VimpelCom decided to give Nokia and Huawei its mobile network

Photo: Yuri Smityuk / TASS

The company “VympelCom” has agreed with Telecom equipment manufacturers Huawei and Nokia about outsourcing the maintenance of their communication networks in Russia. In the Russian division of partners will go as 2.8 thousand employees of “VimpelCom”

That “VympelCom” (provides communication services under the Beeline brand) expands its cooperation with Telecom equipment manufacturers Huawei and Nokia, said the operator’s CEO Kjell-Morten Johnsen at a press conference on Tuesday, March 7, the correspondent of RBC. In the Russian divisions of these companies will go to 2.8 thousand employees of “VimpelCom”. In the state of “VimpelCom” will be workers who are responsible for the sales, bringing new products to market, etc. Contract with partners is signed for five years. Its sum is not disclosed.

According to him, the company will serve subscribers of “Beeline”, said Executive Vice-President for infrastructure development of “VimpelCom” Martin Skop. According to him, the goal that was set in front of the company headquarters (100% of the Russian “VimpelCom” owns VimpelCom Ltd.) — to become the best company in the field of network management communication. Among the tasks of the operator — cost reduction, improvement of quality and also smooth transition to the new management model.

Nokia will operate the equipment, maintenance of facilities, planning and optimization services network operating in the Central, southern and North Caucasus Federal districts. Huawei will carry out the same functions in the North-Western, Volga, Ural, Siberian and far Eastern districts. VimpelCom expects to complete the process of transformation by the end of 2017.

The company is not the first such experience. In 2012, VimpelCom has outsourced the servicing of its mobile network in the Central Federal district, the company Nokia Siemens Networks (now Nokia), in the Volga and far Eastern — Huawei, Siberia and the Urals — Ericsson. In October 2016, the operator announced a closed tender for selection of new partners for outsourcing, including fixed-line networks. As told RBC source close to “to VympelCom” the company hoped to sign a contract worth 37.5 billion rubles, while the cost of maintenance for the old model, the company with the involvement of contractors for maintenance of the networks, was estimated at 48 billion. the results of the tender were to fail at the end of October 2016, but for a long time they argued the headquarters. In addition to the winning companies in the tender also participated ZTE.

Thus, according to VTB Capital, in 2016, the capital expenses (CAPEX) VimpelCom, most likely, was lower than the competition. This indicator of “VimpelCom” was 17% in relation to annual revenue or 41.4 billion. while MTS and MegaFon’s CAPEX is expected to reach 22-23% of revenues (the company has not yet released results for the year 2016).

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