Saving IT Costs & Achieving Greater Business Agility with the Cloud

The largest telecommunications group in Russia and the Confederacy of Independent States saw the amount of data stored and processed in its cloud increase seven-fold last year.


Mobile TeleSystems OJSC, or MTS, is not only the largest telecommunications group in Russia and the Confederacy of Independent States, but also the largest mobile operator in Eastern and Central Europe. It has more than 100 million mobile subscribers and 9 million customers for its fixed-line services, which include voice, broadband internet and pay TV.

In March 2017, the company launched #CloudMTS, a cloud service for large corporate clients that provides elastic cloud capabilities, including real-time provisioning for compute resources, backup, and big data processing. The following year, it unveiled object storage for corporate information, mail services, and personal data processing – all of which contributed to a seven-fold increase in the amount of data processed and stored on the company’s cloud.

Today, the expansion of MTS’ cloud services — delivered through its IP network and 10 data centers continues. In January, the company acquired IT-Grad, a cloud service provider with five data centers throughout Russia, and the first in the nation to base its offerings on VMware’s technology.

Ivan Frunze, the technical director of #CloudMTS, recently shared what he sees driving demand, why he’s enthusiastic about the ways the cloud helps customers be more successful, and how being VMware Cloud Verified benefits MTS and its clients.

“Just migrating to the cloud delivers dramatic improvements in efficiency for most of our customers, but the real magic happens when they begin using it to quickly launch new products and offer new services,” says Frunze. “The cloud makes it possible to work in new ways and for organizations of all kinds to be more nimble than ever before.”

Currently MTS is seeing the greatest demand for infrastructure-as-a-service, but it considers platform-as-a-service an area of future growth and is testing related services with customers. Notably, Frunze notes that many customers currently use #CloudMTS to embrace transformative computing trends like big data and Internet of Things, with plans for machine learning and artificial intelligence projects increasingly in place.

Frunze sees three key benefits driving initial adoption of #CloudMTS among businesses in Russia and the Confederacy of Independent States:

  • The ability to increase growth without increasing capital expenditures: 
    Few companies want to increase their CAPEX budget when funds that were once used for hardware can now be allocated to new projects and innovations. Because cloud services are expensed against an enterprise’s OPEX budget, they are typically easier on cash flow. Ivan notes that one client’s recent experience is fairly typical: it lowered its monthly IT costs by more than 25% by moving to the cloud.
  • Predictable costs: 
    Enterprises know what their payment for cloud services will be in any given time period, where as hardware purchases often follow a three-year refresh cycle that all too often forces enterprises to purchase additional capacity or performance before they need it.
  • Greater business continuity and flexibility:
    Cloud services can be rolled up or down as business needs dictate without increasing the pool of IT equipment a company must purchase and manage. For example, a firm might open a new office or close one. With the cloud, the required adjustment of IT resources and systems can be made in a matter of minutes. The inherent resiliency of the cloud and built in redundancy also typically exceeds that delivered by on-premises infrastructure.

Frunze also notes that being VMware Cloud Verified is in itself a differentiator and attractive benefit for customers.

“We use a full stack of VMware solutions, including vSphere, NSX and vCloud Director, for the #MTSCloud,” he says. “Having VMware as a partner and being VMware Cloud Verified confirms our expertise and competency in virtualization, increases the confidence of our customers, and enables us to provide them with a failure-proof and easily expanded virtual infrastructure. Prospective customers quickly realize that we are ideally qualified to address all of their needs and requirements for the successful digitalization of their business.”

For more information on MTS visit here

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