Conclusion
After analysis of the telecomunication industry the following conclusions can be derived: the industry is not really fragmented, just with a few biggest players and a lot of small ones. Mobile operators are taking advantage of fixed line ones. Their revenues are growing rapidly, but slower than it used to be in 2000s due to the fact that its penetration becomes pretty high. Telecommunication market in Russia in general is also growing, but tamps are declining and the market is also more saturated. As a result, local companies decide to internationalize. Russian companies usually start their international expansion gradually: typically from neighboring CIS or CEE countries; they consistently acquire positive experience and valuable feedback on their performance and then deepen their presence at the international arena.
As for international companies, they usually appeared at the Russian market quite soon after collapse of the USSR and enjoyed early benefits from rapid growth of the emerging Russian market. At the same time, telecommunication market in Russia is not that easy to enter and require big investment in FDI or a least a strategic alliance with incumbent companies. At the same time, since Russian market is very perspective, those difficulties did not stopped Swedish telecommunications company Tele 2 from entering the Russian market in 2001 and becoming one of the big players in present time.
As for the state involvement, it can be conclude that most of the Russian based companies are supported by government (especially during the crisis in 2008), few of the major players are owned by government.
There is still a place for grows of telecommunication market in Russian, but the growth rate is not that high as it used to be even a five years ago, thus, we believe internationalization level of this industry is going to grow significantly in a nearest future. This trend is also proven by the big players of the industry, like Megafon Group, Vimpelcome, Rostelecom and others.
1 Panibratov A. Russian Multinationals. Routledge Taylor & Francis Group, London and New York, p. 123.
2 Same.
3 Ru.wikipedia.org