Rostec's subsidiary does not owe Radio-test that much: only

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Rostec decided to save its subsidiary, which was supposed to create equipment for 5G networks. The state corporation provided a loan to the company Spektr to pay off a debt to a supplier who is demanding that the Rostec structure be declared bankrupt. What are the problems of the developer of domestic base stations and is there a future for fifth-generation networks in Russia?

7 million rubles. A one-room apartment in a new Moscow building costs more. But Spektr was unable to pay off its supplier of radio-electronic equipment. The switzerland whatsapp resourcedebt under a two-year-old contract was the reason for filing an appeal to the Moscow Arbitration Court. Now the state corporation has announced that it will issue a loan to Spektr.

The company "Spectr" was created in 2021 to produce base stations for communication within the framework of the roadmap for the development of 5G networks in Russia, which was developed by "Rostec". All this time, "Spectr" generated only losses. Which is actually not something unusual for a startup. Another thing is that the parent company, represented by "Rostec", could not bring the matter to a bankruptcy claim.

According to Kommersant newspaper, Spektr was left without money after the project to create 5G networks in Russia was frozen. Almost all the funds allocated to it for the development of base stations for fifth-generation networks had to be returned at the end of 2023.

The company itself told the publication that due to sanctions, "there was a reorientation towards the construction of 4G base stations" and that the project is planned to be restarted in the near future. New funding will be allocated for it.

All this means that there will definitely be no 5G networks in Russia. Konstantin Ankilov, CEO of TMT Consulting, continues: "Fifth-generation technologies will not appear in our country for now. The industry development strategy is now reoriented to provide operators with fourth-generation base stations so that existing networks can continue to develop. And the fifth generation is for the future. This is a serious refusal. The Ministry of Digital Development had the courage to admit this situation, and I think they did a great job of doing it. Not a race for indicators that we are not lagging behind the world, but to make the most of the opportunities that the fourth generation provides."

The refusal to use 5G networks is probably not only due to sanctions. Russia has allocated frequencies for these networks that are not very suitable for them. And the Russian military and security forces do not want to free up the frequency ranges that are used for fifth-generation networks in other countries.

But the question remains: will Spektr be able to create base stations for 4G networks, which are currently in operation in Russia, under sanctions? Alexey Boyko, an analyst at the Rusmicro Telegram channel, believes that no sanctions will prevent this: "We see from other companies that sanctions do not interfere with developments. Accordingly, it is possible to develop an LTE solution now, and it is also possible within Spektr, but we must understand that there will be quite high competition in this process, because such solutions are declared, they are available at Bulat, Irtea, and Yadra. Yadra is in the process of developing them, the others have even already provided some equipment to operators. Of course, there is always a question of how Russian Russian developments are, but this is a separate long conversation."

But it is one thing to develop a base station, and quite another to set up their mass production. According to ComNews, each of the federal operators needs at least 20 thousand base stations annually starting in 2025 to support and develop their networks. That is 80 thousand stations for the "big four" operators. Even without sanctions, this is a very, very difficult task.