The total number of fixed Internet connections in Russia is expected to reach 16.6 million in 2011, more than doubling the number of connections at the end of 2006, which stood at 7.3 million. According to a recent IDC forecast, 2007 should see the number of fixed broadband connections surpass dial-up technology as broadband coverage widens and more broadband service providers bundle Internet access with video and voice.

"Service providers in Russia are demonstrating a high level of innovation, investing in the rollout of triple-play services over broadband, and using a variety of Internet access technologies from FTTx to WiMax," said Joshua Budd, program manager, Communications, IDC CEMA.

Moscow enjoys the highest Internet penetration of major Russian cities and regions at an estimated 42% of households connected in 2006. Historically, the bulk of Russia's Internet connections have been concentrated in Moscow and St. Petersburg. However, the two cities' lead has been diminishing, as demand for Internet access picks up in the regions, particularly in the residential segment.

"The main challenge for Russian Internet providers is covering vast swathes of the country outside major city centers like Moscow and St. Petersburg," said Budd. "Operators need to utilize alternative wireless technologies and invest in the rollout of new networks to supply connectivity to the population as a whole."

About this study

IDC's Russia Internet Access Services 2007–2011 Forecast (IDC #EW16P, October 2007) provides a detailed analysis of the status and future development of the Internet access market in Russia. Actual data for 2006, combined with a forecast for 2007-2011, are provided for the country as a whole, and segmented according to Russia, Moscow, St. Petersburg, and other regions. Connection and revenue data are included. Data is further broken down by end user and technology. End-user splits break down into consumer and business. Business connections are further segmented by company size.

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