16 June 2008, Moscow, Erevan. Comstar – United Telesystems (JSC Comstar-UTS, LSE: CMST), the largest integrated telecommunications operator in Russia and the CIS, announced that, CJSC Cornet-ÀÌ, a subsidiary of JSC Comstar-UTS in Armenia, has been awarded the frequencies by the Armenian Commission for Regulation of Public Services on June 11 in the 3660-3700 MHz band for a ten-year period for the use in the following regions of Armenia: Aragatsotn, Ararat, Armavir, Gegarkunik, Lory, Kotayk, Shirak, Sunik and Tavush. The frequencies have been allocated to Cornet-ÀÌ for operation of its wireless access network.

This spectrum part was needed to set up WiMAX-based telecom channels in the Cornet-ÀÌ network now under construction and to provide wireless access network services in general.

Construction of the wireless Internet access network based on WiMAX 802.16å started in spring 2008. Equipment for base stations is being supplied by Airspan Networks (USA). The first stage of the project implies installation of 24 base stations with capacity enough to cover 19 cities of Armenia, including its capital Erevan. In future, it is intended to expand the footprint. In parallel, Cornet-ÀÌ also builds new backbone trunks of its own .

JSC Comstar-UTS  is set to make the WiMAX network operational in the second half of 2008. The network will enable such services as broadband Internet, data transfer, VPNs, local and DLD/ILD calling.

“JSC Comstar-UTS is actually building in Armenia a nationwide telecommunication network. Wireless technologies will allow us to deliver telecommunications services to the farthest corners of the country. Moreover, the regions will get the same telecom services, in terms of quality and variety, as the Armenian capital, - underscored Boris Demirkhanyan, CEO of Cornet-ÀÌ.  With launching  this new network, we enter the residential market, and will provide services both to corporate users and individuals”.