Mexico’s telecoms regulator cleared the purchase of 60MHz of 2.5GHz spectrum by America Movil-owned operator Telcel from broadcast company Grupo MVS.
The Instituto Federal de Telecomunicaciones (IFT) approved the transaction after concluding the increase in Telcel’s spectrum allocation would not impact competition in the country. The block covers over 75 per cent of Mexico’s population and was previously used for radio and TV broadcast in the country.
Telcel’s allocation of the country’s spectrum available for wireless telecommunication services now stands at 29.77 per cent, up from 20.2 per cent.
The operator is the country’s largest wireless provider by connections ahead of Telefonica’s Movistar and AT&T, according to GSMA Intelligence figures for Q1 2017.
In a statement, the IFT explained: “No risks are identified to the process of competition and free competition, or concentration contrary to the public interest in the relevant and related markets.”
Grupo MVS was given permission to discontinue broadcasting in the spectrum in March to ease the sale of its allocation.
America Movil’s transaction comes as the company is in the process of a functional separation of part of its fixed-line unit in Mexico, following pressure from the IFT, which also wants the company to make changes to its mobile operation.
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