Russian IP VPN Market 2009-2012

30 dec 2009

This year Direct INFO has finished the third, annual survey on the interregional managing IP VPN in Russia. In spite of world crisis, this market is growing rapidly. During past year the market growth was 30 % and reached 8,6 bln. rubles.

The major driver of the growth is Government requests and other technology migration (particularly channel’s rent on the operators market) on the managing IP VPN.

Source: Minsvyaz data, Direct INFO estimation

Figure. Market of interregional managing IP VPN in Russia

70% of interregional market of IP VPN is shared between three leading players. In this case the leader is NOT considered as ROSTELECOM - РТКОММ.РУ. Second and Third places were taken by TTK and Beeline Business. Fourth place is taken by Orange. Services of interregional managing VPN with the control of services to customer quality are offered by fewer large regional companies and several international holdings. Share of those companies is 10% (Direct INFO estimation). The major operators of these services are: START TELECOM, Interregional company SVYAZINVEST, BRITISH TELECOM, some other international operators serving to their clients in Russia.

Average velocity of growth in subscriber’s database during 2006-2009 among intermediate and large enterprises – users of interregional VPN is 1000 companies per year. During spring 2009 it was 6,3 thousand companies or 3,8 % from the total interviewing companies. The majority of leading operators in the managing IP VPN focused on financial industry, among communication operators and in government and non-profit organizations (according to Direct INFO estimations).

Next two years will constantly rise up in managing IP VPN market. Year 2012 will show 18 billions. rubles growth in the market. The reason of this will be:

The growth of consumers of services in virtual private networks in corporate and government segments (the quantity of companies using VPN increased in 2012 compare with 2009 up to 80%)
The process of expenses optimization of users who are going to subscribe to other technologies (particularly channels rent) in managing IP VPN
Developing of networks of broadband access in regions using managing IP VPN (building up bearing network providing services in 3G, LTE and WiMax technologies)

For more information please contact our consultants.