Brazilian telecoms operators have shown interest in the auction of a mobile concession license to operate in the 1,900MHz band in Peru, newspaper Gestión reported the latter's transport and communications minister Verónica Zavala as saying.
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Companies / Entities
Agencia de Promoción de la Inversión
Signals Telecom Consulting, Inc.
Telefónica Móviles Perú Holding S.A.A.
Millicom International Cellular S.A.
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"We had very positive meetings with Brazilian businessmen who are very interested in this process," Zavala said, without naming specific operators.
The country's investment promotion agency ProInversión expects to award 25MHz of spectrum in band C of the 1,900MHz frequency for national coverage on November 28.
The 1,900MHz band spectrum concession is a move to attract a fourth mobile operator. Peru's current operators are Movistar Perú of Spain's Telefónica (NYSE: TEF), Nextel of NII Holdings (Nasdaq: NIHD), and Claro of América Móvil (NYSE: AMX).
According to consultancy firm Signals Telecoms president José Otero, Brazilian operator Oi (NYSE: TNE) could be one of the interested companies. Other large Brazilian mobile telephony operators are Vivo and Claro, but the first is 50% owned by Telefónica Móviles and the second is owned by América Móvil. Since the idea is to attract a fourth operator, these firms will not be allowed to participate in the new bidding process.
Otero told BNamericas that other interested operators could be Irish-owned operator Digicel, Luxembourg's Millicom (Nasdaq: MICC) and Mexican company Grupo Iusacell. Both Digicel and Millicom have several mobile operations across the region and could be interested to enter a new market.
The analyst added that adding a new player could benefit end-users as the new operator will enter with a very agressive commercial strategy and this will result in increased competition with the other operators.
