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Concession of a new license for the national mobile telephony
market (to be completely turned over by Telefónica in the second
half of 2007), in the following band:
BAND B: (835-845 Mhz / 880 – 890 Mhz) and (846.5 – 849 Mhz /
891.5 – 894 Mhz)
SHORT-LISTING REQUIREMENTS
To be defined in the process terms and conditions
ADVANTAGES OF THE PROPOSAL
Investment in a stable, dynamic country open to foreign
investment; A clear and transparent legal and regulatory
framework that promotes private investment in telecommunications
A regulatory body with broad proven experience in the sector;
and A transparent, equitable and objective process for granting
the concession
The mobile services market has shown significant growth in
recent years, rising from 1.3 million subscribers in 1999 to 5.5
million subscribers in 2005 (22% annual average growth).
Although this growth has been important, telephone penetration
(subscribers per each 100 inhabitants) remains below regional
averages. As of December 2004, telephone penetration was 14.8
subscribers per 100 inhabitants, well below other countries like
Chile (62.1), Argentina (34.8), Ecuador (34.4) and Colombia
(23.2). This indicator suggests that the high growth posted in
the country in number of subscribers should continue in coming
years.
CHARACTERISTICS OF THE TRANSACTION OFFERED
Private investment promotion mode Concession under Article 2 of
DS N° 059-96-PCM Mode under which the concession will be awarded
Special Public bid, under Article Nº 4 060-96-PCM
STATE COMMITMENTS
To guarantee that the frequencies to be assigned are unused,
that there is no encumbrance or limitation of any nature upon
them and that no third party has any type of right over them. It
will also guarantee that, in conformity with the modification of
the National Frequency Attribution Plan, the band is attributed
to public mobile telephony services.
INVESTMENT COMMITMENTS
To meet the Goals for Use of the Spectrum, the standards of
quality fixed by OSIPTEL and the Coverage Plan (to be defined in
the terms and conditions).
THIRD PARTY COMMITMENTS
Supervision of the concession will be performed by the Ministry
of Transport and Communications and OSIPTEL, depending on the
competence of each body.
FINANCIAL STRUCTURE
The concession will be title for consideration, with investment
requirements (Coverage Plan).
PROCESS STATUS
Awaiting publication of the Supreme Resolution approving the
promotion plan The concession scheme to be applied and the
competence factor for bidding are currently being defined
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