Specifically, the ATM network came into commercial operation with the capability of providing broadband services, while the intelligent network also began operations, providing additional telephone services to customers. At the same time, a pilot scheme was completed on the Asymmetric Digital Subscriber Line (ADSL) which is due to become operational in 2001. The installation of a Geographic Information System (GIS) was also completed. Another notable event was the completion of the Black Sea Fibre Optic Cable System (BSFOCS) in which our Organisation plays an active role.

The implementation of the project to install the entire subscriber network underground continued with the underground connection of a large number of new buildings.

We developed a complete range of international telecommunications products, both for the local and international markets. The forging of alliances with new, large capacity, privately-owned cable systems covering the Mediterranean was another milestone in 2000. Equally important were the collaborations with other telecommunications organisations for the provision of connectivity between our region and Europe and the U.S.A.

Driven by our ambition to strengthen our Organisation's competitiveness, we continued to expand and improve our networks, both national and international.

INTERNATIONAL TELEPHONE NETWORK
Our international telephone network was upgraded significantly in 2000 through a series of expansion and modernisation programmes, which brought spectacular improvement to international communications.

International Telephone Exchanges
In 2000, CYTA proceeded with a second substantial expansion in the capacity of the Limassol International Telephone Exchange, which increased the number of international circuits and added capability for new improved services.

International Network Management Centre
Το The International Network Management Centre (INMC), which has been operating with great success since 1999, has the ability to continuously monitor and control the international circuit switched network (international telephone traffic and signalling).  Through the INMC’s operations, CYTA provides its customers with high quality international telephone service.

In 2000, a series of software and hardware upgrades were carried out with the aim of securing a better and more efficient operation of the centre.

Furthermore, in the same year, the upgrading of Signalling System Number 7 (SS7) management by the INMC was completed so as to cover the requirements for managing the GSM mobile telephone signalling network.

Finally, a decision was taken to upgrade the centre so as to cover the requirements for the management of the signalling of the national circuit switched telephone network. In this way, CYTA is moving towards the creation of an integrated management platform that will manage the traffic and signalling of the fixed (national and international) and mobile circuit switched telephone networks.

NATIONAL TELEPHONE NETWORK
Our national telephone network was upgraded significantly through a series of enhancements and modernisation programmes, which brought significant improvements to the provision of telephone service.

Redesign of the National Circuit Switched Telephone Network
ΜέIn 2000, CYTA completed the redesign of the national circuit switched telephone network. The goal of this redesign was to maintain a 75% business continuity of telephone traffic at peak hours in the case of a transit telephone exchange, or in the event of a transmission node failure.

Internet Service Provider Connections
Connections for Internet Service Providers (ISPs) to the national circuit switched telephone network are offered via ISDN Primary Rate Access (30B+D).  However, the dramatic increase in Internet use in Cyprus during the year led to a substantial increase in ISDN Primary Rate Access, which doubled during the year under review (243 Primary Rate Accesses in December 2000, compared to 118 in December 1999).  The volume of traffic in the national circuit switched telephone network also increased due to the extensive use of the Internet.

Consequently, CYTA proceeded to study and evaluate proposals to offload the National Circuit Switched Telephone Network from Internet traffic. The implementation is expected to take place in the year 2001.

INTELLIGENT NETWORK
CYTA completed the installation and interconnection of the intelligent network with the fixed and mobile networks. This network will facilitate and support the development of many new fixed and mobile telephone services.  It will also improve considerably the management of existing services.

During 2000, the development of the first intelligent network service (prepaid GSM card) was completed.  The new service came into commercial operation in December with great success.  Furthermore, the development of additional services is planned and is expected to be placed in operation in the year 2001.

ATM NETWORK
During the first quarter of the year 2000, Asynchronous Transfer Mode (ATM) and Frame Relay network services were offered for commercial use with great success. ATM technology enables the interconnection and data transfer applications at high speeds (2, 34, 155 and 622 Mbps) and uses packet technology in conjunction with the Synchronous Digital Hierarchy (SDH) network.

At the same time, CYTA proceeded to study the upgrade of the ATM network so as to support the increased demand of broadband ATM/Frame Relay products.  Furthermore, the upgrading of the ATM network aims at establishing a backbone network supporting new technologies and architectures offering a broader functionality to CYTA’s packet switched public network.

THE TRANSMISSION NETWORK
National Transmission Network
In 2000, particular emphasis was given to the successful implementation of our development plan for transmission systems. As a result, the total capacity of the backbone network increased by 20% and customer capacity demands were almost fully satisfied.

Today, the transmission network offers a modern and reliable transportation means of digital signals, based on a ring architecture with the capability of automatic and immediate restoration of links and circuits in case of faults. In 2000, we planned the introduction of new optical transmission rings with 2,5Gbps (STM-16) capacity for the metro and intercity backbone network, in order to further increase available capacity.   Also, we focused our efforts on the provision of SDH fibre optic links to our business customers.

Τhe existing SDH network constitutes the basis for the provision of ATM/Frame Relay products to our customers. It will also be the transmission means for the provision of products based on Asymmetric Digital Subscriber Line (ADSL) technology.

We have planned to upgrade the SDH network management system with the aim of improving the efficiency of our operations and maintenance processes and thus the quality of service provided to customers.

The implementation of microwave radio links continued during 2000, aiming at providing transmission capacity to areas where there is no alternative telecommunications infrastructure, mainly for the requirements of our mobile telephony network.

A feasibility study for the introduction of an optical transmission network based on Wavelength Division Multiplexing (WDM) technology has been completed. The WDM network will dramatically increase the capacity of our backbone network and support the next generation networks such as IP over WDM.

Digital Leased Circuit Network
Throughout the year we continued to develop the leased circuit network with the aim of installing such resources in urban areas that would enable the immediate provision of service to our business customers. We also started to expand the network in rural areas where, for the first time, there has been demand for digital leased circuits. The same infrastructure is used to provide customer access to our ATM/Frame Relay network, at rates of 64kbps up to 2Mbps.

Our great efforts aimed at developing the leased circuit network, in conjunction with the powerful network management system at our disposal, enabled us to satisfy the growing number of requests from business customers for leased circuit and ATM/FR products.

Good design and the timely development of the leased circuit network, together with improvements made to our internal processes, have resulted in improved delivery times for our products and a better quality of service to our customers.

During the year, about 1,050 new digital leased circuits and accesses were provided to customers, satisfying more than 98% of the total demand. The increase in network capacity was in the order of 20%.

In 2001 we shall continue with the expansion of the leased circuit network to even more rural areas, in parallel with the installation of more resources in urban areas. Also, in 2001 a new contract for the provision of High Bit Rate Digital Subscriber Line (HDSL) equipment will be signed and this equipment will be used mainly for the provision of leased circuits and ATM/FR and primary ISDN accesses at rates of 256kbps up to 2Mbps.

Frequency Management
The Ministry of Communications and Works acts as the National Regulator of frequency band usage. In the process of managing applications from the private sector and issuing licenses for wireless communications, the Ministry consults CYTA regarding the probability of interference with CYTA’s existing services. An ever-increasing number of such cases was investigated by us during the year and appropriate feedback was given to the Ministry.

CYTA also provides consultative services to the Ministry regarding frequency band management. In this context, three CYTA engineers were included in a Cyprus government delegation that participated in the World Radiocommunications Conference (WRC-2000) in Istanbul, Turkey in May 2000, which was organised by the International Telecommunications Union. The Conference studied a series of issues and, through its decisions at the plenary session, established the relevant Regulations for Worldwide Radiocommunications.

SATELLITE COMMUNICATIONS
CYTA is a signatory to, and utilises the services of, the International Telecommunications Satellite Organisation (INTELSAT) and the European Telecommunications Satellite Organisation (EUTELSAT).  CYTA is also a signatory to INMARSAT that provides global maritime, land mobile and aeronautical services via satellite. Also, CYTA utilises other satellite systems such as SIRIUS II, TELSTAR 10 and the Russian EXPRESS 6A. CYTA is also a shareholder in ICO, which provides mobile services via satellite.

At the MAKARIOS Satellite Earth Station site, which is located 38km south of Nicosia, we completed in 2000 the installation of EUTELSAT’s new DAMA system that offers VSAT services to customers in Europe, Russia and the Middle East via interconnection with our international network.

The MAKARIOS site also hosts the IRIS Gateway Satellite Services Ltd Teleport, which provides turnaround services to its international customers. In 2000, we successfully completed the introduction of two additional earth stations into the network usable by this company. This Teleport now provides IRIS with the possibility of offering its customers TV and radio retransmissions between Europe and Asia via the satellites of EUTELSAT, ARABSAT, INTELSAT, ASIASAT and others.

SUBMARINE FIBRE OPTIC CABLE SYSTEMS
In 2000, a total of seven international submarine fibre optic cable systems landing in Cyprus were in full operation:

• SEA-ME-WE 3 (Far East, Australia, Asia, Middle East, Europe)
  
• SEA-ME-WE 2 (Europe, Middle East, Asia)
  
• LEV (Cyprus, Italy, Israel)
  
• ΑΦΡΟΔΙΤΗ 2 (Cyprus, Greece)
  
• CIOS (Cyprus, Israel)
  
• CADMOS (Cyprus, Lebanon)
  
• UGARIT (Cyprus, Syria)
  

AXIOM Corporation - Axone Cable System 
Axone is a regional cable system that will employ state-of-the-art technology (utilising Dense Wavelength Division Multiplexing - DWDM) providing high bandwidth connectivity between East/West Mediterranean countries and Western Europe. At the same time, it will enable the access to Internet nodes in the U.S.A and Europe, at very high speeds.

TYCOM Corporation - TGN Cable System
Τhis global cable system extends to the United States and then to Europe and the Mediterranean. In its first phase, it will have a capacity of 2,56Tbps and a length of more than 85.000km. The system is due to come into service by the end of 2002.

New Millennium Corporation - Gubileo Cable System
The aim of this global cable system is to enable the connectivity of almost every country in the world with Internet nodes, at very high speeds. The European part of the system will consist of three rings covering the Baltic Sea, Western Europe and the Mediterranean. It is due to come into service by the end of 2001.

With our participation in the above fibre optic cable systems and especially by securing landing points in Cyprus, our aim is to reinforce CYTA’s strategic role in the area, and to maintain Cyprus as a telecommunications hub.

During 2000, we also actively participated in the intensive efforts for bringing the Black Sea Fibre Optic Cable System (BSFOCS) into service. As a result of our efforts, the cable system will come into service at the beginning of 2001. This cable system constitutes a high bandwidth telecommunications avenue, which covers the Black Sea region, offering reliable, high-quality connectivity, at low cost. Our participation in BSFOCS is part of our overall global strategy that aims to interconnect the Eastern Mediterranean with the Black Sea region and the Balkans.

GLOBAL CONNECTIONS
Οur Organisation maintains direct telephone circuits with 63 correspondents in 52 countries. It also maintains 54 direct signalling links, interconnecting with 250 Destination Point Codes (DPCs) for serving international fixed telephony and international roaming for GSM mobile telephony.

At the end of 2000, the total number of international telephone circuits reached 5.066, representing an increase of 4% on 1999, while the respective figure for ISDN circuits rose from 131 to 136, also representing an increase of 4%.

At the same time, two new 2Mbps transit connections were established, taking the total to 150 (an increase of 1,4% on 1999), while three new VC3 (45Mbps) transit connections were established between Israel and the USA.

Finally, during 2000, the number of international private leased circuits increased by 7,4% from 162 to 174.

GLOBAL TELECOMMUNICATION PRODUCTS
We upgraded our existing global products, while at the same time developing new ones, with particular emphasis on their promotion worldwide. Our portfolio of products includes:

CytaCable.Way: Selling and leasing cable capacity.

CytaSpace.Way: Leasing satellite capacity.

CytaSpace.Link: Satellite private leased connections via VSAT.

CytaSpace.Select: International telephony via VSAT access, using EUTELSAT’s DAMA platform.

CytaBridge: Interconnection of International Private Leased Circuits (IPLCs) between two countries, via Cyprus.

CytaPassage: Interconnection of international capacity via CYTA’s national network.

CIOS.Connect: Combination of CytaCable.Way and CytaPassage products with other cable facilities provided by BEZEQ, a telecommunications company in Israel.

CytaVideo.Select: Occasional TV transmission.

CytaConnect: Combination of satellite and cable capacity for the provision of total communication solutions.

Global CytaNet: Combination of cable or satellite leased connections and Internet access via the CYTANET node.

CytaRestore: Restoration of submarine cable links via spare cable capacity.

CytaCable.Consult: Consultation services for the planning, development and implementation of submarine cable systems.

CytaTele.Port: Provision of hosting and co-location facilities.

CytaSignal & CytaSignal.plus: Provision of access to the international signalling network and provision of Signal Transfer Point (STP) facilities.

CytaRoam & CytaRoam.plus: Provision of international roaming facilities to local and international GSM Operators.

Global Switched Transit Connections 
(including access facilities where required, via Global CytaVoice and Global CytaPac products).

Global Freephone and Calling Card Services.

International Private Leased Circuits with special features for satisfying the different needs of particular customer segments:

CytaBusiness.Link for business customers in general,
CytaNews.Link for international news agencies,
CytaAcademic.Link for academic and research institutions,
CytaInternet.Link for licensed Internet Service Providers,
CytaVideo.Link for licensed TV stations.
Other specialised audiovisual connections.

Frame Relay Products: Global private connections employing Frame Relay protocol, in the following forms:

CytaFrame.Relay: Provided via direct connections with CYTA’s correspondents, to selected destinations and with no application restrictions.

Frame Relay via Affiliations: Provided via affiliations of CYTA with International Frame Relay Providers with voice-application restrictions.

CytaTransfer: Global private connections via the ATM (Asynchronous Transfer Mode) platform.

CytaPac.plus: Global private connections via CYTA’s Public Switched Packet Data Network (CYTAPAC).

THE ACCESS NETWORK
The development of the copper line and fibre optic access networks continued in 2000.  At the same time, various strategic projects were implemented with the aim of providing improved products and quality of service to customers and broadening the range of products, while at the same time respecting the environment.

Strategic Projects
With quality of service and quick delivery of products our prime objectives, we further pursued the timely development of the access network.  Emphasis was also placed on the development of an access infrastructure for the provision of new broadband products.  To this end, a number of projects were undertaken as outlined below:

Fibre to the Cabinet
A pilot project deploying this new technology was launched in 2000 and is expected to be completed in mid-2001.  If the results of the evaluation are satisfactory, we shall be deploying this technology in the development of our access network in early 2002. With this technology, the quality of existing products is expected to improve while the capability of providing broadband products to more customers will be enhanced.

Asymmetric Digital Subscriber Line (ADSL)
Having successfully completed a pilot project, we expect to achieve mass deployment of this technology starting from the 3rd quarter of 2001.  We shall thus be able to provide new broadband products such as Fast Internet Access, Video-on-Demand, etc.

Underground Cable Installations
During 2000, 5.270 customer premises were connected to the access network using underground cables (instead of overhead cables). This was done in accordance with our policy of providing underground access to our customers and preconnecting buildings under construction in order to achieve improved quality of service, a more pleasant environment and quicker delivery of service.

 Quality Management System ISO 9000 
The design and implementation of a quality management system for the Access Network unit has been completed to a large extend.  The unit expects to be awarded the ISO 9000 Certificate in 2001.

Geographic Information System (GIS)
The purchase and installation of a Geographic Information System for the management of the access network was completed as planned and data entry activity has already started.  This system enables the automated design of the network and the implementation of network development projects.  The system will be fully operational by the middle of 2002.  Hence we shall achieve increased productivity and improved delivery times.

Main Development Projects
During 2000 the development of the copper line and fibre optic cable networks, which basically constitute the access network, continued as follows:

• The number of lines (pair of copper wires) in the primary part of the access network rose by a total of 30.100 in the urban areas and by 11,200 in the rural areas. The island-wide total number of such copper lines by the end of 2000 was 722.300.
  
• A total of 119km of fibre optic cable was installed in the trunk network, thus providing alternative interconnection links to the majority of telephone exchanges. This was done according to an island-wide service restoration plan whereby interruption of service to our customers is avoided in case of network faults.
  
• A total of 30km of fibre optic cable was installed to provide ISDN-Primary Rate Access and ATM/FR access to large and medium sized business premises.
  
• The installation of optical rings in urban areas progressed further.  A total of 27km of fibre optic cable was installed, creating six such rings.  In addition, a total of 84km of fibre optic cable was installed in rural areas.  In the future, these rings will form the core network for the "Fibre to the Cabinet" architecture.
  

Support Projects
The following support systems were either upgraded or newly installed during 2000 with the purpose of enhancing the quality of the access network:

Mass end-to-end testing of connections
With this system, which will be fully operational in 2001, we aim to correct the data pertaining our network resources in the corporate operational database.  The utilisation of available network resources and their management will thus be effectively improved.

Automatic customer line testing system
The system's functionality was enhanced so that mass automatic testing of customer copper lines could be carried out.

Access network support centre
The centre provides technical support for our installation and maintenance field technicians in an effort to increase productivity and improve customer service.

System for monitoring pressurised cables
The number of copper cables in the primary part of our access network that were pressurised and connected to the monitoring system increased considerably during the year.  As a result of deploying this system, the rate of faults in this part of the access network was maintained at very low levels.