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[BUSINESS] · Russia · 8 sources

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Russia state firms increase landline spending amid mobile internet shutdowns

Russian state-owned enterprises have more than tripled their spending on landline telephone services during the first eight months of 2026 compared to the same period in 2025. According to procurement data from the business daily Vedomosti, expenditures reached 118 million rubles (€1.26 million), accompanied by a 12.5% increase in purchase tenders.

The surge in landline demand is driven by systematic mobile internet shutdowns affecting nearly 80% of the country. These disruptions, which began in May 2025, have impacted banking, taxi services, food delivery, and navigation, particularly in rural areas. An independent monitoring project recorded 2,099 mobile internet outages in July 2025 alone, a figure analysts say exceeded the global total for the entire previous year.

Beyond network instability, the shift is fueled by the withdrawal of Western vendors following the 2022 invasion of Ukraine, prompting Russian ministries and companies to adopt domestically produced, software-based PBX systems. While authorities justify the internet shutdowns as a defense against Ukrainian drones, experts dispute this, noting that drones can follow preprogrammed routes without a network connection.

Entities

Dmitry Peskov · Russia · Ukraine · Vedomosti

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