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Vivo, TIM, Claro win 4G licenses in Brazil(EFE Ingles Via Acquire Media NewsEdge) Brasilia, Sep 30 (EFE).- Brazil's top three cell phone carriers on Tuesday won licenses to provide 4G mobile coverage throughout Latin America's largest country in a spectrum auction that brought in much less than the government hoped. Spanish-owned Telefonica Brasil SA, Italia Telecom subsidiary TIM Participações SA and the Brazilian unit of Mexico's America Movil SAB de CV paid a total of 5.85 billion reais ($2.44 billion) for slices of the 700 MHz spectrum. Brazil's Anatel telecoms regulator had expected the auction to raise a minimum of 7.7 billion reais ($3.2 billion). Locally owned Algar secured a fourth license, limited to four of Brazil's 27 states, while no company bid for two additional nationwide licenses, Anatel said. The 700 MHz spectrum is currently used for analogue television signals, but Brazil's broadcasters face a deadline of 2018 to fully convert to digital transmission. Brazil's fourth major cell phone operator, Grupo Oi SA, dropped out of the auction last week. The company has recently taken on significant additional debt as part of its merger with Portugal Telecom. Besides paying license fees, the winning bidders on Tuesday must together come up with 3.6 billion reais ($1.5 billion) to finance the transition of the 700 MHz spectrum away from television. EFE cm/dr (c) 2014 EFE News Services (U.S.) Inc. |