VEON’s Kyivstar Launches 5G Pilot in Lviv
Rhea-AI Summary
VEON (Nasdaq: VEON) announced that Kyivstar (Nasdaq: KYIV) launched a 5G pilot in Lviv on January 12, 2026, implemented with the Ministry of Digital Transformation of Ukraine to evaluate network performance in real urban conditions.
Kyivstar plans gradual expansion to Borodianka and Kharkiv, with Kyiv and Odesa planned later in 2026, while a full nationwide 5G rollout will be considered only after the end of the war. Kyivstar reported peak pre-launch 5G download speeds exceeding 2.4 Gbps and peak 4G speeds already above 1 Gbps in some areas. The company said it is investing USD 1 billion over 2023–2027 to rebuild connectivity and digital infrastructure, and that 5G will use 3500 MHz and 700 MHz bands in Ukraine.
Positive
- 5G pilot achieved peak download speeds exceeding 2.4 Gbps
- Peak 4G speeds already exceed 1 Gbps in some areas
- Planned expansion pilots to Borodianka and Kharkiv in 2026
- Committed USD 1 billion investment in Ukraine connectivity (2023–2027)
Negative
- Full-scale 5G rollout deferred until end of the war
- Operations challenged by ongoing attacks and blackouts on infrastructure
- Actual commercial 5G speeds may vary due to network congestion and environmental factors
News Market Reaction
On the day this news was published, VEON declined 0.08%, reflecting a mild negative market reaction. Our momentum scanner triggered 8 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $3M from the company's valuation, bringing the market cap to $3.81B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Before this news, VEON was nearly flat at +0.08% while peers were mixed: Liberty Global lines (LBTYA, LBTYB, LBTYK) were down between -0.37% and -2.15%, whereas PHI and TDS were up 0.87% and 1.91%. This points to stock-specific rather than broad sector momentum.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 23 | Network collaboration | Positive | -0.3% | MoU with Rakuten Symphony on next‑gen connectivity and cloud-native networks. |
| Dec 19 | Banking expansion | Positive | -1.5% | Mobilink Microfinance Bank launched Islamic banking operations in Pakistan. |
| Dec 18 | Listing upgrade | Positive | -0.3% | ADS transfer to Nasdaq Global Select Market and new index inclusions. |
| Dec 16 | Renewable acquisition | Positive | +1.4% | Kyivstar bought SUNVIN 11, adding <b>12.9 MW</b> solar generation in Ukraine. |
| Dec 16 | Earnings schedule | Positive | +1.4% | Announcement of VEON and Kyivstar Q4 and FY 2025 results release dates. |
Recent strategic and corporate updates have generally been positive in tone but have produced mixed short-term price reactions, with several positive announcements followed by slight declines and a couple showing modest gains.
Over the last few months, VEON highlighted multiple strategic steps across its portfolio. On Dec 16, 2025, Kyivstar’s renewable energy acquisition added 12.9 MW of solar capacity, supporting a broader USD 1 billion (2023–2027) Ukraine investment plan, and coincided with a +1.45% move. Earlier in December, VEON gained a Nasdaq Global Select Market listing and announced Kyivstar/VEON results dates, both also modestly positive. By contrast, news on Beeline Kazakhstan–Rakuten collaboration and Mobilink Islamic banking expansion saw small negative reactions, showing that positive operational news has not consistently driven upside.
Market Pulse Summary
This announcement showcases Kyivstar’s first 5G pilot in Lviv, achieving pre-launch speeds above 2.4 Gbps and complementing existing 4G performance above 1 Gbps in some areas. It fits into VEON’s broader plan to invest USD 1 billion over 2023–2027 into Ukraine’s connectivity and digital infrastructure. Investors may track future city rollouts, integration with existing 4G networks, and progress on Ukraine-focused digital initiatives as key execution markers.
Key Terms
5g technical
4g technical
direct to cell technical
satellite connectivity technical
llm technical
AI-generated analysis. Not financial advice.
Lviv, January 12, 2026 – VEON, a global digital operator (Nasdaq: VEON), today announces that Kyivstar (Nasdaq: KYIV), Ukraine's leading digital operator and a VEON Group company, has launched a 5G test zone in the historical center of the city of Lviv in Ukraine. This marks Kyivstar’s first local pilot 5G project and is being implemented in coordination with the Ministry of Digital Transformation of Ukraine.
The goal of the 5G pilot is to evaluate network performance in real-world urban conditions. Pending successful pilot testing in Lviv, Kyivstar will gradually expand 5G availability to other Ukrainian cities, including Kharkiv and Borodianka, with Kyiv and Odesa planned for later in 2026.
The testing locations have been selected in collaboration with the Government of Ukraine, starting with the most populous Ukrainian cities that already have advanced infrastructure. A full-scale 5G rollout across the country will only be considered after end of the war. In parallel, Kyivstar will continue to focus on its “4G Everywhere” target, which meets the needs of most smartphone users in Ukraine. With Kyivstar’s ongoing network modernization, peak 4G speeds already exceed 1 Gbps in some areas during off-peak hours.
“Even in the midst of full-scale war — under constant Russian attacks on infrastructure and during blackouts — Ukraine continues to move forward and expand innovation in the telecom sector. The launch of the 5G pilot in Lviv is an important step that we have jointly prepared with mobile operators. Lviv is only the first city. We will soon begin pilots in Borodianka and Kharkiv as well. Our goal is to ensure that Ukrainians stay connected and have access to advanced technologies under any circumstances,” said Mykhailo Fedorov, Minister of Digital Transformation of Ukraine.
“Kyivstar is driving Ukraine’s digital transformation with investments in advanced technologies, from piloting 5G in Lviv to pioneering Direct to Cell satellite connectivity through is partnership with Starlink,” said Oleksandr Komarov, CEO of Kyivstar. “Our commitment goes beyond connectivity: we are investing USD 1 billion over 2023-2027 into rebuilding Ukraine’s connectivity and digital infrastructure, from energy resilience for our network to digital services to Ukraine’s own sovereign Ukrainian LLM, powering not just growth for our company but helping support Ukraine’s future recovery.”
Prior to the pilot launch, Kyivstar carried out comprehensive preparations across its network infrastructure, including ensuring that the 5G activation would not interfere with military communications. The company conducted its first 5G tests in February 2024 at its head office in Kyiv.
In Ukraine, 5G will operate in two frequency bands: 3500 MHz for high data transmission speeds and 700 MHz to ensure wider coverage. During pre-launch testing in Lviv, Kyivstar’s 5G network achieved peak download speeds exceeding 2.4 Gbps (actual speeds after commercial launch may vary depending on network congestion and other environmental factors).
About Kyivstar Group Ltd.
Kyivstar Group Ltd. (“Kyivstar”) is a Nasdaq-listed holding company that operates JSC Kyivstar, the country’s leading digital operator and the first Ukrainian company to have its shares traded on a U.S. stock exchange.
Kyivstar’s companies provide a broad range of connectivity and digital services, including mobile and fixed-line voice and data, ride-hailing, e-health, digital TV, and enterprise solutions such as Big Data, cloud, and cybersecurity.
Together with VEON, Kyivstar intends to invest USD 1 billion in Ukraine between 2023-2027, through social investments in infrastructure and technological development, charitable donations and strategic acquisitions.
For more information, please visit https://investors.kyivstar.ua.
Nasdaq tickers: KYIV; KYIVW
About VEON
VEON is a digital operator that provides converged connectivity and digital services to nearly 150 million connectivity and over 140 million digital users. Operating across five countries that are home to more than
Forward-Looking Statements
This release contains “forward-looking statements”, within the meaning of the Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Such forward-looking statements include, but are not limited to, the impact and timing of further roll-out of the 5G pilot in Ukraine. There are numerous risks, uncertainties that could cause actual results and performance to differ materially from those expressed by such statements, including risks relating to the impact and timing of further roll-out of the 5G pilot in Ukraine, among others discussed in the section entitled “Risk Factors” in VEON’s 2024 Form 20-F filed with the SEC on April 25, 2025 and other public filings made by VEON with the SEC. The forward-looking statements contained herein speak only as of the date of this release and VEON disclaims any obligation to update them, except as required by law
Contact Information
VEON
Hande Asik
Chief Strategy and Communications Officer
pr@veon.com
FAQ
What did VEON announce about Kyivstar's 5G pilot in Lviv on January 12, 2026?
Which frequency bands will Kyivstar use for 5G in Ukraine (VEON/KYIV)?
How fast were Kyivstar's pre-launch 5G and existing 4G speeds as reported by VEON?
Will Kyivstar roll out 5G across all Ukrainian cities in 2026 according to VEON?
How much is VEON/Kyivstar investing to rebuild Ukraine's connectivity?
