Antel would lose clients due to the merger of cable operators, said the president of the public company

Antel would lose clients due to the merger of cable operators, said the president of the public company

Annabella Suburú spoke about the recent decision of Ursec on the merger of Montecable, Nuevosiglo and TCC.

Photo: Montevideo City Hall

The president of Antel, Annabella Suburúreferred to the possible situation that the state company could face in the event of the merger of the cable operators Montecable, Nuevosiglo and TCC, a decision that has already been approved by the Regulatory Unit for Services Communications (Ursec).

This was confirmed the week since Ursec and the legal unity of the Ministry of Industry, Energy and Mining (MIEM) for the merger of these companies, which would mean the concentration of 53% of the Montevideo market in a single set of hands, would also make them the only major player authorized to offer cable and internet services.

Regarding this, the president of the state-owned company assured that they are analyzing how to position themselves within the possible new scenario. “What we are analyzing and proposing is being able to sell to cable operators, who are already many of our clients, services that we already have and that are interurban connections and international access,” she commented. “The last mile will be theirs, we are not giving or giving away, but we want to do business, because if Antel doesn’t do it, someone else will,” she clarified.

Regarding the possibility that this means that Antel will have fewer and fewer clients, he said that it is very possible. “But we can recover some of that in revenue, and some clients will surely choose them. We are going to do everything possible and we are going to provide all the best services in terms of quality and price, so that our clients stay with us. But we also do not have to lose other types of business. Antel has to compete with all its strength,” he said.

More questions

In addition to the president of Antel, other industry leaders questioned the approval that still needs the approval of the Presidency.

The last to object to the merger of the cable operators was the deputy for the Broad Front in Rocha, Gabriel Tinaglini. “Access to Antel’s fiber optics by cable operators would continue to weaken the public company with multimillion-dollar losses (between 30 and 60 million dollars annually) and some large private companies would multiply their profits,” he said on his social networks.

For his part, the director of Antel for the Broad Front, Daniel Larrosa, In an interview with La Diaria, “it is understandable that companies are joining forces to try to reduce costs and try to impose themselves beyond Antel.” “They are making their move to corner the largest market, the problem is how Antel reacts, which for the moment seems to be by collaborating,” he added.

For the leader, the creation of a model that offers coverage to 90% of Uruguayan homes “meant that there would be no competitor,” but, since it has already been opened, now the public telecommunications company does not have to “collaborate,” but rather has to “compete”.

Source: Ambito

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