MTS Steps Over 10 mln Threshold

Russian cellular sector expanded by 1.125 mln new users in April 2003. The growth is mainly fueled by the further proliferation of services on regional markets.

MTS celebrated its 10,000,000 subscriber during Svyaz-Expocomm'03 annual communications exhibition held in Moscow. This milestone (achieved mainly thanks to recent acquisitions and aggressive regional expansion) positions MTS on par with leading European operators.

Top 10 Cellular Operators

Company April 30, 2003 March 31, 2003
Total Moscow Total Moscow
MTS* 10,215,000 3,750,000 9,510,000 3,545,000
Vimpelcom 6,580,000 4,090,000 6,170,000 3,940,000
MegaFon** 3,820,199 403,170 3,635,940 387,706
SMARTS Group 703,900   671,850  
Uralsvyazinform 601,800   551,400  
N.Novgorod Cellular 212,700   201,630  
Tomsk Cellular Communications 135,278   123,630  
Ekaterinburg Cellular 126,700   114,700  
Tatincom 124,868   122,864  
SibChallenge 113,875   102,700  

*including UMC of Ukraine (1.86 mln) and Belarus subscribers (105,000)
** including 6,238 in TT-Mobile (Tajikistan)

Russian Cellular Market Breakdown, April 2003

The chart above includes only Russian subscribers, all CIS networks were excluded from calculations.

Moscow Market

Vimpelcom retains leading positions on Moscow market with approximately 50% market share.

Although MegaFon and Vimpelcom managed to win back ~6% of net additions from MTS in April, MTS' share in new subscriptions remains dominant as the company slowly catches up with Vimpelcom in the Moscow License Area.

MegaFon's Moscow sales are recovering from March problems but the company attracted twice less new subs compared to its January figures.

Moscow Net Additions in April 2003