In holding VEON (which owns the Russian “VimpelCom”, which provides Telecom services under the brand “Beeline”), filed with the Commission on securities and stock exchanges of the USA (on the us NASDAQ traded shares of the company), lists the risks associated with the adoption of the package of anti-terrorist amendments, the so-called law of Spring. He, among other things, requires operators and organizers of information dissemination in the Internet (e-mail services, instant messengers, forums) from 1 July 2018 to store the phone records and emails of its subscribers and users for a period of up to six months, and information about the facts of reception, transmission, delivery and processing of voice information and text messages as well as images, audio and video — from one year to three years.
As noted in the document VEON, operators are required to provide the investigative authorities with information about users and any other that will be necessary, including codes to access the encrypted data. In addition, operators will have to block service to users whose personal data are not consistent with those they used when registering. “This can lead to administrative fines and affect the efficiency of our licenses,” writes VEON.
The company also specifies that while the practical implications of the law are unclear, since no by-laws are enacted. “The introduction and support of legislation can result in significant cost to the design and manufacture of specialized equipment and tools, as available products do not satisfy the requirements of the new law. It is currently expected that these costs will be borne by the telecommunications company, and together with the diversion of attention and resources to leadership, they can have a significant impact on our business and operations. We expect that operators will compensate for losses by raising the retail tariffs, which in turn may adversely affect demand for telecommunications services,” concludes VEON.
The estimated amount of expenses the company failed. Previously the “big four” appreciate their costs of compliance with the law 2.2 trillion In mid-January, Deputy Minister of Telecom and mass communications Alexey Volin said that the operator cost for storage will be reduced to approximately 100 billion rubles due to the decrease in the stored volume of traffic.
In addition, VEON indicates that a violation of the “law of Spring” along with a failure to satisfy the requirements of storing personal data on servers located in Russia, may cause a “forfeiture database and the operator equipment and/or prohibitions on the processing of personal data by the operator, which in turn can lead to the impossibility of providing services to customers”.
Holding company VimpelCom, which owns the Russian cellular operator “VimpelCom” (brand “Beeline”), was renamed VEON on March 30. Rebranding was carried out in accordance with the new positioning of the company: telecommunications it should become a technology. In Russia, the operator will continue to provide communication services under the Beeline brand, reported a press-the Secretary Anna Aybasheva.