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Mobile TeleSystems

May 14, 2001

Mobile TeleSystems (MTS) presents a new GSM service

MTS is enhancing the range of value added services providing mobile access to the Internet’s resources
Moscow, Russian Federation — 14 May 2001 — MobileTeleSystems OJSC (NYSE: MBT), Russia’s leading mobile operator, presented a new service — SIM browser — a special application based on enhanced features of a SIM-card at the “Svyaz Expocomm — 2001” international exhibition.

While using a SIM-browser, a full range of Internet-based services is available to MTS subscriber: access to data on personal account, weather forecast and the latest news as well as such services as mobile banking, “yellow pages” and access to various databases. Mobile access to the Internet resources via SIM-browser differs from a similar service based on WAP protocol. SIM-browser significantly optimizes surfing the Internet. Using a SIM-browser MTS subscriber can set up specific links on his (her) SIM-card to get access to required data directly via a handset menu, without using WAP-site directories. Besides, in this case the subscriber does not have to pay for the airtime while reading information or typing an e-mail message.

Commenting on this, Shagit Reznikov, Director of New Technologies and Services of Mobile TeleSystems OJSC, said: “SIM-browser is the technology which enables to access WAP without using expensive WAP-enabled handsets. This is a “friendly” technology for subscribers as it helps to save money not only on purchasing WAP-enabled phones but also on receiving all kinds of information services”.

The SIM-browser service in MTS network will operate as follows: a subscriber selects a SIM-headline in the menu (for example, “News”), the SIM-browser processes this request, encodes it and sends to the WAP-gateway as an SMS message. After receiving the request, the gateway translates it into another format and sends, for example, to a news agency. The answer from the news agency follows the same way back and the subscriber receives it as SMS messages.

Mobile TeleSystems company is now designing a number of services for MTS subscribers using SIM-browser.

SIM-Browser is a special application based on the “SIM Application Tooklit” technology.

A modern SIM-card in a mobile handset is a microcomputer with its processor, memory and operating system. Such card enables to carry out various applications: text entry on a phone’s display, sending and receiving SMS messages, creating new phone menu, typing and sending information inquires etc. If earlier ordinary SIM-card’s features seemed incredible, they have become common and now even don’t suit constantly growing demands of subscribers.

The STK (SIM Application Toolkit) technology was developed 3 years ago and permits now to enhance the standard phone’s menu. Thus, subscribers are provided with possibility to use new services offered by GSM operators. A subscriber can use any phone model. The special STK application — SIM-browser, stored into a SIM-card, makes possible to access Internet resources directly from a mobile handset which supports Phase GSM 2+. About 65% of all GPRS terminals in MTS network are expected to support the STK technology by the end of the year 2001.

SIM-browser platform is the software-device complex comprising several software products. The platform is delivered by Gemplus — a world’s leading provider of smart-card-based solutions and one of the SIM-card suppliers for Mobile TeleSystems OJSC.

For further information contact:

MTS
Press Secretary
Eva Prokofyeva
tel: +7 (095) 104-49-38
e-mail: eva@mts.ru

Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of MTS, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not intend to update these statement to conform them to actual results. We refer you to the documents MTS files from time to time with the U.S. Securities and Exchange Commission, specifically, the Company’s most recent Form F-1. These documents contain and identify important factors, including those contained in the section captioned “Risk Factors,” that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, potential fluctuations in quarterly results, our competitive environment, dependence on new service development and tariff structures; rapid technological and market change, acquisition strategy, risks associated with telecommunications infrastructure, risks associated with operating in Russia, volatility of stock price, financial risk management, and future growth subject to risks.

Mobile TeleSystems OJSC (NYSE: MBT) is Russia’s leading GSM 900/1800 mobile cellular operator. MTS has GSM 900/1800 licenses to provide mobile cellular telephony services in 34 regions of the Russian Federation, covering 45% of the country’s population. It has commenced operations in 21 regions covering more than 41 million people. Information about MTS’s activities and services can be found on MTSs website at http://www.mtsgsm.com.

 

 

 

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