Argentina’s government has scrapped its planned tender of 3G spectrum and has instead assigned the frequencies to state-run satellite operator Arsat.
In a statement Julio De Vido, the country’s federal planning minister, said that of the interested…
Argentina’s government has scrapped its planned tender of 3G spectrum and has instead assigned the frequencies to state-run satellite operator Arsat.
In a statement Julio De Vido, the country’s federal planning minister, said that of the interested parties only America Movil’s Claro met the conditions of the tender but that he did not want further consolidation in the market.
“Argentines are fed up of monopolies,” said De Vido.
Argentina’s wireless market is currently dominated by three players – Claro, Personal and Telefonica’s Movistar.
According to the minister, Arsat will now hold about 25% of Argentina’s 3G spectrum and will look to partner with private firms to build-out the frequencies.
It is the latest intervention from the Cristina Kirchner’s government – she nationalised Argentina’s biggest oil firm YPF in the spring, and previously expropriated airline Aerolineas and private pension funds.
The operators that were planning to bid for the spectrum in the 850MHz and 1900MHz bands were Claro, Telecom Italia’s Personal, Nextel, Multitrunk and Superfone.
Arsat is preparing to launch its debut satellite, Arsat-1, via Arianespace in H1 2013. The spacecraft is being built by the Argentine company INVAP, with Astrium and Thales Alenia Space as leading equipment suppliers. This satellite is expected to cost approximately US$270m, with the state contributing US$54m and the remainder secured via loans from the Inter-American Development Bank.
Arsat was formed by the Argentine government in 2006, with the state transferring the assets of private company Nahuelsat, which operated its NAHUEL-1 satellite at the 72W orbital position. That satellite was retired in 2010 and Arsat-1 is due to replace it at 72W.
The nascent satellite operator is planning two further satellites with Arsat-2 due to be launched in late 2013 to the 81W orbital position. Again Arianespace has been contracted to launch the satellite.
