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2 CytaGlobal …bridging continents, people and cultures Page 1 ATHKCYTA The Telecommunications Bridge between East and West: The Case of Cyprus June 2007
3 CytaGlobal …bridging continents, people and cultures Page 2 ATHKCYTA Positioned at a strategic location in the Eastern Mediterranean at the crossroads of Europe, Asia and Africa, Cyprus serves as a bridge between the European Union and the Middle East... Positioned at a strategic location in the Eastern Mediterranean at the crossroads of Europe, Asia and Africa, Cyprus serves as a bridge between the European Union and the Middle East... Area: 9,250 square km Area: 9,250 square km Population: 800,0000 Population: 800,0000 ASIA AFRICA EUROPE Cyprus: an advantageous location
4 CytaGlobal …bridging continents, people and cultures Page 3 ATHKCYTA Introduction to CYTA, the Cyprus Telecommunications Authority l Public Utility Organisation, established by Law l The major entity authorized to provide national & international communications in the Republic of Cyprus l Board –Appointed by Council of Ministers –Accountable to Council of Ministers through the Minister of Finance l Board comprises –Chairman –Vice-Chairman –Seven Members
5 CytaGlobal …bridging continents, people and cultures Page 4 ATHKCYTA Introduction to CYTA, the Cyprus Telecommunications Authority (cont…) l CYTA takes full advantage of the strategic geographical location of the island l Number of DELs (analogue): 380,000 l Number of ISDN lines: 25,000 (64kbps channels: 81,000) l GSM mobile subscribers: 780,000 l Dial-up internet users: 40,000 l Broadband customers: 85,000 – i-choice (high-speed internet): 60,000 – mivision (IPTV): 5,000 – i-choice & mivision : 20,000 l Number of CYTA employees: 2,455
6 CytaGlobal …bridging continents, people and cultures Page 5 ATHKCYTA Introduction to CYTA, the Cyprus Telecommunications Authority (cont…) FINANCIAL RESULTS 2005 l Revenue from services: CY£ 231 millions (approx USD 538 millions) l Earnings before interest, taxes, depreciation and amortizations (EBITDA): CY£ 72 millions l Surplus from services: CY£18 millions l EBITDA margin: 31% l Reserves: CY£ 210 millions
7 CytaGlobal …bridging continents, people and cultures Page 6 ATHKCYTA International Organisations l ITU l CTO l ETSI l ETNO l ETIS l EURESCOM l EFQM l ENPM l ATM Forum l C7 Forum l GSM MoU Assoc. l EADP l ERWG l MEDRET l OSS/ICDS Forum l ITFF/ITTS Forum CYTA is member and actively participates in many International and European Organisations such as:CYTA is member and actively participates in many International and European Organisations such as:
8 CytaGlobal …bridging continents, people and cultures Page 7 ATHKCYTA CYTA International Network l Switching Systems –Nicosia International Telephone Exchange –Limassol International Telephone Exchange –IP/MPLS Node (CYTANET/CytaWorld.Net) l Transmission Systems –Submarine Fibre Optic Cable Systems –Satellite Telecommunications Network l Network Management and Support Systems
9 CytaGlobal …bridging continents, people and cultures Page 8 ATHKCYTA LEV (MINERVA) KΙNIRAS (MINERVA) Nicosia Paphos Limassol Larnaca MAKARIOS Troodos TEFKROS Ayia Napa Pentaskhinos Yeroskipos CADMOS BEIRUT (LEBANON) CIOS ISRAEL APHRODITE 2 UGARIT TARTOUS (SYRIA) CHANIA (CRETE) ERMIS Paralimni SEA ME WE 3 ITALY & ISRAEL MINERVA CYTA International Network (cont…)
10 CytaGlobal …bridging continents, people and cultures Page 9 ATHKCYTA l A new submarine fibre optic cable system is under development… l Building on existing relationship with Telecom Italia Sparkle via the Med Nautilus and LEV submarine cable systems l Fully operational by December 2007 MINERVA: a New Cable Sub-system LEV Kiniras New segment Extensions to Europe and beyond Terrestrial segment Med Nautilus Mazara Catania Yeroskipos Pentaskinos Extensions to Middle East, Far East and beyond Branching Unit MINERVASubsystem
11 CytaGlobal …bridging continents, people and cultures Page 10 ATHKCYTA l CADMOS, UGARIT and BERYTAR cable systems have been upgraded to form a self-healing ring l Mutual restoration facilities are provided between the systems The CADMOS - UGARIT - BERYTAR Ring UGARIT Extension to Europe and beyond CADMOS TartusPentaskinos CADMOS - UGARIT - BERYTAR Ring Beirut (Jeideh) BERYTAR ALETAR to Jordan to Alexandria Beirut (Ras-Beirut) terrestrial terrestrial
12 CytaGlobal …bridging continents, people and cultures Page 11 ATHKCYTA Submarine Cable Systems l Worldwide connection: –SEA ME WE 3, operated 1999 –co-owner in transatlantic cable systems (e.g. TAT-12/13, TAT-14) –co-owner in regional systems worldwide (e.g. ARIANE 2, CELTIC, SAT3/WASC/SAFE) l To Greece and beyond (East & West Europe) –APHRODITE 2, operated 1994 l To Israel: –CIOS, operated 1994
13 CytaGlobal …bridging continents, people and cultures Page 12 ATHKCYTA Submarine Cable Systems (cont…) l To Syria: –UGARIT, operated 1995 l To Lebanon: –CADMOS, operated 1995 l To Israel and Italy: –LEV, operated January 1999 –Interconnected via MINERVA, 2007 l Black Sea (Bulgaria, Ukraine, Russia) –BSFOCS, operated September 2001 –Major Investors: ARMENTEL, BTC, CYTA, OTE, UKRTELECOM & WESTELCOM RUSSIA GEORGIA UKRAINE Odesa Varna Novorossiysk BSFOCS BULGARIA
14 CytaGlobal …bridging continents, people and cultures Page 13 ATHKCYTA Submarine Cable Systems (cont…) l CytaGlobal has developed an extensive submarine fibre optic cable network in the Eastern Mediterranean basin, employing state of the art technology and full restoration to connect Cyprus with neighbouring countries and international networks beyond… l CytaGlobal is continuously evaluating the connection of Cyprus to other planned optical submarine networks the world over l Provides consultation, integration, administration, restoration and central billing services, for submarine cable systems on a global scale
15 CytaGlobal …bridging continents, people and cultures Page 14 ATHKCYTA Submarine Cable Systems (cont…) APHRODITE-2 ALETAR SMW-3 ARIANE-2 LEV SMW-2 SMW-3 SMW-2 UGARIT
16 CytaGlobal …bridging continents, people and cultures Page 15 ATHKCYTA Satellite Systems l Cyprus: a strategically situated telecommunications gateway –unique geographic position –view of major satellite orbital arcs –excellent cable infrastructure, offering global connectivity l Two Earth Station Sites: MAKARIOS and ERMIS with a total complement of more than 20 antennae l Major Satellite Earth Stations with: –INTELSAT, EUTELSAT, NSS, ASIASAT, SES, INTERSPUTNIK, ARABSAT
17 CytaGlobal …bridging continents, people and cultures Page 16 ATHKCYTA Satellite Systems (cont..) l IRIS Gateway Satellite Services Ltd –CYTA wholly-owned subsidiary company –Offers Turnaround Services between the world’s most popular satellites (DVB platform provided) –IRIS facilities co-located at CYTA’s teleports l In association with partners, CYTA makes available VSAT Services providing Pan-African coverage with single high power C-band beam, high power Ku-band spot beams over Western Asia and Middle East and Pan-European coverage with single high power Ku-band beam
18 CytaGlobal …bridging continents, people and cultures Page 17 ATHKCYTA …extensive satellite coverage ArabSat 2A Intelsat 10-02 Eutelsat AsiaSat 2 Intelsat 904
19 CytaGlobal …bridging continents, people and cultures Page 18 ATHKCYTA International ISPs Peering Agreements KPN, UK via SMW3 SEABONE, Italy via Med Nautilus C-NAP SEABONE, Italy via SMW3 PCCW, UK via Med Nautilus KPN, UK via Med Nautilus National ISPs CytaNet Retail CytaGlobal Hellas ΑΕ Global Internet Connectivity Cyta UK Ltd
20 CytaGlobal …bridging continents, people and cultures Page 19 ATHKCYTA Cyta UK Ltd CytaGlobal Hellas AE Cyprus GytaNet IP-MPLS Network
21 CytaGlobal …bridging continents, people and cultures Page 20 ATHKCYTA CytaWorld.Net: Global IP - MPLS Global IP-MPLS connectivity Global IP-MPLS connectivity Major nodes in Nicosia, Athens (CytaGlobal Hellas AE) and London (CYTA UK Ltd), with international extensions Major nodes in Nicosia, Athens (CytaGlobal Hellas AE) and London (CYTA UK Ltd), with international extensions Integrating voice, data and video into a single global network Integrating voice, data and video into a single global network Secure, flexible, scalable broadband network Secure, flexible, scalable broadband network Services provided via CytaWorld.Net include MPLS-VPNs, IP Transit, VoIP Services provided via CytaWorld.Net include MPLS-VPNs, IP Transit, VoIP INTERNET MPLS NETWORKS (CYTACONNECT) ATHENS LONDON NICOSIA MED NAUTILUS CYTANET CYTAWORLD.NET MANAGEMENT CYTACONNECT CUSTOMERS VOICE NETWORK
22 CytaGlobal …bridging continents, people and cultures Page 21 ATHKCYTA International Network Traffic Management l According to ITU-T Rec. E.410 – E.415 l Provides real-time international network monitoring performance, best-cost-routing and statistics l Enables rapid corrective action, by applying Network Traffic Management Controls l Objective: to manage the international voice network, and maximise Quality-of-Service and ASR
23 CytaGlobal …bridging continents, people and cultures Page 22 ATHKCYTA International Network Statistics l International PSTN/ISDN Circuits : 5,900 l Countries with Direct Routes : 48 l Countries and Territories with IDD Service : 240 l Number of Operators with Direct Routes : 63 l Global Internet connectivity (STM-1): 14 l Direct 64 Kbps signalling links (SS No7 ) : 62 l GSM International Roaming (networks): 341 l International private leased 2Mbps circuits: 455 l International transit leased 2Mbps circuits: 826
24 CytaGlobal …bridging continents, people and cultures Page 23 ATHKCYTA A few of the products currently being offered by CYTA on a nationwide basis l Basic Telephony & ISDN l GSM Mobile Telephony l Private Leased Line Services l High-speed internet via ADSL l IPTV and Video-on-demand l Videoconferencing l Voice Mail Services, Audiotex l E-commerce l ATM, FR, IP-VPNs l Maritime, Civil Aviation & Radio/TV Broadcasting Facilities
25 CytaGlobal …bridging continents, people and cultures Page 24 ATHKCYTA International/Carrier Services & Products l Wholesale Voice Products (including IFS/UIFN) l Dedicated Transit Connections l Capacity Transfer (cable, satellite) l Internet Connectivity l Signalling Transfer Facilities l Cable Restoration Facilities l Co-location & Outsourcing Services l International Private Leased Circuits l Satellite Turn-Around Services & VSAT Services l Submarine Cable Consultancy Services l ATM / FR Private Virtual Circuits l IP-MPLS Virtual Private Networks
26 CytaGlobal …bridging continents, people and cultures Page 25 ATHKCYTA Cyprus Hub Objective l …to establish itself as the most important regional telecommunications and information technology hub in the Eastern Mediterranean l CytaGlobal’s Implementation Strategy Enhance/extend its telecom infrastructure globally, by participating in regional & international projects Enhance/extend its telecom infrastructure globally, by participating in regional & international projects Introduce, promote and support superior products and services Introduce, promote and support superior products and services Offer flexible and economical solutions in the EasternMediterranean, Balkans, and Middle East Offer flexible and economical solutions in the Eastern Mediterranean, Balkans, and Middle East Set-up Points-of-Presence and wholly owned subsidiaries, in Greece, UK and elsewhere Set-up Points-of-Presence and wholly owned subsidiaries, in Greece, UK and elsewhere
27 CytaGlobal …bridging continents, people and cultures Page 26 ATHKCYTA European Union l Cyprus has had an association agreement with European Union since 1.6.1973 l Telecommunications Market in Cyprus fully liberalised since 1.1.2003 Tax reform (in effect as from 1.1.2003): Tax reform (in effect as from 1.1.2003): –conforms with European Union regulations and OECD requirements –maintains Cyprus’ competitiveness as an International Business Centre –enhances Cyprus’ attractiveness as a suitable jurisdiction for holding international companies l Full member of European Union on 1.5.2004
28 CytaGlobal …bridging continents, people and cultures Page 27 ATHKCYTA European Union ( cont…) l CYTA is committed to support and to provide infrastructure and services to the academic institutions in Eastern Europe and the Mediterranean, in collaboration with the University of Cyprus l CYTA participates with other East Mediterranean Telecom operators in EU development programs such as MEDA and EUMEDIS l Cyprus serves as a bridge between the European Union and the Middle East...
29 CytaGlobal …bridging continents, people and cultures Page 28 ATHKCYTA Cyprus, a Centre for International Business l Strategic Location, at the crossroads of Europe, Asia and Africa l Member of UN and its Specialised Agencies l Member of Council of Europe, Organisation of Security and Co-operation in Europe and Commonwealth l High GDP (PPP) per capita (2006): US$ 22,700 l Open Free Market Economy l Fiscal and other Incentives for Investors
30 CytaGlobal …bridging continents, people and cultures Page 29 ATHKCYTA Cyprus, a Centre of International Business (cont…) l Modern and efficient legal, accounting and banking services l Highly educated, versatile and skilled work force l Economy driven by thriving Tourist and Service sectors l Since 1/10/2004, FDI Policy is fully liberalized for both EU and non EU nationals, in most sectors of the economy l International Financial and Business Centre – 1,200 International Business Corporations (IBCs) – 6th leading maritime nation in the world – 30 foreign Banks
31 CytaGlobal …bridging continents, people and cultures Page 30 ATHKCYTA Conclusions CYTA co-owns, operates and has access to global and regional cable and satellite network systemsco-owns, operates and has access to global and regional cable and satellite network systems is committed to meeting the area's ever expanding telecommunications needs and business goals via a portfolio of competitively priced and flexible productsis committed to meeting the area's ever expanding telecommunications needs and business goals via a portfolio of competitively priced and flexible products has evolved into a keen, customer driven enterprisehas evolved into a keen, customer driven enterprise is well equipped with the necessary resources to undertake regional projects in co-operation with EU, other international bodies and interested companiesis well equipped with the necessary resources to undertake regional projects in co-operation with EU, other international bodies and interested companies
32 CytaGlobal …bridging continents, people and cultures Page 31 ATHKCYTA Conclusions ( cont…) CYTA, through active involvement in international communications, hasCYTA, through active involvement in international communications, has acquired high international reputation acquired high international reputation won the trust of neighbouring countries won the trust of neighbouring countries developed superb regional and global connectivity developed superb regional and global connectivity established itself as the major provider of capacity, services and solutions in the Eastern Mediterranean region and beyond established itself as the major provider of capacity, services and solutions in the Eastern Mediterranean region and beyond Cyprus has developed as the most important regional telecommunications and information technology hub in the Eastern Mediterranean, and the bridge between the EU and the Middle EastCyprus has developed as the most important regional telecommunications and information technology hub in the Eastern Mediterranean, and the bridge between the EU and the Middle East
33 CytaGlobal …bridging continents, people and cultures Page 32 ATHKCYTA The End! Thank You!