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Satellite Installation Costs Cut by Third in Armenia

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  • Satellite Installation Costs Cut by Third in Armenia

    Satellite Installation Costs Cut by Third in Armenia


    YEREVAN, May 5. /ARKA/. The RA Public Services Regulatory Commission
    amended the procedure of issuing permits for the use of radio
    frequencies to reduce payments for permits and use of radio frequencies.

    Chief of the commission's Telecommunication Department Gevorg Gevorgian
    reported that satellite communication can be used as an alternative to
    ground-based wire communication systems for providing access to
    wideband Internet, especially in the country's remotest regions.

    According to the amended procedure, 1mln drams and 400,000 drams are to
    be paid for a permit to use a radio frequency and for 12-month
    operation of a satellite station respectively. Depending on the number
    of stations, the payment amount is reduced as follows: 2-10 stations `
    500,000 drams for each, 11-20 stations ` 300,000 drams for each, 21-50
    stations ` 200,000 drams for each.

    The potential of modern Internet technologies can be fully realized
    after the monopoly on outgoing data traffic is abolished in Armenia,
    Gevorgian said.

    Wide-scale use of satellite communication and expansion of
    satellite-based services will promote economic competition, development
    of the telecommunication market and, consequently, reduction in service
    costs and better accessibility of the services.

    Member of the RA Public Services Regulatory Commission Samvel Arabajian
    pointed out two ways to provide outgoing data traffic for Internet
    access and IP telephony, namely, fiber optic communication via Georgia
    and direct satellite communication.

    Georgia encounters regular problems with communication and repair time,
    which actually deprives Armenia of Internet communication for certain
    periods, Arabajian said. He also pointed out restrictions to outgoing
    data transmission and quite high prices.

    Fiber optic communication is quite acceptable only for some companies.
    However, network delays are inadmissible for most users, Arabajian
    said. Satellite stations will help create an alternative to fiber optic
    communication, step up market competition and reduce prices, he added.

    Arabajian said that the Commission's decision cuts the costs of
    satellite station installation by a third down to 1.8mln drams.

    Commission chairman Robert Nazarian ordered monitoring of the new
    prices. The monitoring results are to be summed up within six months.
    The Commission's telecommunication department will analyze the
    efficiency of the decision. `0--
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