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A leading internet provider UzNet and its policy priorities and future plans

The project of the establishment of the interdepartmental data transmission network UzNet, which was developed within the collaboration of UNDP and the Cabinet of Ministers in 1997, was a basis for the founding of the UzNet enterprise. The project was financed by the World Bank.

The interdepartmental data transmission network UzNet was founded under the Cabinet of Ministers’ Department for Coordination of Foreign Economic Activity by the Decree of the Cabinet of Ministers of the Republic of Uzbekistan # 150 dated April 10, 1998. The main purpose of that network was providing operational exchange of information between ministries and departments of the republic, as well as coordination of the establishment of sharable databases and integration into the worldwide web, including the Internet. The UzNet network had a distributed structure with access nodes at key automatic telephone systems of the Tashkent city and a separate international Internet channel.

By the Resolution of the Cabinet of Ministers # 488 dated December 27, 2001 "Measures for the preparation of the joint-stock company Uzbektelecom for privatization”, the UzNet subsidiary enterprise was affiliated to the joint-stock company Uzbektelecom as the branch UzNet with all functions and tasks of the interdepartmental data transmission network UzNet. According to the minutes of the Uzbektelecom JSC # 39, the UzNet branch was affiliated to the Intal Telecom branch on May 26 of 2004, and the newly established branch was named "UzNet". Amalgamation of two Uzbektelecom branches has resulted in a strong powerful operator entering the telecommunications market. This operator has the most ramified data network over the whole country and provides all range of communications and multimedia services and is able to provide adequate competition to the known providers.

The network is organized on the basis of routers and commentators’ the world-known company Cisco Systems, which is an undoubted leader in the manufacture of this type of equipment. In the result of merging the Intal Telecom and UzNet branches there is a new branch which controls one of the largest data transmission networks in the country, with access nodes in the Tashkent city and in every regional center.

Today the UzNet branch provides a full range of data transmission services, including dial-up and dedicated Internet/Intranet access, Internet access by mean of prepaid cards, IP-telephony on the card platform, electronic mail, Web hosting, Web design, domain names services (DNS), design and construction of local area networks (LANs) and virtual private networks (VPN), organization of remote control for virtual private network of the subscriber, and multimedia services. Also, it is possible to provide audio and videoconference services and distance learning for schools and universities.

It should also be noted that, at the moment, the UzNet branch has successfully implemented a number of national projects on the establishment of corporate, high-speed and highly protected data transmission networks in such organizations as the Liberal and Democratic Party institution, JV UZBAT, Ministry of Internal Affairs of the Republic of Uzbekistan, UzbekSavdo JSC, State Joint Stock Company UzbekistonPochtasi, Uzbektelecom JSC, National Real Estate Exchange, and Ministry of Higher and Secondary Special Education of the Republic of Uzbekistan, State Joint Stock Company UzLegProm, and Ministry of Justice. At the same time, design and survey works are being carried out for the organization of national-level corporate networks for such organizations as the National Export-Import Insurance Company Uzbekinvest, Chamber of Commerce and Industry, Uzbekistan Prosecutor General’s Office, Exchange Center of the Association of Banks of Uzbekistan, Association of Business Incubators, and Mobile Telecom.

It should also be noted that the UzNet branch has begun providing VoIP services in the republic on long-distance and international level. Voice gateways have been installed and launched in all regional units and in the central unit of the UzNet network. VoIP (Voice over IP) means voice transmission through any data transmission network.

Today company offers a number of tariff plans as an ISP. For dial-up connection UzNet offers universal cards and one opportunity of using these cards is that one can use them for international calls and IP telephony (Table 2.3.1).

Table 2.3.1Tariffs for internet and telephone on universal card «UZNET» 

Nominal  Price "Day " 08:00-22:00
(UZS)
"Night " 22:00-08:00(UZS) Thecardvalidation
3000 450 100 6 months
5000 400 100 6 months
10000 350 100 6 months
20000 300 100 6 months


Also company UzNet has quite cheaper tariffs for ADSL connections (Table 2.3.2).

Table 2.3.2 UzNet’s tariffs for ADSL connection

64 kb /s

128 kb /s

256 kb /s

512 kb /s

1024 kb /s

500 MB

40000 UZS / month

80 UZS / MB over the limit

42500 UZS / month

85 UZS / MB over the limit

45000 UZS / month

90 UZS / MB over the limit

47500 UZS / month

95 UZS / MB over the limit

50000 UZS / month

100 UZS / MB over the limit

1000 MB

75000 UZS / month

70 UZS / MB over the limit

80000 UZS / month

80 UZS / MB over the limit

85000 UZS / month

85 UZS / MB over the limit

90000 UZS / month

90 UZS / MB over the limit

95000 UZS / month

95 UZS / MB over the limit

2000 MB

140000 UZS / month

70 UZS / MB over the limit

150000 UZS / month

75 UZS / MB over the limit

160000 UZS / month

80 UZS / MB over the limit

170000 UZS / month

85 UZS / MB over the limit

180000 UZS / month

90 UZS / MB over the limit

3000 MB

195000 UZS / month

65 UZS / MB over the limit

210000 UZS / month

70 UZS / MB over the limit

225000 UZS / month

75 UZS / MB over the limit

240000 UZS / month

80 UZS / MB over the limit

255000 UZS / month

85 UZS / MB over the limit

4000 MB

240000 UZS / month

60 UZS / MB over the limit

260000 UZS / month

65 UZS / MB over the limit

280000 UZS / month

70 UZS / MB over the limit

300000 UZS / month

75 UZS / MB over the limit

320000 UZS / month

80 UZS / MB over the limit

Subscription and registration for 1 port 20000 UZS (one-time charge).

The main strategy of the branch UzNet aims to develop and achieve a new level by providing quality, high speed and highly protected data transmission services for corporate clients.

UzNet branch provides a wide range of IP-data transmission and Internet access:

  • Building high-speed, highly protected, multi-enterprise data networking technology-based IP / MPLS VPN;
    • IP-transport services for carriers and service providers;
    • Broadband access network, including Internet Technology xDSL, Ethernet, FTTx, WiFi / WiMAX;
    • dial-up Internet access and long-distance IP-telephony;
    • Data Center Services: all kinds of hosting services, rental space and enterprise servers (VPS), hosted the subscriber equipment (Collocation), e-mail.
    • Provide consulting and services for the design, construction and operation of transmission networks and data processing.

To date, the main and most valuable achievement of the branch UzNet is the most extensive network coverage to all operators and service providers: in Tashkent, all provincial and district centers and rural settlements of the republic. Number of nodes in the network data is 450, xDSL ports more than 40 000, Ethernet-port for more than 11 000, dial-up access ports 2500.

The main advantages of the branch office network UzNet, enabling secure delivery of high quality and resilient services:

  • fault-tolerant network topology with redundant hardware and communication channels;
  •  use equipment from leading manufacturers;
  • availability of uninterruptible power systems and HVAC equipment;
  • highly qualified personnel with appropriate training and certification;
  • a valid strategy for the full cooperation of all branches Uzbektelecom to provide services, the availability of operational and technical personnel in all regions of the country;

The major achievements in the year 2010 are:

  • Upgrading of intercity transport channels years. Urgench and Nukus, as well as all regional centers of the Khorezm region with a bandwidth of up to 1 Gb/s;
  • Expansion of network coverage and installation of new equipment broadband ADSL-access to 70 exchanges in regional and district centers, villages across the whole country;
  • Running in test mode services IPTV c features as video on demand, record, pause, and a virtual cinema;
  • Upgrading the billing system for the use of flexible rate plans and promotions.

And also company has experienced achievements in the number of subscribers and in revenues (Figure 2.3.1). 

Figure 2.3.1 Revenue comparison of UzNet by years

As is given by the Figure 2.3.1, the company’s revenue increased continuously from about 7 billion UZS in 2008 to 12 billion UZS in the year 2010. The main reason for this improvement is that company achieved to attract more subscribers in these periods by offering a variety of internet tariffs and high content services. And in turn this impact on the company’s revenue per subscriber (Figure 2.3.2).

Figure 2.3.2The revenue of the company per subscriber

This is a victory branch UzNet Uzbektelecom a tender to select an operator to build a network ZiyoNET in higher education institutions and research institutes of the Academy of Sciences of the Republic of Uzbekistan. In this regard, in 2011, is planned to connect to the data network affiliate UzNet 117 higher education institutions and 54 research institutes of the Academy of Sciences. This project will introduce information technology into the educational process, which, in turn, will create conditions for more rapid receipt of new information in electronic form, and as a result raise the overall level of education in the country.
In 2011, the planned activities aimed at attracting large corporate customers:

  • Increased coverage and capacity of the network in Tashkent, all regional and district centers: the number of sites - up to 600 (expansion primarily at the rural level), xDSL ports - up to 100 000; Ethernet-ports - up to 15 000; of dial ports access - up to 3500, further expansion of broadband wireless access technology-based Wi-Fi / WiMAX;
  • modernization of communication channels to the cities of Gulistan, Jizzakh, Samarkand, Bukhara, Navoi, Urgench, Nukus, Karshi, Termez and expansion of the total bandwidth to 10 Gb / s;
  • modernization of communication channels intrazonal and district levels in the regions and increased bandwidth up to 1 Gb / s;
  • upgrading the telephone network based on technology IP / NGN;
  • creation of backup data centers in the regions;
  • development of services for the corporate sector: the introduction of multi-service data + Internet video-voice (packet Tripple Play); development services of corporate IP-and video telephony, the introduction of video conferencing services, the development of IP-transport services for carriers and service providers, the introduction of corporate packages service and the principle of a single contract;
  • development of national Internet content based on the data center: the launch IPTV, VoD and a virtual cinema, the launch of virtual interactive services, including internet banking; launch gaming portal, media portal and file-sharing network, launching social resources;
  • Implementation of major public and commercial projects KSPD.
    In conclusion, it should be noted that the rapid development of the corporate data services due mainly to the fact that they provide all participants in the socio-economic relations, equal access to information and timely communication with almost any subject, thus helping to improve the effectiveness of decisions at all levels of the economic system of our republic.
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