In July 2006, we signed a co-operation agreement with the French company STMicroelectronics, one of the world's major chip producers. Our partnership will allow us to become Russia's only producer of world class microelectronic products.

In June 2005, we established a joint venture with Giesecke & Devrient for production of SMART cards and their applications. SMART cards can be widely used, e.g. as SIM cards, banking cards, ID cards, and electronic proximity passage tickets. At present, we deliver SIM cards produced by the joint enterprise to МТS and UMC. In September 2005, we formed an alliance with Infineon Technologies AG and became Russia's only producer of chip modules for SMART cards.