The Challenges and Resilience of Ukraine’s Telecom Sector Amid War

The telecom industry in Ukraine has faced unprecedented challenges since the Russian invasion in February 2022. Despite widespread infrastructure damage, cyberattacks, power shortages, and the mass displacement of citizens, Ukrainian telecom operators have demonstrated remarkable resilience. These companies have not only prioritized restoring and maintaining connectivity but have also invested heavily in improving their infrastructure, showcasing their commitment to ensuring uninterrupted communication for millions of people during a time of crisis.

The Decline in Mobile Subscriptions

Ukraine’s mobile market, once a thriving sector, has faced significant disruptions. As of June 2025, the number of mobile subscriptions had dropped to 47.5 million, down from a peak of 60.8 million in 2013. This sharp decline can be attributed to the protracted conflict, which has caused millions to flee the country or resettle in Russian-occupied territories served by Russian telecom operators. Additionally, operators have incurred massive expenses not only repairing network damages but also installing backup power systems, such as generators, to combat frequent power outages.

Kyivstar remains the leading mobile operator with 22.4 million subscriptions and a commanding market share of 47%. Notably, recent moves have increased visibility for the company, including the listing of its shares on the Nasdaq stock market. Behind Kyivstar, Vodafone Ukraine and Lifecell have emerged as prominent players, with Lifecell entering a new phase of ownership under the DVL Group, which is spearheading significant modernization efforts.

Broadband Sector Sees Steady Growth

Unlike the mobile sector, Ukraine’s fixed broadband market has shown relative stability over the past decade, doubling its subscriptions between 2010 and 2020. Although the total number of subscriptions peaked at 8.49 million in mid-2024, marginal declines were observed, with figures standing at 8.09 million by mid-2025. The market is highly fragmented, dominated by a mix of large players and thousands of regional ISPs. Major providers like Kyivstar, Volia, and Ukrtelecom have played instrumental roles in driving growth within this segment.

Kyivstar, in particular, has advanced beyond its mobile operations by offering DSL-based services since 2003 and fiber connections since 2010, deploying infrastructure across more than 130 cities. Meanwhile, Ukrtelecom’s investments in fiber-to-the-home (FTTH) infrastructure have passed over three million households, cementing it as a key player in the broadband space. Volia, now part of the DVL Group, has added competitive vigor to the sector with its established cable networks, ensuring higher-quality services for consumers.

The Evolving Role of Operators in Crisis

Amid ongoing conflict, telecom operators in Ukraine are playing a critical role not only in maintaining communication networks but also in supporting national resilience. Companies like Kyivstar, Vodafone Ukraine, and Lifecell have innovated under pressure, integrating advanced technologies and navigating extreme circumstances to cater to connectivity needs. Smaller operators have also shown flexibility, with firms like TriMob adapting by becoming mobile virtual network operators (MVNOs) to sustain their operations. Additionally, the International Finance Corporation’s $435 million loan to the DVL Group highlights the international support extended to Ukrainian operators in their modernization initiatives.

The determination of Ukraine’s telecom operators offers a significant lesson in resilience and adaptability. With ongoing investments in fixed and mobile infrastructure, the sector underscores the critical importance of connectivity during times of crisis, proving to be a lifeline for millions of citizens navigating unprecedented challenges.