Brazilian mobile operators Vivo, TIM Brasil and Claro, as well as regional player Algar Telecom, have all registered to participate in the country’s 4G auction scheduled to start on 30 September.
As previously indicated, neither Oi nor Nextel Brasil…
Brazilian mobile operators Vivo, TIM Brasil and Claro, as well as regional player Algar Telecom, have all registered to participate in the country’s 4G auction scheduled to start on 30 September.
As previously indicated, neither Oi nor Nextel Brasil will take part as both operators concentrate on addressing their balance sheets.
Telecoms regulator Anatel initially tendered 4G-suitable spectrum in 2012 when it sold licences in the 2.5 GHz band. However, 700 MHz licences are particularly desirable to operators as a wider area can be covered with fewer base stations in comparison to higher frequencies.
In a statement yesterday, Oi said its 2.5 GHz spectrum would suffice to meet its coverage obligations through 2017, and that it may utilise 1.8 GHz spectrum in the future for 4G.
Rivals indicated they would participate in the tender months ago but Oi stayed silent, fuelling speculation that the telco would not be able to muster the funds to acquire frequencies. In its quarterly results released in August, Oi disclosed net debts of R$46.2bn (US$19.3bn).
Meanwhile Nextel Brasil’s parent, US-based NII Holdings, filed for bankruptcy earlier this month. In spite of the financial strains, NII plans to hold on to its Brazilian subsidiary. Nextel is hoping regulators will allow it to use its 800 MHz spectrum – which it currently utilises for trunking – to offer 4G services.
