Management

Network

PRODUCTS AND SERVICES TO CUSTOMERS

2005 saw significant reductions to Fixed Telephony call charges to fixed and mobile telephones and, at the same time, we introduced five National Telephony Charge Packages. A milestone in the Fixed International Telephony sector was the reduction in charges and the introduction of discount schemes for home and business customers.

The Cytamobile-Vodafone portfolio was enhanced with several new services, the most important being the commercial launch of the Vodafone live! service, in the form of a complete mobile telephone menu facilitating access to a broad range of services and information.

In the Internet sector, we focused on increasing the presence of CYTANET’s Wi-Fi zone service. We also developed anti-virus and anti-spamming e-mail protection which we then proceeded to offer free to all CYTANET customers.

During 2005, our portfolio of i-choice and miVision broadband services was enhanced with new content and applications, while our customer base increased significantly..

Regarding customer service, the Organisation has introduced a new Customer Relations Management (CRM) system which enables it to provide better quality individual customer service. At the same time, the upgrading of the chain of cytashops, based on a new, modern design, is currently under way.

FIXED TELEPHONY SERVICES
Fixed Telephony is one of our most basic telecommunications services and, for this reason, we continued to place particular emphasis on it during 2005. With the aim of ensuring cost-effectiveness, call rates were revised from June 1, 2005, resulting in significant reductions to charges to fixed and mobile phones but also, of necessity, in an increase in Internet subscription and access rates. At the same time, we created five alternative options (packages) for calls to fixed and mobile CYTA phones. For households we designed a special Home Package, while for businesses we designed three special packages, Silver, Gold and Platinum. We also offered the Classic Package which is suitable for home use and for small businesses. These packages are available to customers of our analogue and ISDN services alike. Finally, in accordance with the relevant regulatory obligation, we introduced a special subsidised package for low-income individuals and/or those with special needs.

Regarding International Telephony, during 2005 international call charges were reduced further while, in response to customer needs, we introduced discount schemes for domestic customers (Friends and Family scheme) and for business customers (Volume Discount Scheme and a year-end discount in the form of credit).  These schemes serve high-use customers by providing international telephone service which is not only reliable and high-quality but also economical.

The year in review saw the commercial introduction of the Teleconferencing Service which enables business enterprises and organisations to communicate via audio and video links and also to transmit presentations. The service, which can simultaneously link together as many as 24 different points, is provided either from the customer’s own premises or from specially equipped studios that our Organisation has set up in each town.

The ATM/Frame Relay service continues to expand. With the aim of satisfying ATM network customers’ needs even more,  in 2005 we developed the Disaster Recovery Service by which, if a customer’s main node is totally destroyed, we guarantee the continuation of his/her operations via backup Permanent Virtual Circuits  (PVCs).

Furthermore, we offered new ATM network access products via extended range modems with the aim of satisfying the needs of customers whose premises are as far as 10km from the nearest CYTA telephone exchange, as well as wireless access to the ATM network via radio links.

Regarding the Virtual Private Network Service, the Organisation introduced new access products via dial-up PSTN and ISDN access.

MOBILE COMMUNICATIONS
Within the framework of our commitment to the continuous enrichment of the services offered by Cytamobile-Vodafone, we proceeded to provide new communications solutions. We are leaders in the integrated electronic communications sector and have created a new dynamic for the benefit of our customers.

In 2005, through our partnership with Vodafone, we made good our commitment to offer our customers new, advanced and reliable value-added services which can make their life easier, more fun and productive.

The year saw further advances in the GSM mobile telephony network infrastructure, so as to increase capacity and optimise performance with the aim of satisfying increased customer needs and offering top quality service. At the same time, we began the first stage of development of the 3G mobile telephony network which has the capability of providing many innovative services.

The number of base stations increased by 6%, compared to the end of 2004, as did the number of cells. Population coverage exceeded 99,98%, whilst geographic penetration exceeded 95% of the government-controlled areas of Cyprus. There was a 10% increase in the number of communication channels, thus enabling even greater freedom in mobile communications.

In compliance with the terms of the license for the operation of the mobile networks, two sets of measurements of exposure levels of electromagnetic fields were carried out at all base stations of CYTA’s network by the National Technical University of Athens. The surveys concluded that in the urban areas:

• The exposure level on the roofs of buildings where base stations are installed is less than 5% of the maximum allowed level.

• The exposure level on the ground close to base stations is approximately 1% of the maximum allowed level.

International Roaming agreements covered 305 operators in 131 countries, enabling the increased use of customers’ mobile telephones abroad.  At the same time, we extended the mobile telephony services that customers can enjoy when abroad.

Due to the international growth of GPRS technology, in the summer of 2005 we began offering Cytamobile-Vodafone customers the facility of easy access to the Internet and e-mails whilst abroad via their mobile phones. By the end of the year, the number of International Roaming agreements for GPRS had risen to 62 networks in 35 countries. This facility is also offered to inbound roamers.

From June 2005, soeasy "pay as you go" customers were able to use their mobile phones abroad on a more integrated basis. In addition to being able to receive calls and SMS messages, they can now make calls, send SMS and MMS messages, access the Internet and top up their accounts while abroad.

Our portfolio was enriched with several new services during 2005:

• Twin SIM Service: Aimed at those monthly-billed customers who have two mobile phones (for business or personal reasons), it enables them to have two SIM cards for each of their two mobile phones, with the same number. There is a £10 connection fee and no monthly subscription for the service. Switching between the two SIM cards is free of charge.

• Missed Call Notification Service: By activating this service, customers receive an SMS notification message informing them of the last five unique telephone numbers that called them when their mobile phone was switched off or they were outside the coverage area, or they had activated the Call Forwarding service to their Voicebox. The service is offered free of charge, with no connection fee or monthly subscription.

• Call Me Βack Service: Offered exclusively to soeasy customers, this free service enables them to notify another Cytamobile-Vodafone customer to call them, in case they are running out of air time.

• Switch Plan Service: soeasy and monthly billed customers can switch between plans, keeping the same mobile phone number. Switching to the pay monthly plan costs £7 and to the soeasy pay as you go plan £10.

• This year was notable for the commercial launch of Vodafone live!, the most complete mobile phone menu of enriched services. Vodafone live! gives access to a wide range of services and information. At the same time, a selected range of Vodafone live! mobile phones, exclusively available from cytashops and Cytamobile-Vodafone selected dealers, were introduced to the market. The service became available in October 2005, with common charges for monthly billed and soeasy customers. In order to obtain a rich range of services, we entered a number of important collaborations with international, Greek and Cypriot content providers, whilst at the same time utilising further our existing cooperation agreements.

Within the framework of CYTA’s policy of constantly reviewing its service charges according to their cost, we proceeded with the:

• revision and simplification of our International Call Rates. For basic destinations in which the highest traffic is observed, reductions of up to 30% were applied to call rates to fixed lines and up to 20% for calls to mobile phones. Additionally, we abolished peak and off-peak rates and the minimum charge.

• application of new national rates for the classic monthly plan and the soeasy plan. The new pricing policy for the classic pay monthly plan is based on the total monthly volume, with call rates being reduced and total air time increased (tier-based pricing). Reductions to national rates for soeasy customers were up to 35%.  Here too, peak and off-peak rates and the minimum charge were abolished.

With the aim of improving our relationship with our customers, we designed and implemented a dynamic, progressive and multilateral communications and public relations plan.

In the context of our commitment to providing objective and scientific information to the public about the effect on health of mobile telephone base stations and mobile phone usage, we carried out a number of activities within the framework of our enlightenment campaign on electromagnetic fields.

INTERNET
CYTANET, the largest Internet Service Provider in Cyprus, celebrated its 10th anniversary in 2005 and continued to make progress, thanks to continuous network development and the provision of new services to our home and business customers. The high level of quality, reliability and professional service to which CYTANET aspires is reflected in the following projects that we completed during the year:

• Free e-mail protection for all CYTANET customers.

• The provision of anti-virus and anti-spamming protection for companies.

• The introduction of the CYTANET Wi-Fi zone service with the installation of Wi-Fi networks at ten hotspots. Premium SMS was introduced as the means for obtaining the required codes for service access. 

• More attractive product pricing, thanks to systematic and continuous costing reviews of home and business products.

• The upgrading of IP-VPN products to include connection to virtual networks via PSTN/ISDN and provision of ISDN/PSTN dial back-up.

• The upgrading of the Web Hosting Service, for the provision of MySQL database facilities and dynamic web pages (PHP, perl, asp, etc.) and the revising of its pricing.

• The introduction of the CYTANET travel service for online hotel reservations anywhere in the world.

We also laid emphasis on the monitoring and reinforcement of both the network and the products provided by CYTANET. Storage of content on local servers via the creation of "mirror sites" was developed so as to reduce traffic to international links. With the aim of greater security, we redesigned the internal network and introduced new security systems while external auditors carried out security checks on the network, servers and software.

In the context of our social contribution, the further development of the Information Society in Cyprus and the utilisation of the Internet in education and the Cypriot business society, we organised two seminars for business customers on the subject of e-commerce and continued to hold free courses on the use and potential of the Internet for Junior, Secondary and Technical School pupils. We also created a bimonthly electronic news bulletin on Internet developments which we send out to our customers via e-mail.

CARDPHONES AND EMERGENCY TELEPHONES
Our cardphones continue to be widely used, mainly by tourists and foreign workers. At the end of 2005, 2.400 cardphones were in operation, both in public spaces and on private premises, for the best possible service to customers. VoIP technology was also introduced to cardphones with the aim of reducing call charges.

In 2005, the Telecard Collectors Service successfully organised the 5th Telecard Exhibition in which 70 exhibitors took part. It continued to support collectors in Cyprus and abroad. 

Our Organisation operates emergency call systems on highways on behalf of the government. The network consists of 268 telephones located on all the island’s main highways.

BROADBAND SERVICES
Broadband services hold a significant position in our Organisation’s portfolio of services. They have been recognised as being of strategic importance for the promotion of electronic communications and the evolution of Cypriot society into an Information and Knowledge Society.

Broadband services utilise the DSL (Digital Subscriber Line) network, which has been developed in order to become the main infrastructure for the provision of fast Internet services, video and programmes on demand, as well as other interactive services through multimedia.

The i-choice service offers subscribers the following:

• A permanent connection to the broadband network.

• A fixed monthly charge, with no per minute charge.

• The ability to talk on the phone and at the same time surf the Internet or connect to a company’s intranet.

• Fast connection with speeds up to 16 times faster than those currently available through other technologies (1.024kbps instead of 64kbps).

• The flexibility of choosing the Service Provider of the subscriber’s preference.

• Access to value-added services through the i-choice portal.

Our Organisation offers i-choice 256, i-choice 512 and i-choice 1000 for home users and i-choicebusiness and i-choicebusinesslite for business users.

Significant projects for the i-choice service that were implemented in 2005 include:

• Achieving a significant increase to the subscriber base.

• Review of prices.

• Gradual expansion to semi-urban and rural areas.

• Enrichment of the i-choice portal with value-added services.

The miVision service is a broadband service which carries digital sound and video through a telephone line and a set-top box to the customer’s television set. CYTA is one of the first organisations worldwide to introduce broadband TV.  

miVision, which is frequently described as "interactive television", features a broad spectrum of services as follows:

• Foreign thematic channels and all Cypriot TV channels.

• Live broadcasts of football, basketball and volleyball games.

• The ability to rent and watch recent movies on TV (Video on Demand).

• Electronic Programme Guide (EPG).

• Access to useful information through an information portal.

Significant projects for the miVision service implemented in 2005 include:

• Achieving a significant increase to the subscriber base.

• The addition of new TV channels to the basic package.

• Enrichment of live broadcasts with football, basketball and volleyball games.

• Enrichment of the Video on Demand service with a wider variety of movies.

NATIONAL PRIVATE LEASED LINES
National private leased lines remain among the first choices of business customers for the transfer of data, offering a wide range of low and high speed services.

National private leased lines are suitable for the transmission of text, picture and data, according to each customer’s particular needs. During 2005 they continued to serve hundreds of businesses, offering reliable, secure and financially advantageous solutions.

Τhe main characteristics of leased lines are their exclusive use for 24 hours a day, a predetermined charge and their ability to be adapted to the particular needs of every company through distinct solutions. 

There is a growing trend for demand of high-speed products in today’s international market. During 2005, aware of the existence of such a demand in Cyprus, we introduced leased lines of 1,25Gbps, 2,5Gbps and 10Gbps.

NATIONAL TELEVISION BROADCASTS
The national TV broadcast service provides TV stations with the capability of covering a variety of events through receptions and transmissions within Cyprus. The service enables live broadcasts from the premises where an event is taking place, from CYTA’s and the customer’s premises, as well as recorded broadcasts from CYTA’s premises.

CUSTOMER SERVICE
Customer Relationship Management
In 2005 we introduced a Customer Relationship Management (CRM) system which enables us to offer a more personalised and higher quality service to our customers. This is achieved by collecting information regarding customers which allows us to better understand their telecommunications needs.

cytashops
We are in the process of upgrading the cytashop network. All shops are being renovated to a new, modern design based on European telecommunications standards. The new cytashop design is focused on offering integrated customer service.

Corporate Customers Consultants
Via our fully equipped and manned Corporate Customer Consultant Network, we upgraded the personalised service we offer to Special, Big and SME Customers in 2005. Via a series of specialised seminars, we focused on the development of the personal skills and knowledge enrichment of our consultants. In addition we introduced a rewards scheme to further motivate the staff of the Network.

We promoted CYTA’s leading role by actively participating in the organising of the "Business Practices 2005" conference, a pioneering step aimed at creating conditions by which the  Cypriot business world has the opportunity to obtain information regarding best practices worldwide. The first meeting received such excellent feedback from our corporate customers that we have decided to upgrade it into an annual meeting where businessmen meet businessmen in Cyprus.

Fault Reporting and Rectification
The aim of this service is the quick diagnosis and prompt repair of any faults that might occur to the services we offer. Its primary objective is to determine, in cooperation with the customer, what the problem is and start the necessary procedures to recover the service as soon as possible.

Customer Call Centres
In 2005 we completed our service skills and telesales development programme and applied a quality control procedure to service and staff development. In addition, the first telesales campaigns were successfully performed.

The Customer Relationship Management (CRM) system was introduced to the mobile telephony, Internet and broadband services. We also began operation of the Lemesos (Limassol) Call Centre.

Complaints Handling
The complaints handing system aims to investigate and to provide timely and accurate information to customers regarding any complaint they have submitted. It is also the main tool we use to improve the quality of our products and procedures, through the complaints and suggestions we receive.

Products and Services Resale through Selected Dealers
Our Organisation has formed alliances with a number of retail chains in order to give customers the opportunity to be served via more points of sale. Within 2005 we enriched the portfolio of products and services we offer via selected dealers with the introduction of the Switch Plan Service (the changeover from soeasy to monthly paid and vice versa), the sale of Vodafone live! handsets and the Twin SIM Service.

Market Research
Market research is widely used within the Organisation to evaluate the service we offer our customers. Research has shown that our customers are very satisfied with the quality of our products and services and the service they receive from CYTA. This is increasingly important for us since we are now being directly compared with other telecommunications service providers.

Telephone Directories
In 2005 we issued for the third consecutive year the Tourist Yellow Pages in parallel with the Telephone Directory and Yellow Pages.

In the context of our continuous efforts aimed at improvement and in cooperation with Cytamobile-Vodafone, we made significant changes to the Tourist Yellow Pages. The directory now comes in the smaller, more practical A5 format (it was previously A4) and is of better quality. In addition, we also increased the amount of useful information in the publication, the number of directories printed and provided more distribution channels.

ELECTRONIC COMMUNICATIONS CARRIER SERVICES
2005 was the second year since liberalisation of the telecommunications market became a reality in Cyprus. During the year, we continued to provide the alternative carriers with high quality interconnection and wholesale products, according to the regulatory principles of transparency, non-discrimination and cost-orientation, so as to enable them to offer their own electronic communications retail services.

In 2005, we revised the "Reference of Interconnection Offer" and we signed interconnection agreements with six providers of fixed telephony, as well as the agreement with the second mobile operator for interconnection, collocation, number portability and national roaming. We also proceeded with an agreement on the co-location of GSM base stations.

After the completion of the development of the required products, we proceeded with the signing of agreements with two providers, for Local Loop Unbundling services, with five providers for access to the Telephone Directory Database in order for them to offer Telephone Directory services, and with one provider for co-location in ducts.

MARITIME SERVICES
CYTA continued the operation of the Kypros Radio Maritime Station, which serves seafarers and ships at sea.

The main mission of the Station is to monitor safety and distress frequencies for ships travelling within the allocated region of the Republic of Cyprus. All relevant messages are transferred to the National Coordination Centre for Search and Rescue for operational handling. In addition, weather messages and other data are transmitted covering seafarers’ needs for communications of social and other nature.

FACILITIES TO THIRD PARTIES
In 2005 we continued to provide services to civil aviation, meteorology and commercial radio stations.

Services to the Department of Civil Aviation
CYTA is responsible for providing telecommunications facilities and electronic communications services to the Department of Civil Aviation, thus contributing to the smooth, safe, effective and efficient management of air traffic within the Lefkosia (Nicosia) Flight Information Region (FIR).

These services are based on the international standards and recommendations of the International Civil Aviation Organisation (ICAO). At the same time, they are in full compliance with the programme of the European Civil Aviation Organisation EUROCONTROL.

The broad range of services provided includes reliable and high-level communications between air traffic control and aircraft in the region, the retransmission and exchange of aeronautical information and meteorological announcements, the use of radar facilities, the processing of radar information and the tracking of air movements via synthetic screens, as well as state-of-the-art navigational aids (VOR, DME, DF) and Instrument Landing Systems (ILS) at the airports.

In line with the harmonisation programme of EUROCONTROL, implementation of the LEFCO project was continued. Specifically, technical training programme were completed and the first session of factory acceptance tests was carried out. The project foresees the replacement of the existing Air Traffic Control Centre by a new state-of-the-art system which will contribute significantly to the upgrading of the operational capability and the quality of services provided by the Department of Civil Aviation.

In addition, we completed the evaluation of the tenders and we signed a contract for the procurement of a modern radar system to replace the existing system located at Kionia station. The new radar system is expected to come into operational use in 2007.

Services to the Department of Meteorology
We continued to provide telecommunications facilities to the Department of Meteorology, including technical support for the operation and maintenance of the Doppler-type meteorological radar system, which enables the study of meteorological phenomena over Cyprus and in the broader Eastern Mediterranean region.

Services to Commercial Radio Stations
We continued to support the commercial radio sector by linking the studios of four private stations broadcasting islandwide with CYTA’s transmitters on Mount Olympus. Our main goal is the uninterrupted transmission of their programme on a 24-hour basis.

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