Information Technology in Latvia
Telecommunications Infrastructure


Note: Estonia is used as a basis for comparison in the Overview.

Overview

Both Latvia and Estonia have seen phenomenal success and growth in the past two years in the field of telecommunications. In 1992, Nokia, a Finnish telecommunications and cable group, signed a contract to link Tallinn and Helsinki by way of an underwater optical cable. This gave Estonia access to the international optical-cable network. Estonian Telecom agreed to pay for half of the costs of the venture. Also in 1992, Nokia bought 40% interest in a Finnish- Swedish-Estonian joint venture called Estonian Mobile Telephone. By August 1994 it had registered over 10,000 subscribers which translates to 7 mobile phones per 1,000 people in Estonia. This is more than in any other former Soviet republic.
 


Telecommunications operators

According to the Telecommunications law, Lattelekom is the exclusive provider of the fixed (wire) public telecommunications services – international, long distance, and national until the year 2013. Negotiations are going on (Privatization Agency with strategic investor Sonera) about shortening monopoly status (until 2002-2003).
Telecommunications operators and their shareholders.

There are more than 30 data transmission (TCP/IP) and Internet service providers. They include:

X.25 network provider is DataLatvia that is under Lattelekom ownnership.

There are roughly 60 Cable TV providers, mostly small local ones. The major ones include:

Telephone Lines (inh=inhabitants)
End 1996
End 1997
End 1998
Totoal nember of conventional lines
750,000
772,000
794,000*
Total number of 64K ISDN lines (subscriptions)
0
0
200
Total number of mobile lines
28,500
76,000
158,222*
Total number of lines
778,500
848,000
952,422
Total number of conventional lines per 100 inh
30.5
31.4
32.9*
Total number of 64K ISDN lines (subscriptions) per inh
0
0
Negligible
Total number of mobile lines per 100 inh
1.2
3.1
6.4*
Total number of lines per 100 inh
31.7
34.5
39.4
Percentage of 64K ISDN lines (subscriptions)/Total number of lines
0
0
Negligible
Percentage of mobile lines/Total number of lines
3.7%
9.0%
17%
Sources: Central Statistical Bureau of Latvia and annual reports of the operators
* Sema Group estimates (7)

Telecommunication Equipment (inh=inhabitants)
End 1996
End 1997
End 1998
Telephone sets Installed base
761,000
764,000
768,000
Penetration rate (units per 100 inh)
30.8
31.2
31.9
Public pay phones Installed base
3,300
3,500
3,800
Penetration rate (units per 100 inh)
1.3
1.4
1.6
Fax machines Installed base
n/a
n/a
120,000
Penetration rate (units per 100 inh)
n/a
n/a
49
Modems Installed base
n/a
n/a
14,000
Penetration rate (units per 100 inh)
n/a
n/a
5.8
Pagers Installed base
n/a
25,000
26,000
Penetration rate (units per 100 inh)
n/a
10.2
11
Source: Central Statistical Bureau (7)

The Use of Public Network (inh=inhabitants)
Voice
 
End 1996
End 1997
End 1998
Number of call per inh
6.1 (without local)
6.4 (without local)
6.6 (without local)
Number of minutes called per inh
13 (without local)
15 (without local)
16 (without local)
Total number of minutes of national communication (million)
36.0 (long distance)
41.0 (long distance)
43.0 (long distance)
Total number of minutes of international communications (million)
13.0
17.0
23.0
Total number of minutes (million)
49.0 (without local)
58.0 (without local)
66.0 (without local)
Source: Central Statistical Bureau (7)

Data
 
End 1997
End 1998
Switched (tera octets)
-
-
IP (tera octets)
11
18
18X25 (tera octets)
.05
.05
Frame Relay (tera octets)
0.0
.03
ATM (tera octets)
.01
.01
Total Traffice (tera octets)
11.1
18.1
Source: Latvian GIX statistics (8)

Communications

Telecommunications
Privatization and Deregulation
Internet Activity
Electronic Commerce
Hardware Manufacturing
Software Development
IT Usage
IT Labor Market
IT Geographics
IT Financing
Government Policies
Legal Environment
IT Strengths and Weaknesses
Impact on Business
Sources and Links
About the Authors


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This site was created by MBA students at the American University in Washington, DC.
Fall 1999

Back to American University's
Information Technology Landscape in Nations page.
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Last update: December 16, 1999