Mexican fixed-line operator Telmex announced a major upheaval yesterday that will see the company split in two.
One part of the company, which will be known as Telmex Social, will provide telecommunications services in Mexico’s rural or underserved…
Mexican fixed-line operator Telmex announced a major upheaval yesterday that will see the company split in two.
One part of the company, which will be known as Telmex Social, will provide telecommunications services in Mexico’s rural or underserved areas.
According to a Telmex statement yesterday, these areas comprise the 46% of the country where there is no economic interest in providing telecoms services. Telmex currently operates in them on a low-profit or loss-making basis.
The other part of the company, which has not received a new name, will provide services in the rest of Mexico.
Telmex also said that the interconnection charge to Telmex Social would be the same as its competitors.
This is a significant caveat given the spat between mobile operator Telcel and other competitors last week.
Some 25 companies reportedly signed a document saying that they would not pay interconnection fees to Telcel.
The restructuring is still subject to government approval.
Telmex and Telcel are both subsidiaries of America Movil, the conglomerate owned by Carlos Slim.
