MEXICO CITY, Jan 20 (Reuters) – Latin American wireless carrier NII Holdings
Inc plans to bid for new frequencies to bolster its coverage in Mexico as it
deploys 3G technology across the region to improve services and boost client
base.
"We are interested in the national coverage," Gustavo Cantu, vice president
of NII’s (NIHD.O: Quote, Profile, Research) Mexico operations,
told Reuters on Wednesday.
NII operates in Mexico, Brazil, Argentina, Peru and Chile under the Nextel
brand.
The Mexican government this month launched the long-awaited terms for
mobile-phone frequency auctions, and hopes to unveil winners by mid-year. Such a
big sale of added wireless capacity in the country is the first in at least a
decade.
Cantu said Nextel Mexico was exploring how to approach the auction, which
will give companies the right to operate blocks of frequency in the 1.7 Ghz and
1.9 Ghz bands.
Other rivals are willing to team up to improve their chances of buying the
best bands. The process is expected to lure blue chips like Spain’s Telefonica
(TEF.MC: Quote, Profile, Research) and Mexican media
company Televisa.
Local newspaper Excelsior said in a column this week that Televisa (TV.N: Quote, Profile, Research) (TLVACPO.MX: Quote, Profile, Research) was ready to pay
$1 billion for a stake of between 20 percent and 30 percent in Nextel
Mexico.
Asked about the chance of NII siding with the world’s biggest producer of
Spanish-language media content, Cantu said, "Those are only market rumors." But
he did not deny the report. Televisa was not available for comment.
Cantu said NII is busy deploying 3G services in Latin America, which would
allow the company to catch up with regional leaders America Movil (AMXL.MX: Quote, Profile, Research) (AMX.N: Quote, Profile, Research), controlled by Mexican
tycoon Carlos Slim, and Telefonica. (Reporting by Cyntia Barrera Diaz; editing
by John Wallace)
By Cyntia Barrera Diaz