Cisco and NVision Group Help Kazakh Telecom Increase Transport Network Capacity Tenfold

JV KazakhTelecom, a national telecommunications operator in Kazakhstan, today announced a large-scale network development programme to provide its customers with a wide range of advanced communication services using the Cisco CRS-1 Carrier Routing System platform.

The project is aimed at building a new high-speed 10 Gbps Internet Protocol/Multiprotocol Label Switching (IP/MPLS) network platform in the central area of Kazakhstan between the major cities of Astana, Almaty and Aktobe and a 1 Gbps platform in the remaining cities and towns by the end of 2007. The new core network will help ensure transmission of IP/MPLS traffic with guaranteed quality of service (QoS) and support of carrier-grade fault tolerance.

At the beginning of 2007 KazakhTelecom held a national tender to procure equipment for modernisation of its IP/MPLS network with turnkey installation and commissioning services. The best price-performance ratio solution was provided by Cisco, a worldwide networking leader, through NVision Group, a Russian leading system integrator and IT supplier.

Upon completion of the project, the national capacity of the transport network will increase by 10 times from 1 Gbps to 10 Gbps, which will substantially reduce traffic costs. Cisco’s equipment has the potential to scale the network capacity up to 40 Gbps in the short term, and up to 100 Gbps in the long-term.

To meet the customer’s objectives, project partners decided to use the Cisco CRS-1, the industry-leading carrier grade service routing platform. The Cisco CRS-1 (Carrier Routing System) can seamlessly scale with service continuity up to 92 terabits per second and is a fundamental platform for Cisco IP Next-Generation Network architecture. Cisco CRS-1 is a state-of-the-art solution that enables the integration of network management systems at IP and optical dense wavelength-divisioning multiplexing (DWDM) levels.

“The transport network development programme will enable the national operator to introduce new services to its customers. For example, individual subscribers will get access to affordable IPTV services and enterprise customers will be able to use VPNs (virtual private networks) for remote access to enterprise data anywhere in Kazakhstan,” stated Askar Zhumangaliev, president of KazakhTelecom.

Today IP/MPLS is the main platform for Metro Ethernet networks and high-speed Internet access (Megaline service) in all cities in Kazakhstan. Moreover, it is a foundation for next generation networks. “Providing broadband Internet services to the wider population is one of the key elements in helping Kazakhstan join the 50 most developed countries in the world. Additionally, broadband Internet will serve as a basis for multiple services in the future, including triple play,” Zhumangaliev said.

The cost of upgrading KazakhTelecom’s core network to 10 gigabits exceeds US $13.5 million. This project is an excellent example of cooperation among the NVision, Cisco and KazakhTelecom teams.

KazakhTelecom has been cooperating with Cisco for more than 10 years and collaboration with NVision Group started in 2005. Since then, the companies have implemented a number of large-scale, Cisco-based projects. In addition to building the IP/MPLS platforms and Metro Ethernet access networks, NVision Group participated in an ambitious KazakhTelecom initiative focused on the deployment of a data network management system to ensure rational and efficient utilisation of network capabilities and resources.

Anton Sushkevich, chief executive officer of NVision Group, said, “Our professional experience with KazakhTelecom demonstrates that our partners operate at a very high technological level and focus on state-of-the-art solutions, which have helped them create one of the most advanced networks in CIS. KazakhTelecom was very careful in selecting a partner to implement this challenging project, and ultimately they chose NVision Group, a market-leading Russian system integrator. We have been a Cisco Certified Gold Partner for several years providing an industry-leading team with professionals capable of building large-scale telecommunications networks.”

According to Oleg Ivanov, Cisco regional sales manager for Kazakhstan and Central Asia, “About 50 large operators worldwide, including such companies as BT, Terremark Worldwide, T-Com and Strato Medien have already chosen CRS-1. Today we announce its first implementation in CIS, in the core of one of the largest IP/MPLS networks in the post-Soviet countries operated by KazakhTelecom, the company which plays a key role in building the broadband market not only in Kazakhstan, but in the entire CIS.”

The project received financial support from Cisco Capital, a division of Cisco specialising in providing innovative financial solutions for Cisco products and services worldwide. As noted by Mikhail Gruzer, regional finance manager at Cisco Capital Russia and the Commonwealth of Independent States, the funding enables KazakhTelecom to purchase Cisco equipment under favourable conditions and to find an optimal balance between technological advancement and budget limitations allowing the company to reduce the cost of procurement, management and modernisation of the network based on Cisco technologies.

About JV KazakhTelecom
JV KazakhTelecom, a leader in the telecommunications market in Kazakhstan, owns a large network and delivers a wide range of communications services, including traditional telephony and telegraphy, data and Internet access, intelligent networks and satellite communications. The company has more than 2 million individual urban subscribers and over 500,000 rural subscribers. As an international operator, KazakhTelecom has cooperation agreements with 154 foreign operators and 23 operators in CIS and the Baltic states, connecting more than 230 countries.

In 2001, KazakhTelecom introduced a new trademark, Kazakhstan Online, which provides a wide range of data services within the country. Currently, KazakhTelecom implements large-scale network modernisation and development programmes, paying special attention to the quality of telecommunications services and introduction of new applications.

In addition to commercial activities, the company addresses social issues by providing telephone services to rural areas and connecting national schools to the Internet.

The success of Kazakhstan’s leading telecom operator was acknowledged in 2006 by Euromoney magazine, which called KazakhTelecom “The Best Telecommunication Company in Central Asia.”

Detailed information about the activities, services and latest news of JV KazakhTelecom is available at www.telecom.kz.

About NVision Group
NVision Group is a market-leading Russian system integrator that is uniquely focused on aligning the business of national companies with the power of world class IT, networking and telecom solutions. NVision Group has headquarters in Moscow (Russia) and a regional office, NVision Central Asia, in Almaty (Kazakhstan). Additional information about NVision Group is available at http://www.nvisiongroup.ru.

About Cisco
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