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Internet in Russia and Ukraine - Part 1. General Information and Statistics

User BaseThe non-US and non-English Webquite common for the local providers. Thus,
segments have been boosted by a growing trendonly corporate clients can enjoy the
towards PC penetration and cheaper Internetprivilege of broadband subscription.What
access in the last couple of years. The USUsers are Searching for?Like Internet users
share of the global population online, onceworldwide, the majority of Russian and
above ninety percent, is now under a quarter,Ukrainian surfers search the Web for
while the number of Internet users who do notinformation. A Yandex poll ( shows that about
speak English at all continues to grow.The24 percent searchers use the Web for easy
Asia-Pacific region remains a key contributorreference and over 15 percent use it as a
to the increase in the number of non-Englishresearch tool. A further 12 percent of those
speakers on the Web, but the Russianpolled said the Internet was a news source
Internet, aka Runet, demonstrates thefor them while only 14 percent preferred
accelerated pace of development as well.Theonline entertainment services. An increase in
Russian language on the Web was representedpersonal consumption in Russia and Ukraine
by 2.7 percent in March 2003, said Globalhas made a positive impact on the regional
Reach ( a consultancy that tracks non-EnglishInternet. Russians and Ukrainian are
online populations. The share is quite minor,increasingly relying on the Internet in order
compared to English with its 35.2 percent.to evaluate products or services before they
However, the growth rate of Runet is far moremake their final decision to buy, whether
exciting; the Russian Internet audience hasonline or offline. Currently, about 1200
tripled over the last two years, registeringonline shops are listed in Magazin.ru, the
a 40 percent increase annually. The Februarylargest Russian e-commerce catalogue, while
2003 Report by SpyLOG ( indicates that theCNews.ru ( reported last year that the total
total users who surf the Russian portion ofnumber of operational online shops in Runet
the Internet have reached about 15 million,was 500 at the beginning of 2002. The most
60 percent of whom live in Russia and sevene-shops are online outlets of
percent in Ukraine. Moscow and St.-Petersburgbricks-and-mortar businesses, but some "pure"
account for 53 percent of the total Internetonline stores have opened their virtual doors
users in Russia. Similarly, the Ukrainianas well. Most notable are bookstores such as
Internet surveys reveal that the vastOzon, Biblio Globus and Books in Russia, and
majority (70 percent) of Ukrainian users liveBookshop, AzBooKa and Bambook in Ukraine.
in Kiev, Odessa, Dnepropetrovsk, Kharkov andDespite a certain lack of high-quality online
Donetsk, according to freenet.kiev.ua andofferings in Runet and Uanet, surprisingly
mct.kiev.ua as quoted in Kyiv Post Businessfew Western sites offer the products and
March 20, 2003.The Ukrainian user base growsservices that need no customs clearance. For
as fast as its Russian counterpart. The totalexample, web hosting fees in Ukraine are
Internet users in Ukraine reached 2.5 millionabout two to eight times higher than those
by year-end 2002, a 150 percent increase in asomewhere in the United States, but the
year, said the head of the Ukrainian Stateservice providers abroad seem to be in no
Committee for Communications and Informationhurry to enter the local market. This is also
Technologies ( Independent marketers confirmtrue for e-books, especially on programming
the recent trends on the Ukrainian Internet,and computing.Spam and SpamdexingDespite spam
or Uanet for short. For example, eRus.ru (is still flourishing on the Russian Web,
quoted GfK-USM, a marketing company, asunsolicited email messages in Runet are far
stating that the regular Internet users inless aggressive than the email marketing
Ukraine accounted for 6.4 percent of thecampaigns in the US, when a news subscriber
total population (3.1 million of 48.4may receive bundles of advert mailings that
million) in February 2003, and the number ofare vaguely associated with his/her initial
the users who purchased products or servicessubscription.The more pressing issue for both
through the Internet was doubled whenusers and search engines is spamdexing, i.e.
compared to February 2002.Internet Access andunfair tricks aimed at attaining high
PricesDial-up connection is the most commonrankings in search engines. Searching Runet
way of accessing the Internet in both Russiafor a particular key phrase can give you
and Ukraine. The Ukrainian dial-up users, fordozens of mirrors and doorways. Some
example, pay $0.1 to $2.0 an hour forsuccessful SE optimizers in Russia and
Internet access, depending on an ISP, time ofUkraine openly advertise that their promotion
day and availability of callback services.techniques are solely based on building
The monthly charge for unmetered access indoorways or cloaking, which currently seems
Kiev currently ranges from about $4 (midnightunwise on the global Internet.The top Russian
to 9.00 a.m. with no callback support) tosearch engines fight against spam in much as
about $40 (24-hour access via callbackthe most popular search engines do worldwide.
service). The callback service in Kiev willFor example, Yandex and Rambler penalize
save you about $0.4/hour, an additional feewebsites for using unfair tricks and
charged by Ukrtelecom for connection to theencourage Runet users to report search engine
local telephone line.The broadband access isspam. Many professional programmers and
rather expensive, ranging from $40/monthwebmasters also voice their concerns about
(IDSN, 64 K/s, 1 GB monthly data transfer) tospamdexing. Articles by A. Shkondin at
$300/month (dedicated line, 64-128 K/s,ClubPro.spb.ru ( provide some classic
unlimited transfer) with a set-up fee of $200examples of how spammers play games with the
to 300, plus some hidden charges that areRussian search engines and Internet surfers.



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