This document provides an overview of internet usage in Russia. It finds that Russia has the fastest growing internet population in Europe, with a 27% year-over-year growth rate. The penetration of internet access in Russia lags countries in Western Europe, with only 33% of Russians using the internet. However, among Russian internet users, online shopping and social media activities are highly popular. The largest search engine and websites in Russia are Yandex, Mail.ru, and Rambler. Mobile internet penetration is also growing rapidly in Russia but remains behind other European countries.

1. Welcome to Russia: Internet Market Overview
prepared by Gleb A. Kaplun special for
Russia:
Total Area: 17,075,200 sq km
(approximately 1.8 times the size of the US, 411 times the size of Netherlands)
Population: 140,702,096 people
(approximately 2 times less than the population of the US)
Penetration of Internet in Europe (Percentage of Country Population)
Source: Source: “FOM - Internet in Russia - March 2009”
80
77
60 71 70
64 62
40
55
20 33
0
Austria UK Germany France Spain Italy Russia
Internet Users by Country in Europe (Million Users)
Source: Source: “FOM - Internet in Russia - March 2009”
50.0
49
37.5
38 35
25.0 31
27
12.5
23
13
0
Germany Russia UK France Italy Spain Austria
Internet Activity Dynamics in Russia (Million Users)
Source: Source: “FOM - Internet in Russia - March 2009”
Every Day Last Week Last Month Last 3 Month Last 6 Month
20.6 30.4 34.9 36.6 37.5
Welcome to Russia: Internet Market Overview for Digital Perestojka 2.0 - June 2009 - Page 1 of 4

2. Russia Has Fastest Growing Internet Population in Europe
Source: comScore World Metrix
Growth of European internet Audiences Ranked by Year on Year Growth Rate
Total Unique Visitors (000) Age 15+ Home & Work locations June 2008 vs. June 2007
Europe 8%
Russia 27%
France 21%
Spain 15%
0% 10% 20% 30%
Internet Commerce in Russia
Source: Romir, 25.08.2008
96% of Russian Internet users visit on-line shops, among them:
Shop on-line 20%
Search information 38%
Both 42%
0% 17% 33% 50%
Russian Internet Users Online-Shopping Activity
Average Russian Internet user was shopping online:
Last 3 month 37%
3 to 6 month ago 15%
6 to 12 month ago 15%
More than a year ago 18%
Never 15%
0% 13% 27% 40%
How often Average Russian Internet user is shoping online:
Less than once a month 71%
Once a month 16%
2-3 times a month 9%
Once a week 1%
2-3 times a week 1%
0% 27% 53% 80%
How much Average Russian Internet user is spending online:
25 EUR 5%
50 EUR 7%
100 EUR 11%
250 EUR 7%
350 EUR 5%
0% 4% 7% 11%
Welcome to Russia: Internet Market Overview for Digital Perestojka 2.0 - June 2009 - Page 2 of 4

3. Top Russian Search Engines
Source: comScore Releases Russian Web Site Rankings for February
Yandex Google Rambler Mail.ru Yahoo Other
47.4%
3.4%
1.3%
7.0%
9.7%
31.2%
Top 15 Russian Web Properties
Reached Percentage of the Russian Internet Audience (Age 15+) - (%),
Average Minutes per Visitor Age 15+ (Total is 1078 min)
62%
Yandex
89
51%
Mail.ru Sites
127
49%
Rambler Media
61
42%
AOL LLC
178
41%
Google Sites
58
33%
Microsoft Sites
37
30%
Odnoklassniki.ru
120
30%
Vkontakte.ru
689
27%
Qip
3
19%
Connexus
4
18%
SUP
34
17%
Bigmir.net
11
16%
RBC.ru
17
16%
Wikipedia
12
16%
LiveInternet.ru
77
Welcome to Russia: Internet Market Overview for Digital Perestojka 2.0 - June 2009 - Page 3 of 4

4. Social Networks in Russia
Source: Romir 18.06.2008
Odnoklasniki 72%
Vkontakte 44%
Moi mir 38%
Livejournal 20%
Moi krug 20%
MySpace 2%
Facebook 2%
No one 12%
0% 27% 53% 80%
Cellphones penetration level in Russia
Source: MForum Analytics 28.04.2009
SIM-Cards (Sold) 131%
SIM-Cards (Active) 77%
Active subscribers 66%
0% 47% 93% 140%
Mobile Internet Penetration
Source
13
10 12.9 11.9 11.2 10.8
7 9.6
7.4
3
0
UK Italy Russia Spain France Germany
Thank you!
Gleb A. Kaplun
Founder of Web2People
(Competition based seed-funding program for russian tech startups)
g.kaplun@mail.eteragroup.com
LinkedIn: www.linkedin.com/in/lithfin/
Facebook: www.facebook.com/lithfin/
Follow me on Twitter: www.twitter.com/lithfin/
Visit "Investor Day CEE" 2009 in Kiev - October 28-29 | Twitter: IDCEE | www.idcee.eu
Welcome to Russia: Internet Market Overview for Digital Perestojka 2.0 - June 2009 - Page 4 of 4