of
company's value.
We aim to help people solve their problems, be happy
communicating with each other and feel free in time
and space.
We aim to unite all departments of our company to
a joint team, where high ability, dedication to
the company and responsibility are the main features.
We are sure to attain all the goals of the company,
due to the knowledge of our customers' needs, work
of the qualified specialists, constant introduction
of up-to-date technologies and deliberate approach
for the company development.
"New Telephone Company"
 Overview
of NTC. |
Corporate philosophy.
New Telephone Company shall increase the standard
and public welfare of the people through sound
management and telecommunication development and
promotion of up-to-date telecommunication services
with the purpose to contribute for the highly
civilized society development.
Corporate profile.
NTC is the only commercial structure in Primorski
region engaged in four directions of telecommunication
industry at the same time - wire telephone communication,
mobile communication in GSM-900/1800 standard,
Internet access services and IP-voice. The company
uses the most contemporary technologies for services
rendering and networks development, taking the
experience of the largest telecommunication companies
in the world.
Chronology of Events.
· December 28, 1992 - the group of Russian
companies, "Far Eastern Shipping Company"
JSC, "Dalmorstroy" JSC and "ACFES"
JSC founded "New Telephone Company"
JSC Ltd. with the statutory capital of 100,000,000
roubles.
· March 10, 1993 - NTC obtained the license
on public telephone services rendering. And in
the year 1995, after introducing the modern digital
automatic telephone station Samsung TDX-1b, the
Company has started rendering services in traditional
field of telecommunication industry.
· December 26, 1995 - New Telephone Company
obtained the license on mobile communication services
rendering in the range of 900 MHz.
· April 1998 - NTC started commercial exploitation
of digital cellular radiotelephone network in
GSM 900 standard on the base of Motorola equipment.
· The end of 1997 - The South Korean telecommunication
conglomerate Korea Telecom purchased NTC major
shareholder holding. The mutual project of NTC
and Korea Telecom was started. During the period
from December 12, 1997 till the end of 2000 more
than $25 million were invested to NTC - about
$13 million by Korea Telecom and the rest $12
million by the credit of European Bank for Reconstruction
and Development.
· November 11, 1999 - NTC obtained the
license on telematic services rendering.
· April 27, 2001 - There was a decision
to increase the statutory capital in NTC Shareholders'
Extraordinary Meeting. As the result, 6 million
ordinary registered shares were issued with the
par value of 35 roubles per share. The placement
of 3 million shares of Korea Telecom let NTC get
investments in the amount of $9 million.
· November 2, 2001 - The permission for
commercial exploitation of the Internet centre
and provision of telematic services to PSTN and
GSM subscribers was received.
· December 29, 2001 - The 20000th NTC GSM
subscriber was registered.
· January 18, 2002 - Appendix #10 to license
#3665 was registered for providing mobile telecommunication
services in the range of 900 MHz. This appendix
allows providing radiotelephone services in the
range of GSM 900-1800 MHz.
· November 27, 2002 - The 50000th NTC
GSM subscriber was registered.
Mobile communication network GSM - 900 / 1800
GSM standard (Global system for mobile communication),
having entered into new millennium, has continued
the development of land mobile communication networks
covering more and more territories. The growth
of mobile communication networks' subscribers
across the world for the year 2001 reached 400
million people, the total quantity of subscribers
at the beginning of April of 2002 was 1 billion
people. The total amount of GSM networks' subscribers
across the whole world became more than 670 million
people or 67% of the world mobile communication
market.
As for the Russian Federation, the subscribers'
base growth of mobile communication was equal
112% of the last year volume or 8 810 000 subscribers.
The total quantity of GSM networks' subscribers
registered on the 1st of December of 2002 reached
16 650 000 people.
Similar positive tendencies were in Primorski
krai, where during 2002 the total increase of
mobile communication networks subscribers' reached
58 923 people or 107 000 people of the total amount.
51% of this quantity became NTC subscribers, having
increased the company subscriber's base more than
2.5 times
Trends at the mobile communication market
by the amount of subscribers as at the end of
the year,
according to the data of marketing dept.
Graph
1
New Telephone Company is the rapidly growing cellular
communication operator using GSM. The successful
marketing strategy and technical advantages of
GSM standard allowed NTC to occupy strong leading
position at the mobile communication market of
Primorsky region. On the 29th of December 2001
the registration of the 20000th subscriber became
the historical event and was the
top of the marketing plan accomplishment of the
year 2001.
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Herein, despite the
competitors reply reaction in the form of marketing
aggressive actions, the subscribers' increase has
continued its rapid growth and by the end of November
2002 NTC subscribers' quantity reached 50 000 people.
Perspectives.
· According to the data of NTC Marketing
Department, the quantity of potential mobile communication
subscribers in Primorski krai is about 110 000
people for the year 2002. At the same time, the
competition for the existing potential of the
market will be between operators of GSM standard.
Graph
2
· As for the marketing plans, the most
important directions are the considerable growth
of subscribers and the penetration percent increase
at the mobile communication service market. Among
measures, chosen to reach the established goals,
the most important are the improvement of the
subscribers' service quality, optimization of
tariff plans and intensive advertising policy
in conjunction with the marketing actions.
· In order to attract new subscribers and
improve the quality of rendered services considerable
strengths and investments will be directed to
the development of technical base. The main tasks,
defined by the company's technical departments,
are the network expansion by GSM 900/1800 new
base stations installation and work over the stations
expertise, installed in 2002.
Public Switching Telephone Network PSTN .
Public Switched Telephone Network (PSTN) is the
ground of most up-to-date telecommunication services
development. Specialists insist that the Internet
development and promotion of other telematic services
are possible in case of good PSTN development.
So, further investment to PSTN network is the
necessary condition for providing the intensive
development of NTC Internet project.
Creating the base for its further development,
New Telephone Company has started to render public
telephone service from Egersheld, district of
Vladivostok, in December 1994. Later the geography
of PSTN service penetration has gradually covered
several other districts. At the present moment
NTC is the second operator in Vladivostok widely
rendering qualitative telephone service to the
citizens and companies, and also provides telematic
services.
The result of the company's activity in PSTN development
for more than 10 years was more than 15300 subscribers
in November 2002.
Amount of PSTN subscribers by the amount
of subscribers as in November 2002
Graph
3
At the same time the penetration rate at PSTN
market was 9% from the total amount of installed
telephones by the 3rd quarter of 2002. It was
possible due to the usage of up-to-date technology,
new technical decisions and the system approach
towards PSTN development.
NTC penetration rate at the PSTN market
by the amount of subscribers as in November
2002
Graph
4
Perspectives.
· In the nearest future NTC is going to
get about one third of the potential subscribers
at the PSTN market in Vladivostok. PSTN development
will be prolonged in the way of new trunk cable
line construction in new parts of the city and
krai, and also in new subscribers connection using
SLM technology.
· In order to provide the intensive growth
of the company subscribers' base, Marketing division
elaborates a series of measures directed to the
demand study in some city districts, also the
improvement of the quality of subscribers' service
and the implementation of the additional services
and tariff policy optimization.
· The main direction in plan realization
of PSTN expansion is the technical base development.
According to this fact, NTC specialists will continue
works over the construction of trunk cables, preparation
of Tandem-5 for the further expertise, construction
accomplishment of trunk circuit lines, expansion
of ATS number capacity and further introduction
of SLM technology.
Internet Technologies
Development of telecommunication area in the world
and in Russia influences all spheres of activity
and living, Internet and e-mail became an essential
part of modern life. In the very beginning Internet
was a system for data exchange, but now Internet
combines all functions of mass media and became
a universal system. Multi-media, newspapers, stock-exchanges,
on-line shops, entertainment, business, advertising,
telephone communication - each day the range of
Internet abilities becomes wider and people more
and more need Internet as a data exchange system.
Internet in Primorski region is a very perspective
area as our region now is only at the beginning
stage of Internet implementation.
Amount of Internet subscribers
as at the end of the month of October 2002
Graph
5
Perspectives.
· According to data from NTC Marketing
Dept. there are 150 000 potential Internet users
in Primorski region. It is important to use both
intensive and extensive methods of development.
The perspective spheres are getting potential
Internet users from active local and mobile subscribers,
providing network access and VolP on Dalsvyaz
network, extension Internet service in big cities
of the region.
Amount of VoIP subscribers
as at the end of the month of October 2002.
Graph
6
· In order to promote services in the market,
increase the number of subscribers and increase
the penetration rate in the market of Internet services
NTC has chosen a strategy of Internet services popularization
through advertising and training actions, flexibility
of tariff policy, direct sales through advertising
agents. Besides, we make stress on high-speed access
through ADSL lines in different city districts.
· During 2002, 4 DSLAMs and 1 HomePNA node
were installed.
Corporate strategy.
Strategy of New Telephone Company is directed
toward the further telecommunication development,
as one of the major elements of stable economic
growth and introduction of newest technologies
into the process of technical development. The
main target within extending NTC business to other
regions of Russian Far East will be actions directed
to hold the leading positions at the cellular
communication market of Primorski region and also
achieving the leading positions in other corporate
business directions.
Within expanding the business and increasing the
penetration rate at the telecommunications market
we will continue investments to the development
of new business directions, increasing the quality
and level of rendered services and subscribers
service with the purpose to satisfy the consumers
needs for various communication services at optimal
prices.
Taking the direction towards intensive business
development in the region we will go forward for
implementing our social role, as the company purposed
to contribute for creating the highly civilized
society and developing infrastructure of the region.
Changes in business portfolio
(by the revenue from services)
Graph
7
Expected business performance by Revenue
(Unit: Thous. U.S. Dollars)
Graph
8
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