MTS started selling 5G access, but questions arose about the connection conditions

Analysts do not expect significant revenue growth

MTS announced the launch of two paid options related to the use of fifth-generation networks. They provide additional internet traffic or unlimited access to mobile internet. At the same time, information on the operator's website about the conditions for connecting to 5G changed, and in a comment to Kommersant, the company stated that access to the fifth-generation network does not require additional payment.

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To connect to 5G, a compatible SIM card and a smartphone that supports the frequency bands used in Russia are required, as well as coverage in the area of use. In certain pilot zones, designated by MTS as "Super 5G," the operator indicates a maximum speed of up to 1.5 Gbit/s. According to the company's terms, traffic in these zones is not charged. However, to use the network, a device supporting the corresponding frequency band will be required.

After launching the network in September, MTS stated that no additional fee was required for using the technology. In October, the operator's website published conditions linking 5G access to the connection of one of two paid options. Later, the company announced that the network could be used without additional payment, and the new services were intended to provide additional traffic and priority in LTE.

VimpelCom informed Kommersant that 5G technology is included in tariffs and available on compatible devices. MegaFon has the "Mega5G" service. According to the operator, it allows increasing mobile internet speed by 1.6 times and works in both 4G and 5G networks.

5G coverage remains limited for now

According to the MTS map, the network is available in certain areas of Moscow, including a significant part of the territory within the Garden Ring, in Khamovniki and Ramenki. Coverage is also present in other parts of the city, but it is not ubiquitous.

Vladimir Bespalov, Senior Analyst at Euler for the telecommunications, media, and technology sector, believes that a limited number of subscribers will use paid services in the initial phase. Among the constraining factors, he names the small coverage area and limited compatibility of smartphones with Russian 5G bands. According to his estimate, the transition of subscribers to 5G tariffs in 2027 could provide MTS with about 0.1% of total revenue, or less than 0.2% of revenue from communication services.

Igor Zhilenko, founder of the Ecomobile communication management platform, also believes that the sale of 5G access is unlikely to significantly affect the operator's financial results. In his opinion, such a model could become an additional source of income, but it will not solve the problem of infrastructure payback.

Sergey Kudryashov, Partner of the "Digital Transformation" practice at Strategy Partners, notes that in the global market, 5G is usually considered a communication standard for which subscribers do not pay separately. In his opinion, singling out the technology as a separate paid service could slow down its spread and reduce the pace of user transition to the new standard.

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