MTS to Launch Rich Communications Services

Moscow, Russian Federation - Mobile TeleSystems OJSC ( MTS or the Company - NYSE: MBT), the leading telecommunications provider in Russia and the CIS, announces that it has completed integration of Rich Communications Services (RCS) technology on its mobile network in Moscow. MTS has begun testing the RCS standard developed by the GSMA and plans for a commercial launch of the platform in 2015.

Rich Communications Services (RCS) is a platform that enables the delivery of communication experiences beyond voice and SMS, providing consumers with instant messaging or chat, live video and file sharing across various devices, on any network 2G/3G/LTE or WiFi. By simply enabling RCS on their device, users can more broadly communicate with other RCS users through traditional mobile network products or via RCS.

To date, RCS has been launched by 41 operators in 32 countries. MTS is the first operator to trial RCS in Russia and the CIS.

MTS embraced RCS after extensive tests conducted on networks of its strategic partner, Vodafone. MTS has already launched the RCS platform in a technical test mode in Moscow. In 2015, MTS plans to expand the service to other regions in Russia.

By the time services commence, RCS functionality will be pre-installed on MTS-branded smartphones, compatible functionality will be available on the most popular models of devices running on the Android and Windows Phone operating systems. Any person using Android and iOS devices will be able to download a dedicated app from MTS to gain access to RCS.

Mr. Vasyl Latsanych, MTS Vice President and CMO, commented, Currently 40% of iOS and Android smartphone owners aren't using data services on a regular basis. By offering customers through RCS ubiquitous connectivity across devices and ecosystems, MTS aims to engage these individuals in using data products. At the same time, RCS offers a reliable alternative for customers already using OTT services, a product which ensures a high quality voice and data connection and better protection of users' personal data.

According to Infonetics Research consultancy, from 2012 2016 operators revenues from RCS will amount to $1.6 billion globally. Juniper Research consultancy forecasts that by 2018 the volume of messages sent globally using RCS will have increased to over 83 billion per year.

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For further information, please contact in Moscow:

Joshua B. Tulgan

Director, Department of Corporate Finance and Investor Relations

Mobile TeleSystems OJSC

Tel: +7 495 223 2025

E-mail: ir@mts.ru

Learn more about MTS. Visit the official blog of the Investor Relations Department at www.mtsgsm.com/blog/

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Mobile TeleSystems OJSC ("MTS") is the leading telecommunications group in Russia, entral and Eastern Europe, offering mobile and fixed voice, broadband, pay TV as well as content and entertainment services in one of the world s fastest growing regions. Including its subsidiaries, the Group services over 100 million mobile subscribers. The Group has been awarded GSM licenses in Russia, Ukraine, Armenia, Turkmenistan and Belarus, a region that boasts a total population of more than 200 million. Since June 2000, MTS Level 3 ADRs have been listed on the New York Stock Exchange (ticker symbol MBT). Additional information about the MTS Group can be found at www.mtsgsm.com.

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Some of the information in this press release may contain projections or other forward-looking statements regarding future events or the future financial performance of MTS, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify forward looking statements by terms such as expect, believe, anticipate, estimate, intend, will, could, may or might, and the negative of such terms or other similar expressions. We wish to caution you that these statements are only predictions and that actual events or results may differ materially. We do not undertake or intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. We refer you to the documents MTS files from time to time with the U.S. Securities and Exchange Commission, specifically the Company's most recent Form 20-F. These documents contain and identify important factors, including those contained in the section captioned Risk Factors that could cause the actual results to differ materially from those contained in our projections or forward-looking statements, including, among others, the severity and duration of current economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices and the value of financial assets; the impact of Russian, U.S. and other foreign government programs to restore liquidity and stimulate national and global economies, our ability to maintain our current credit rating and the impact on our funding costs and competitive position if we do not do so, strategic actions, including acquisitions and dispositions and our success in integrating acquired businesses, potential fluctuations in quarterly results, our competitive environment, dependence on new service development and tariff structures, rapid technological and market change, acquisition strategy, risks associated with telecommunications infrastructure, governmental regulation of the telecommunications industries and other risks associated with operating in Russia and the CIS, volatility of stock price, financial risk management and future growth subject to risks.

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LINK:	http://www.mtsgsm.com/news/2015-01-27-73273...
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