Viva VivaCell
From October 1998 when I arrived in Yerevan until today, I never had a mobile phone in Armenia. Until recently, coverage was poor and ArmenTel’s so-called Easy Cards were only available on the black market for up to ten times their official price. Recently, however, with the arrival of VivaCell as Yerevan’s second mobile phone operator, times have changed and today, I picked up a Siemens handset and the VivaCell equivalent of an Easycard for less than many people paid for just an Easycard without a phone.
Somewhat ironically, however, since the arrival of VivaCell, the ArmenTel network has imploded and it is still virtually impossible to get through to ArmenTel subscribers from any phone.
“Although mobile phone service has been virtually paralyzed in Armenia for almost a month, … the Ministry of Transport and Communications does not yet want to do anything about it,” complains “Hayots Ashkhar.” The paper says the government has still not responded to a complaint against ArmenTel filed by Armenia’s second mobile phone operator, VivaCell, a week ago. “VivaCell is complaining that the connection provided by ArmenTel affects the quality of services provided by it. VivaCell intends to appeal to the Commission on Protection of Economic Competition.” But ArmenTel has already decided to compensate its customers by undercharging them for July phone calls. The paper says the move will cost the Greek-owned company between $800,000 and $1 million.
I’m sure things will change, however, as they really have to if ArmenTel wants to have any customers left. Meanwhile, with over 1.7 million mobile phone subscribers in Azerbaijan and over 1 million in Georgia, the arrival of VivaCell does at least allow Armenia some chance to catch up with its neighbors. Some analysts estimate that there might be as many as 600,000 mobile phone subscribers in Armenia by the end of 2005. In April, there were just 200,000 — perhaps the greatest illustration of how disasterous and damaging the ArmenTel monopoly has been.
I have to be honest and say that when I see so many VivaCell company cars around Yerevan, a smile comes to my face.
Ah, another “convert”! Earlier this week I also got a Vivacell number. I had been thinking before about getting a mobile number, because I am out and about and out of townso much, but due to the price tag connected, I never did get one. So now I just hope Vivacell will be able to extend their coverage over a larger part of the country soon.
I didn’t buy a handset, as I took mine from Holland with me. I am curious about the rumours going around about prices of handsets going up and there being a shortage of handsets since Vivacell started operating. How much of that is (still) true?
Comment by Myrthe — July 28, 2005 @ 6:10 am
I paid 65,000 drams (about $145) for a Siemens C65 handset. Probably pricey by westerns standards but by how much I don’t know.
Comment by Administrator — July 28, 2005 @ 9:21 am
I cant believe there are no enough handsets!
Why Alcatel or someone from oligarchs doesnt produce them in Armenia?
of course it may be not as lucrative as import of gas or other basic stuff, but it seems to be
an attractive business.
Comment by Gagik — July 29, 2005 @ 7:33 am
I have to say that there are handsets available in Yerevan. The problem is more that there are not enough cheap handsets (i.e. less than 50-60,000 drams) as they seem to have been all bought up. That’s what I’m told anyway, and the cheapest handset I saw last week when shopping was 55,000. Next one up was 65,000.
Comment by Administrator — July 29, 2005 @ 8:53 am
A lack of cheap handsets makes more sense to me than a lack of handsets in general. Gagik, any short supply of handsets ther may be, only occured in the past month, since Vivacell started operating, so hopefully it is just a temporary thing. I was just curious to find out whether there is any truth in the rumours about the availability (or lack thereof) of handsets.
Comment by Myrthe — July 29, 2005 @ 9:59 am