The New Telecommunication Era and Armenia

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More for Less: New provider promises a faster, cheaper, expanded telecommunication service

Positive changes in terms of quality and price are expected in Armenia's telecom market in the near future, if the hopes of Armenian Datacom Company (ADC) are realized.
On April 27, ArmenTel and Fibernet were joined on the Armenian telecom market by ADC.

"It is a great pleasure and joy for us to officially announce ADC's entry into Armenia's telecommunications market," said the Armenian-Norwegian closed joint stock company's director general Herald Grytten during the official ceremony at the Government House of Receptions. Through a new super modern network in Yerevan ADC promises Armenian users the most accessible, secure and fastest network solutions, which they say will put businesses on a new way of development.

Both private companies and state institutions will get a number of opportunities in data transmission, including the creation of corporate networks connecting two or more offices.

The company is the first to have created an optic-fiber network in Armenia. The network is connected to ADC's own satellite, bypassing the need for the service of ArmenTel's satellite, which is used by other companies providing internet services in Armenia.

ADC's satellite is fed by teleport from Europe, which promises to ensure upgraded speed and capacity than currently exists for average users in Armenia.

According to Grytten, construction of the optic-fiber cable network cost $3.4 million.

The company's president Khazhak Karayan added that another $1.5 million will be invested in the near future.

"Unlike our competitors', our network will provide internet access and data transmission services at prices that will be lower by 25 percent," Karayan said.

Currently, prices offered by ADC are more affordable than those of other internet provides. For instance, the company's offered Internet Office 250 package that costs 100,000 drams, or some $277, (VAT inclusive) a month provides 256 kb/s and 64 kb/s download and upload speeds, respectively (

ArmenTel offers bandwidth at a speed of 64 kb/s to internet providers for 358,800 drams. (

Further, other companies offer limited traffic usage, whereas ADC's is limitless.

Connection prices are also more affordable. ADC charges a lump-sum of 95,000 drams for connection.

In the initial period, ADC will provide internet access and services only in Yerevan, however in the near future the company has intentions to unfold activities countrywide.

Hailing the company's entry at the ceremony, Armenia's Minister of Trade and Economic Development Karen Chshmarityan emphasized that the policy of assuming information technologies as a priority embarked in 2000 "has been yielding fruit."

"This company will become one of the leaders in the sphere, ensuring a high quality of internet connection and the development of the sphere," Chshmarityan said.

The Armenian-Norwegian ADC company founded in 2006 was the first to receive the license of providing public telecommunication services in accordance with new laws and regulation procedures.

By Sara Khojoyan, ArmeniaNow Reporter

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