**Brief Overview of Armenia****=****s Telecommunication Services Market**

 

Source: U.S. Embassy, Yerevan

Author: George Isayan, BISNISRepresentative

Date:    August 1999

 

Telecommunications services inArmenia, including satellite connections and Internet services  are provided by the Greek-Armeniancompany Armentel.  Ninety percentof Armentel's shares belong to Greece's state-owned telecommunications companyOTE for which it paid $142.5 million, with the remaining 10 percent belongingto the government of Armenia. In 1997, the company was licensed by the Ministryof Communications of Armenia and given 15 year monopoly rights on internationaltelecommunications services in the country. Armentel itself sets tariffs forthe use of satellite channels. Basic tariffs are set in the license agreementthat gives Armentel the monopoly rights. Because of the monopoly, no othercompany is able to provide international satellite services.  The EBRD is planning to purchase 9%stake in Armentel by paying $17.6 million. This deal may reduce the mobilephone and data transmission monopolies to 5 years.

 

**Sales Prospects**

 

Modern Telecommunications Equipment:

 

Armenia's telecommunications networkis outdated. Currently, Armentel is upgrading the country's telephone networkby installing new digital telephone stations.

 

Internet Services:

 

The primary Internet providers inArmenia are Arminco and Infocom, both the local companies, use Armentel'ssatellite channels for connecting to the Internet. There is a growing number ofInternet users in both the residential and business sectors. Due toinconsistent service the potential exists for competitors of Arminco andInfocom to enter the market.  

 

**Key Contacts**

 

Armentel - Armenia Telephone Company

Kiriakos Khristodulidis, CEO

2 Aharonian Street, Yerevan-14,Armenia

Tel: (374-2) 288-761

Fax: (374-2) 151-001

 

AATV Communications ArmenianAmerican JV

Wireless Cable TV 

Shane Sorg, President

8 Hanrapetutian St., Yerevan- 10,Armenia

Tel: (374-2) 545-454

Fax; (374-2) 151-675

E-mail: [email protected]

 

Infocom

A. Gabrielian, CEO

22 Sarian St.,Yerevan-2, Armenia

Tel: (374-2) 530-369

Fax: (374-2) 528-856

E-mail: [email protected]

 

Arminco

A.Alexanian, CEO

26 Isahakian St.,Yerevan-9, Armenia

Tel: (374-2) 526-313

Fax: (374-2) 285-082 

[email protected]

 

 

Telecommunications:Promising Leads

 

SUBJECT: (TOP) ARMENIA.TRADE OPPORTUNITY - WIRELESS CARDS

 

1.  463/01/P0013 

2.  032499

3.  ISAYAN

4.  463 

5.  M

6A. CONTACT: 

6B. MR. GRIGORI SAGHYAN,TECHNICAL DIRECTOR

6C. ARMINCO 

    28 ISAHAKIAN STREET,YEREVAN - 09, ARMENIA

7.  PHONE: (374-2) 526-326 

8.             FAX: (374-2) 285-082

8A. E-MAIL: [email protected]

9.  101

9A. 

10A. N/A

 

11. COMMENTS: 

 

PRODUCT DATA

A.                DETAILEDPRODUCT DESCRIPTION: "WAVELAN" 11 MBIT WIRELESS CARDS,

MANUFACTURED BY LUCENT TECHNOLOGIES,INC.

 

B.           B.PRODUCT SPECIFICATIONS/TECHNICAL DATA: N/A

C. QUANTITY: 10-100 

D. U.S. DOLLAR VALUE: UPTO $100,000

E. PURCHASE NEEDED BY:MULTIPLE, DURING THE YEAR 

F: OTHER INFORMATION:N/A

 

RESPONSE DATA

 

A. RESPONSE LANGUAGE:ENGLISH

B. BEST WAY TO RESPOND:FAX, E-MAIL

C. FROM MANUFACTURERSONLY: N/A

D.                INFORMATIONDESIRED FROM U.S. FIRM: PRICE  LIST

E.                PRIMARYBUYING FACTOR: PRICE

F. OTHER INFORMATION:N/A

 

COMPANY DATA 

 

A. TYPE OF BUSINESS:PRIVATE, JOINT STOCK COMPANY

B. YEAR ESTABLISHED:1992

C. NUMBER OF EMPLOYEES:50

D. ANNUAL SALES: N/A

E. MEMBER OF BUSINESSCHAMBER: N/A

BANK NAME AND ADDRESS:ARMECONOMBANK

23/1 AMIRIAN ST.,YEREVAN, ARMENIA

G. U.S. FIRMSREPRESENTED: N/A

H. OTHER INFORMATION:N/A

 

POST REMARKS: ARMINCO ISONE OF THE LARGEST INTERNET SERVICES PROVIDER IN

ARMENIA. THE COMPANY'SCLIENTS INCLUDE MAJOR LOCAL BUSINESSES, BANKS, AND

INTERNATIONALORGANIZATIONS.   

 

PLEASE CONTACT THECOMPANY DIRECTLY, AND

SEND A COPY OF YOURRESPONSE TO:

 

AMEMBASSY YEREVAN

ATTN: GEORGE ISAYAN -BISNIS REPRESENTATIVE

C/O AMERICAN EMBASSYYEREVAN

DEPARTMENT OF STATE

WASHINGTON DC 20521-7020

TEL: (374-2)524-661/151-551

FAX: (374-2) 151-550