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The EU has banned the transfer of Ericsson's and Nokia's technologies with Russian state participation

11. 04. 2022 Monday / By: Robert Denes / Industrial / Exact time: BST / Print this page

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New sanctions imposed by the EU on Russia impose a ban on the transfer of technology to state-owned telecommunications providers. These are, in particular, Rostelecom, its operator, Tele2 and Transtelecom, which also builds backbone networks on Russian railway infrastructure, and Voentelecom, which is controlled by the Russian Ministry of Defense.

Under the new wave of sanctions against Russia, already adopted on 8 April, technology cannot be shipped to Russia, including civil communications networks, if the networks are owned by service providers with more than a 50% stake in the state. According to experts, if previous bans on sanctions provided for exceptions for the sale of telecommunications network technologies, the new version of the package of sanctions contains a separate clarification for state-controlled companies. The restrictions affect, among other things, all kinds of special-purpose networks, mainly for government needs, according to experts. According to Kommersant, sectoral sanctions have already been imposed on the same Rostelecom, but the European version is "much broader and more severe."

If the largest suppliers of mobile communications networks were Ericsson and Nokia (20% and 30-40%, respectively), they have been supplanted by alternative companies in recent years, including China’s Huawei. According to the Association of Electronics Developers and Manufacturers, more than $ 4 billion worth of telecommunications equipment is sold in the Russian market each year, and the value of domestic equipment does not exceed $ 780 million. in accordance with the relevant requirements of 223-FZ. It is noteworthy that the so-called. More than 100 companies manufacture "Russian" equipment in the country, but now some reports suffer from a lack of parts shipped from abroad.

Denis Kuskov, head of Telecom Daily, said: "If we have developments in certain segments, such as backbone equipment, then our base stations and billing systems are completely foreign."

Experts have clarified that although Tele2 (whose brand the copyright owner intends to ban in Russia) has been subject to the most severe sanctions, it is currently in the most advantageous position compared to other Russian service providers.

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