Posts filed under ‘Chile’
Chilean telecoms regulator Subtel has extended the date for receiving and opening bids for 3G licences by five days, to 20 July writes BNamericas citing Subtel. The long-anticipated auction of UMTS concessions was launched in April, with bidding rules on sale until 30 June. In accordance with a Supreme Court ruling on 27 January, existing wireless players can participate in the spectrum auction, but if any company surpasses the 60MHz limit it is obliged to return some of its spectrum in other bands to the state. The three existing operators in the country are at or close to the limit: Entel PCS already has 60MHz, while Movistar and Claro have 55MHz each. Subtel has expressed that the intention of this measure is to allow a fourth operator to enter the market and focus expressly on offering 3G services.
Telefonica Chile has reported preliminary results for the year ended 31 January 2008 which show a 1% fall in revenues to CLP685.27 billion (USD1.14 billion). Operating profit for the twelve month period slipped by over a quarter, from CLP76.8 billion to CLP57.1 billion, while net profit rose from CLP11.82 billion to CLP17.6 billion.
In a separate but related announcement Chile’s anti-monopoly regulator, the Tribunal for the Defence of Free Competition (TDLC) said it rejected a lawsuit brought by Telmex alleging monopolistic practices by Telefonica Chile. The TDLC said it rejected the lawsuit because there was no evidence that Telefonica had taken actions meant unequivocally to impede, restrict or obstruct freedom of opportunity.
Chile’s Supreme Court has ruled in favour of establishing spectrum limits for existing operators that want to participate in upcoming auctions for 3G licences, writes BNamericas citing telecoms regulator Subtel. In July antitrust commission FNE, cable TV operator VTR and Subtel appealed a decision by antitrust tribunal TDLC that would not allow for the reservation of spectrum for a new, fourth mobile operator to enter the market. Of the 90MHz available (45MHz for uplink and 45MHz for downlink), Subtel had hoped to reserve some 60MHz for a new operator that would focus mainly on providing value added services, while allowing the three existing wireless operators Entel PCS, Movistar and Claro to compete for 10MHz each. FNE took it a step further, arguing that the existing operators should not be allowed to participate, on the basis that they have sufficient spectrum already.
The latest ruling from the Santiago court says that no operator should hold more than 60MHz. Entel PCS already has this amount of spectrum, while Movistar and Claro have 55MHz each. The court ruled that existing players could participate in the upcoming spectrum auctions but that if they surpass the permitted limit they would be obliged to return some spectrum to the state. Some of the operators have spectrum in other frequencies such as 800MHz and 1900MHz. As regards spectrum, the court also said that Subtel ought to subdivide the spectrum in the 1710MHz-1755MHz and 2110MHz-2155MHz frequency bands into blocks that enable the efficient use of the spectrum at reasonable costs to provide 3G on a national scale.
Empresa Nacional de Telecomunicaciones (Entel) of Chile has announced a buoyant set of results for the fourth quarter and twelve months ended 31 December 2008. In the last three months of the year the company recorded revenues of CLP296.3 billion (USD494.5 million), an increase of 14% on the same period of 2007. EBITDA for the quarter totalled CLP107.3 billion, up 7%, while net income rose 12% to CLP34.4 billion. Entel’s mobile subscriber base rose by 6% to six million at the end of December, with the number of post-paid users (including mobile broadband) increasing by 20% to account for 30% of the total. On an annual basis, Entel reported revenues of CLP1.067 trillion in 2008 compared to CLP982.97 billion in 2007. Operating profit climbed from CLP210.48 billion to CP217.09 billion over the same period, while net profit rose from CLP142.70 billion to CLP153.51 billion.