Russians to Access Internet Via Socket - RUSSOFT
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Russians to Access Internet Via Socket

Source: RIA Novosti
Dec 13, 2004
MOSCOW, December 9 (RIA Novosti) - People in Moscow and other six Russian cities will be able to access Internet via power networks, not only through telephone or leased lines.

The venture funds Intel Capital and Russian Technologies (owned by Alfa-group) have announced the plans to invest four million dollars in the Electro-Com company, which will provide high-speed access to Internet via tap electricity grids.

Electro-Com is going to spend the investors' money on the construction of a pilot grid PLC (Power Line Communications) for 100,000 to 200,000 users in Moscow, Ryazan, Kaluga, Rostov-on-Don and three cities in the Krasnodar region, Electro-Com general director and co-founder Henri Radzikowski said yesterday. Its Moscow branch general director Alexander Sandomirsky told the Vedomosti newspaper that the PLC pilot zones in Moscow will become operational in the first half of 2005.

According to Radzikowski, the PLC technology has been working in a sustained manner over the last two to three years and its European standards were approved not more than a year ago. He promises that home users will be able to access Internet via sockets at a speed of 10 to 20 megabits/second, which is comparable to the DSL speed - high-speed Internet access through telephone lines.

According to the International Electric Communication Union, in early 2004 there were 100.8 million users of high-speed Internet in the world, 64 million of which used the DSL technology. Mikhail Gamzin, general director of Russian Technologies, believes that electric networks will not be a more popular channel for high-speed Internet access then telephone lines. But, PLC can greatly edge out DSL, he is sure.

"We would not invest in the PLC network in the United States," Mary Trexler, Intel Capital managing director for Central and East Europe, admits. "But Russia is a different story." Even in Moscow there are a little over 80,000 DSL users and there is a possibility forspreading alternative technologies, she said.

Participants of the Moscow DSL market do not fear PLC's edging them out. According to the Alcatel manager Dmitry Bronner, DSL has won a good reputation among the major operators. "In our estimate, the number of DSL users in Russia in 2004 will increase three times from 2003," he said.