Russia may limit foreign ownership of Internet exchange points

MOSCOW, Aug 17 (PRIME) -- Russia’s Communications and Mass Media Ministry wants to limit foreign ownership of Internet exchange points, according to draft amendments to the law on connection released on Thursday on the portal of official documents.

The bill reads that a foreign state, an international organization, a foreign or a Russian company with foreign ownership of more than 20% have no right to hold or control more than 20% of shares of an Internet exchange point directly or indirectly.

The restriction will be also applied to foreigners, people without citizenship, or Russians with a foreign citizenship.

An Internet exchange point is a technological system ensuring traffic transfer in the Web between connected networks and/or information systems. “This definition covers not only those traffic exchange points that actually execute these tasks, but also networks of connection operators regardless of the scale,” said Irina Levova, director for strategic projects at the Internet Research Institute.

For example, Amsterdam-based holding VEON owns 100% of local big mobile operator VimpelCom, working as Beeline, and Stockholm-headquartered Telia Company owns 25.17% in mobile operator MegaFon.

End