27 Russian Regions May Lose Local Internet Providers

A proposed reform by Russia's Ministry of Digital Development (Minцифры) could eliminate regional internet providers in 27 regions and reduce local competition, according to multiple industry sources. The reform would replace 17 existing license types with three new tiers, impose high fees and capital requirements, and mandate SORM system integration, threatening the survival of small operators.

Consensus

The proposed reform by Minцифры would replace 17 current license types with three new ones: basic, universal, and general.
The new licenses would cost between 1 million and 50 million rubles.
Minimum charter capital requirements would range from 5 million to 1 billion rubles.
Operators would be required to install the SORM system before providing services.
Individual entrepreneurs would be prohibited from providing telecom services.
The reform could result in the loss of regional internet providers in 27 Russian regions.
In at least 22 regions, up to 70% of local providers could disappear.
The reform may affect over 50 million Russians.
The Ministry of Digital Development states that no final decisions have been made and that discussions with industry are ongoing.
Industry representatives argue the reform would lead to digital inequality and higher tariffs.
The reform is linked to broader efforts to increase state control over the internet.
The current number of regional telecom operators in Russia is approximately 4,700.

Points of divergence

In 12 regions, the market would shrink by 30–49%. — novaya_eu
The reform could cost hundreds of billions of rubles. — novaya_eu
The reform may have been stalled due to its scale. — novaya_eu
Nine regions would lose more than 70% of their local provider market. — tg_moscowtimes_ru
There is a closed presidential directive underlying the reform. — tg_moscowtimes_ru
The government plans to seize assets of operators who lose licenses and transfer them to large operators. — tg_govorit_nemoskva
The reform is described as 'degradation' and a step toward digital inequality. — tg_govorit_nemoskva
The reform is tied to the FSB's goal of controlling the Russian internet. — novaya_eu
Regional operators currently provide 45% of broadband internet access. — tg_radiosvoboda
Only operators with revenue exceeding 400 million rubles could meet the new requirements. — meduza

Coverage (5 sources)

«This is degradation»: regional internet providers sound the alarm over Ministry of Digital Economy reforms — Говорит НеМосква
Ministry of Digital Affairs reform may leave 27 regions without local internet providers — Новая газета Европа
Local internet providers may leave 27 regions of Russia — Радио Свобода
Reform of licensing of communications in Russia, proposed by Ministry of Digital Development, will leave 27 regions without local internet providers — Meduza
Almost 30 Russian regions may lose internet providers due to government reforms — The Moscow Times

27 Russian Regions May Lose Local Internet Providers

Consensus

Points of divergence

Coverage (5 sources)

Key entities

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