Rostelecom to Double TEA Throughput

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Moscow, Russia – April 9, 2018 Rostelecom PJSC (“the Company”) (MOEX: RTKM, RTKMP; OTCQX: ROSYY), Russia’s national telecommunications operator, today announces that it is set to launch in 2018 a massive upgrade to the transcontinental Transit Europe-Asia (TEA) Cable System linking Europe with China and Japan. The total capacity of TEA link between the western and eastern Russian borders will reach impressive 2 Tbps.

The transmission of any type of traffic from international operators through new links between Europe and Asia will be arranged over communication channels with capacity of 100 Gbps.

This additional upgrade in 2018 will be an important next step of TEA modernisation programme, launched in 2016. The first stage has already generated additional business for Rostelecom in 20172018, which translated in more than USD 30 million worth of secured contracts. Most importantly, Rostelecom managed to attract additional traffic to the trans-Europe-Asia transit network.

Within several years to come Rostelecom plans to increase the throughput of its transit capacity up to 10 Tbps, which will be available for a global transcontinental traffic.

Rostelecom VP for carrier business, Natalia Kryuchkova:
Further development of our TEA project is one of the key goals of Rostelecom wholesale business. With some of the largest operators in European and Asian regions as major customers, Rostelecom expects significant sales growth thanks to new network capabilities, and through engagement with new partners for traffic transmission.

The TEA project development started back in February 2003 when the strategic Telecommunications Services Agreement was signed between Russia and China. In early 2004 first transit circuits were launched. Currently, the TEA backbone has the capabilities to expand to major traffic exchange sites in Europe, China, Japan and Hong Kong and provide interconnections on the Russian borders with core networks of the largest European and Asian carries.