AzEuroTel, a joint venture formed in 1995 by LUKoil Europe Ltd. and the Azeri Ministry of Communications, has brought hi-tech communications to Azerbaijan. The company is licensed to provide Baku's local telephone network, as well as national and international, trunk communication, data transmission and Internet access services.
    Unique among CIS competitors for its early adoption of digital, rather than analog equipment, AzEuroTel currently has around 20,000 subscribers. It is one of the country's leading ISPs, and operates a modern digital exchange using Marconi System X technology. The Presidential Office, Cabinet of Ministers, multinational oil corporations such as Amoco, Pennzoil, Statoil, LUKoil, BP, embassies and banks are currently using AzEuroTel services. AzEuroTel allows Azeri banks to transfer cash and exchange financial data, offers 24-hour connections to Reuters and Dow Jones Telerate data, and links banks to credit card verification services.
    AzEuroTel has a high qualified team of specialists trained in United Kingdom, Spain, Turkey, Russia, with 70% of employees having higher education qualifications in specialist telecommunication skills.
    As General Director Nuri A. Akhmedov explains, "We also have the capability to transfer data, telephone traffic, and provide Internet access via our equipment at better rates, with higher quality than our competitors in Azerbaijan." The company is certified to UKAS ISO 9001/2000.
    Akhmedov would like to see a completely liberalized telecommunication market in Azerbaijan. He believes that investors are dissuaded by the policy of the Minister of Communication in being the monopolist and also a major shareholder in telecom joint ventures.
    While strict laws protect investors, says Akhmedov, there is a conflict of interest and unfair competition created by state officials. He would like to see investors taking a long-term approach, and using Azeri engineering talent.
    Awaiting the second stage of the government's privatization process, AzEuroTel hopes to be sold off without the government retaining a fixed shareholding. "We embrace the future in any form, but not as a monopoly," says Akhmedov. "Privatization must create an open, competitive environment for telecommunications companies in this country. Partial privatization, allowing the maintenance of a monopoly on any telecommunication service, would be very dangerous. We need fair competition and this is the only way to go forward."

The Daily News