Moscow City Telephone Network

Moscow City Telephone Network, commonly known by the Russian acronym MGTS, is a telecommunications operator serving Moscow, Russia. Its historical core is the city's fixed-line telephone network, but the business expanded into broadband internet and other communications services as the market shifted from traditional voice telephony toward converged digital connectivity. The company is described as a public joint-stock company and serves more than four million subscribers in Moscow according to the supplied reference material. The network's institutional history reaches back to 1882, when the Bell Telephone Company established a manually operated telephone exchange in Moscow. The initial exchange had capacity for 800 numbers and began with 26 subscribing households. Subscriber numbers grew rapidly, reaching approximately 3,000 within two years. In 1891, a Swedish-Danish-Russian joint-stock company entered into an 18-year agreement to provide telephone service in Moscow. These early developments formed the historical foundation of the city's organized telephone infrastructure, although the modern MGTS corporate structure came much later. MGTS was reorganized as a joint-stock company in 1994. The same year is associated in the supplied material with the company's monopoly over Moscow public telephones, a position that later came under review by the Moscow government. The company subsequently remained a major fixed-line operator while adapting its infrastructure and commercial model to competition from mobile, cable, and alternative broadband providers. A major strategic transition occurred in the early 2010s. In November 2013, MGTS selected four suppliers for the main and distribution fiber-optic cables needed to expand its optical network through 2016. The planned procurement was reported at more than one billion rubles, although the supplied material does not provide a sufficiently specific financial source or accounting period for inclusion as a formal financial figure. That same month, the company announced a rebranding and repositioning as a multiservice operator. The stated objective was to create a unified digital platform for Moscow rather than remain identified solely with fixed telephone service. The fiber program was based on extending fiber to buildings, commonly described as FTTx. MGTS planned to combine broadband internet, digital television, and telephony over the upgraded access network. By late 2013, the company was reported to have constructed approximately 25,000 kilometers of connections reaching about 650,000 Moscow households. The expansion represented a shift from legacy copper-based voice infrastructure toward higher-capacity access capable of carrying multiple consumer services. In January 2014, the Moscow government was reported to be considering the removal of MGTS's monopoly over public telephones and the selection of another operator. The proposed successor would introduce additional functions, including the ability to pay for parking through public telephone devices. This episode illustrates the changing role of traditional public telephony and the pressure on incumbent infrastructure operators to support broader municipal and digital-service objectives. MGTS operates within the wider Mobile TeleSystems group. In May 2021, MTS President Vyacheslav Nikolaev announced plans to separate MGTS and other telecommunications, information-technology, and cloud-focused businesses into an MTS Web Services legal entity by the end of that year. The supplied source does not establish the final legal implementation or the precise effect on MGTS's brand and operating structure. In August 2021, Albert Gilmanov, previously MGTS chief operating officer and a member of its board of directors, was appointed chief executive officer on a three-year contract, replacing Vladislav Medvedev, who had led the company since November 2019 and was to continue in a chief technology officer role. MGTS therefore combines a lo…

The history associated with Moscow City Telephone Network begins with the establishment of Moscow's first organized telephone exchange. In 1882, the Bell Telephone Company opened a manually operated exchange with capacity for 800 numbers. Twenty-six households initially subscribed, and the customer roll grew to approximately 3,000 within two years. In 1891, a Swedish-Danish-Russian joint-stock company signed an 18-year contract to provide telephone service in Moscow. The modern MGTS organization was created much later. In 1994, the Moscow City Telephone Network was structured as a joint-stock company. The company also held a monopoly over Moscow public telephones from that period, although the Moscow government later considered replacing the exclusive arrangement. MGTS retained a central role in fixed-line communications while the Russian telecommunications market expanded into mobile service and broadband. During the 2010s, MGTS undertook a major infrastructure and positioning change. In 2013, it chose four suppliers for the main and distribution fiber-optic cables required for network development through 2016. The company reported a multiservice strategy intended to make it a broader digital operator rather than a traditional voice-only telephone provider. Its planned fiber-to-the-building platform was designed to support broadband internet, digital television, and telephony. By the end of 2013, approximately 25,000 kilometers of network connections had reportedly reached around 650,000 Moscow households. The company's public-telephone position became a regulatory issue in 2014, when the Moscow government was reported to be considering ending MGTS's monopoly and appointing a different operator. The proposal reflected the declining importance of conventional public telephones and the desire to add functions such as parking-payment capability. MGTS became part of the broader strategic environment of Mobile TeleSystems, which held a majority stake. In 2021, MTS President Vyacheslav Nikolaev announced a planned separation of MGTS and other telecom, IT, and cloud businesses into an MTS Web Services legal entity. The supplied reference does not document the final corporate outcome in enough detail to state it as completed. In August 2021, Albert Gilmanov, previously MGTS chief operating officer and a board member, became CEO under a three-year contract. He replaced Vladislav Medvedev, who had served as CEO since November 2019 and was expected to continue as chief technology officer. MGTS's documented development is therefore a progression from a manually operated nineteenth-century telephone exchange to a large Moscow fixed-line operator and then to a fiber-based multiservice provider within the MTS group.

1. 2021Planned MTS Web Services separation

   MTS announced plans to place MGTS and related telecom, IT, and cloud businesses into an MTS Web Services legal entity.

   Source
2. 2021CEO succession

   Albert Gilmanov was appointed CEO, replacing Vladislav Medvedev.

   Source
3. 2013Fiber-network expansion program

   MGTS selected four fiber-optic cable suppliers for network development planned through 2016.

   Source
4. 2013Multiservice repositioning

   The company announced a rebrand and strategy centered on fiber-based broadband, digital television, telephony, and a unified digital platform.

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5. 1994Joint-stock reorganization

   Moscow City Telephone Network was reorganized as a joint-stock company.

   Source
6. 1891Long-term operating agreement

   A Swedish-Danish-Russian joint-stock company signed an 18-year agreement to provide telephone service in Moscow.

   Source
7. 1884Early subscriber growth

   The exchange's subscriber roll reportedly grew to approximately 3,000 within two years of opening.

   Source
8. 1882First Bell-operated Moscow exchange

   The Bell Telephone Company established a manually operated exchange in Moscow with capacity for 800 numbers and 26 initial households.

   Source

A Moscow-focused incumbent telecommunications operator repositioned from traditional fixed telephony toward multiservice, fiber-based digital connectivity.

• Fixed-line telephonyTelephony1882

  MGTS's historic core offering is local fixed-line telephone service in Moscow. The business evolved from the city's early manually operated exchanges into a large urban fixed telecommunications network. Although the supplied material does not describe specific tariff plans or current voice features, fixed telephony remains central to the company's identity and historical development.

• Broadband internetInternet access

  Broadband internet became a major part of MGTS's transition into a multiservice operator. The company expanded fiber connectivity to Moscow buildings and used the upgraded access network to deliver higher-capacity internet alongside traditional telephony. The supplied sources identify broadband as one of the company's principal services but do not provide current plan names or speeds.

• Fiber-optic access networkTelecommunications infrastructure2013

  MGTS developed a fiber-to-the-building, or FTTx, network to support multiple communications services. The 2013 expansion program involved four cable suppliers and was intended to extend the network through 2016. By late 2013, approximately 25,000 kilometers of connections were reported to reach about 650,000 Moscow households.

• Digital televisionPay television2014

  Digital television was included in MGTS's planned bundled-services platform alongside broadband internet and telephony. The offering formed part of the company's effort to use its fiber network to provide several household communications and entertainment services through a single operator.

• Public telephonesPublic communications1994

  MGTS operated Moscow public telephones and was reported to hold a city monopoly from 1994. In 2014, the Moscow government considered ending that monopoly and selecting another operator whose devices could support functions such as parking payments. The supplied material does not establish the final status of the public-telephone business.

• 2013MGTS multiservice rebranding

  Moscow

  MGTS announced a new brand positioning as a multiservice operator, presenting the company as a provider of a unified digital platform rather than only a fixed-line telephone network.

  Outcome. The announcement was followed by a fiber-based service strategy covering broadband internet, digital television, and telephony. The supplied sources do not provide independent brand-performance metrics.

  Source

• 2021Plan separation into MTS Web ServicesStrategy

  MTS was reorganizing telecom, information-technology, and cloud-oriented businesses within a broader digital-services structure.

  What changed. MTS President Vyacheslav Nikolaev announced a plan to separate MGTS and other related companies into an MTS Web Services legal entity by the end of 2021.

  Aftermath. The supplied reference does not document the final legal implementation or its effect on the MGTS brand.

  Source
• 2013Reposition the company as a multiservice operatorStrategy

  MGTS faced a communications market increasingly centered on broadband and converged digital services rather than traditional fixed voice alone.

  What changed. The company announced a rebranding and a strategy to build a unified digital platform using fiber networks to buildings, with broadband, digital television, and telephony offered together.

  Aftermath. The strategy established fiber-based multiservice connectivity as a central direction for MGTS. Specific financial or subscriber outcomes are not supplied.

  Source
• 2013Approve fiber-optic cable procurementOther

  The multiservice strategy required a larger and more capable access network in Moscow.

  What changed. MGTS selected four suppliers for main and distribution fiber-optic cables for network development planned through 2016.

  Aftermath. By late 2013, the company was reported to have built approximately 25,000 kilometers of connections reaching about 650,000 households.

  Source

• 2021MTS announces planned separation of MGTS and related digital businesses

  MTS President Vyacheslav Nikolaev announced plans to place MGTS and other telecommunications, IT, and cloud-oriented companies into an MTS Web Services legal entity by the end of 2021.

  M&A
  Source
• 2021Albert Gilmanov appointed MGTS chief executive

  Albert Gilmanov, formerly MGTS chief operating officer and a board member, was appointed CEO on a three-year contract, replacing Vladislav Medvedev.

  Leadership change
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• 2014Moscow considers ending MGTS public-telephone monopoly

  The Moscow government was reported to be considering a new operator for public telephones, with proposed devices offering additional municipal functions such as parking payments.

  Regulation
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• 2013MGTS selects suppliers for fiber-optic network expansion

  MGTS selected four suppliers for main and distribution fiber-optic cables as part of a network-development program extending through 2016.

  Other
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• 2013MGTS announces multiservice rebranding

  The company announced a new positioning as a multiservice operator and outlined a digital platform built around fiber connectivity, broadband, digital television, and telephony.

  Campaign
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1. Moscow City Telephone Network