The Russian state-owned satellite communications operator Kosmicheskaya Svyaz (GP KS) operates the country's largest geostationary constellation of 12 spacecraft capable of providing services to customers on all continents except Antarctica. Alexey Volin, CEO of GP KS, spoke about the company's achievements over the past year and plans for the future in an interview with TASS.
— Thank you so much for agreeing to talk, Alexey Konstantinovich. Tell us what the past year has been like for FSUE Kosmicheskaya Svyaz.
- The year 2024 was extremely successful for the SOE CS. And it completely coincided with the forecasts that we made earlier. Because when we held the SATCOMRUS conference of operators and users of satellite communications and broadcasting, we said that 2022 was the year of trials, 2023 was the year of returning to normality, and 2024 should be the year of development. And so it happened. Quite an eloquent fact: By December 4, the company had completed its annual revenue plan of 14 billion rubles, and as of the end of the year, revenue exceeded 15 billion rubles.
This year, together with JSC Reshetnev, we continued the construction of a new domestic spacecraft, Express-AMU4. To date, the physical assembly of the satellite has already begun, and individual devices and components are being prepared for installation.
We have big plans to expand our space communications centers, including taking into account the promising Gonets, Express-RV, and Marathon projects that we are discussing with our colleagues from Roscosmos. They will need a ground-based infrastructure, and the SOE CS provides its capabilities and facilities on the ground for testing.
Separately, it makes sense to talk about the successes in eliminating digital inequality. Today, according to the USC program, where we are a partner of PJSC Rostelecom and its subsidiary JSC RTComm.<url>", more than 100 settlements are connected to the Internet using satellite.
— Starting the countdown from what moment?
— This is the second year that we have been participating in the MCC. Accordingly, these are the years 2023-2024.
The utilization of our spacecraft remains at a good level — above 82%, which is a very good indicator for the industry.
— In April, you gave an interview to my colleague on the sidelines of the Russia exhibition and noted at the time that the satellites' resource was at its limit.
— More than 80 percent is at the limit. You should always have a reserve. It's like the situation with the hotel fund: the hotel cannot be filled to 100%. This is the same with us: 75-80% is considered normal utilization for a satellite, and with us it is even higher.
Another achievement is that our labor productivity continues to grow. And this year, according to our forecasts, it will grow by about 5% by the end of 2024.
GP KS continues to occupy the 11th place in the world among the operators of groupings in geostationary orbit (GSO) in terms of revenue in dollar terms. If we talk about the volume of services provided, then we are among the top ten.
— Let me check the satellite resource. Currently, the load of the devices is at the level of slightly more than 80%. And how much has it increased in a year?
— If we talk about the whole group, it has remained at about the same level. Large numbers are difficult to increase in principle. But we had two underloaded devices, the Express—AMU3 and the Express-80. The use of their capacity increased by 10%. Although today it is also an important task to maintain the available indicators. Do not forget that fiber optic laying is actively underway in the country. Therefore, we are witnessing two trends: the number of people using the Internet through fiber is increasing. They are no longer consumers of satellite communications. But at the same time, the volume of traffic consumption is growing for those who remain connected to the satellite.
— At the SATCOMRUS conference, you said that in addition to Express-AMU4, seven more spacecraft need to be replaced with GSO by 2030. Will they also be equipped with fully domestic components?
— Yes, absolutely.
— And when is it planned to start work on them?
— I can say this: work on them has already begun. Because before ordering devices, holding a competition for production and starting physical production, they must first be designed.
— Are they currently at the stage of technical design or preliminary design? Or is it all one big project?
— In geostationary orbit, each satellite is always different. They are currently at the stage of a technical assignment for the designer, which allows for a competition. Because the final appearance before the nut will be determined already in the drawings of the device after we hold a competition. Accordingly, it will be the manufacturer's task to draw a detailed satellite diagram first, and then produce it. But the sketches of the spacecraft, as we want them to be, with all the technical requirements, are ready today.
— According to your estimates, when, for example, can work start on hardware for a satellite following Express-AMU4?
— We think that they can start in 2026. This stage is preceded by the design stage, and this is now happening not on paper, as you understand, but in digital form, in the form of a 3D model. And then, also before the "iron" execution, a cooperation is formed, within which the production and supply of components will be realized (we do not yet call the second work "in hardware").
And only after that, the spacecraft is assembled. If we are talking about the Express AMU4, then we saw it in hardware only in 2024. And work on it began back in 2022.
— Thanks for the explanation. In April, you also said that at that time the share of import-substituted software in the company was 60%, and by the end of the year it will be 90%...
— I've already made it up.
— ...and at critical infrastructure facilities — 100%.
— We have already reached this mark too.
—That's great. How soon do you plan to bring the first indicator to 100%? Will you make it next year?
— I think we will do it next year. But here we must keep in mind the following: all the old software elements that do not directly affect the management of satellites and critical infrastructure facilities, and also continue to function on the old hardware, will continue to be used. But we definitely take everything new from domestic production. There are already automated workstations, servers, and software from Russian developers.
— Now you mentioned that the target figure for import-substituted software has been reached. Is it exactly 90%, or do you have any precise indicators?
— I think I would not be mistaken if I said that by the end of the year it will be slightly more than 90%.
— This year you noted that a high-precision positioning system for agricultural machinery is currently being tested. How is it going? When will the commercial implementation take place? Or is this a question for your colleagues from GLONASS JSC?
— Together with our colleagues from GLONASS, we have implemented this system very well. Moreover, while working on it, we realized that GLONASS and I have a very large field for further cooperation on other projects.
In 2024, the technology was tested in the field, on various samples of agricultural machinery. We realized that it can be implemented in both the European and Asian parts of the country, because we have a resource there that can be used. We also found several Russian IT companies in the field of agricultural machinery, and they became interested in our project. It is important that we definitely do not intend to act as sellers of finished products. Our task is to see the satellite component there, conduct tests and provide our facilities. We have already been able to find a solution that can be offered to the market, and I really hope that next year the first sales will begin, which would allow us to talk about hundreds, maybe even thousands of units of agricultural machinery using this domestic service.
"Starting next year?"
— Starting in 2025. In the Russian Federation, December is not the most popular month in terms of agricultural machinery, especially combines.
—It's true. As you said earlier, working on a system for obtaining high-precision coordinates has allowed you and your colleagues from GLONASS JSC to discover many new areas of collaboration, including in the field of marine geology.
- yes. In addition, we see good prospects in river transport and forestry.
— Is Kosmicheskaya Svyaz interested in reverse engineering Starlink terminals?
— No, we provide services from geostationary orbit, and Starlink satellites fly in their orbits. It's too low for us.
— What are the company's goals for the coming year?
— I think the main plan concerns the renewal of the grouping and the beginning of the practical creation of new spacecraft. The second major block is the further modernization of the existing ground infrastructure, namely the CCC.
We intend to continue our active activity in the international market and hope to increase the number of countries cooperating with us.
We hope to test domestic solutions in the field of subscriber terminals together with our colleagues in 2025. We have already tested the modems this year. It is quite possible that these modems will go into production next year, because everything has already been completed in this part. The next thing to create is a hub, from which, accordingly, distribution takes place. We are setting a deadline for next year for the hubs. Another area is the aforementioned cooperation with GLONASS JSC.
In addition, my colleagues from science and industry and I are thinking about such a task as a domestic terminal and Internet devices on board Russian aircraft being built. Because today, as you know, the airliners of our airlines, which had foreign services, are disconnected from the Internet, as they were configured for foreign spacecraft. And now we see a great need on the part of the market to provide passengers with the opportunity to use the Internet on board.
— The Ministry of Digital Affairs, I remember, announced the introduction of Wi-Fi on airplanes in 2028 with the help of low-orbit satellite groups.
"That's what Bureau 1440 does. But it's always better to have multiple options. And for our part, we will try to solve this problem even earlier, because we are used to being at the forefront.
Ilya Vrubel
