DirecTV signs agreement with Claro to offer mobile broadband

Wednesday, August 3, 2011

Satellite TV provider DirecTV has reached an agreement with Puerto Rican telecoms operator Claro to offer mobile broadband through the latter's GSM network, local paper El Nuevo Día reported.

This new offer was made possible through a more than US$1mn, investment and is part of the US$13mn the company has invested so far this year to expand operations in Puerto Rico, according to DirecTV Puerto Rico CEO Roque Lombardo.

The company expects to reach more than 30,000 subscribers by end-2012, compared to the 20,000 mobile broadband clients running on the current infrastructure.

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Until now, DirecTV was offering a similar service through a CDMA network owned by Centennial, a company acquired by AT&T. DirecTV's client base is already being migrated to the GSM network, which will offer higher speeds - up to 7.2 Mbps - and island-wide coverage, the executive added.

DirecTV has a 33% market share in Puerto Rico, including pay TV, and this new offer is expected to help the company reinforce its position.

Claro is the local unit of Latin American mobile giant América Móvil (Nasdaq: AMX).