- Approval of its Reference Offer is currently in process, in accordance with established procedures
- The milestone established in the Public Private Partnership contract will be easily achieved by its due date
- The company will be positioned to provide commercial services to its customers
Mexico City, January 30, 2018.- Altán Redes is currently in the process of defining and proposing its Reference Offer for approval by Mexico’s Federal Institute of Telecommunications (IFT). The offer contains the terms and conditions under which Altán Redes will contract wholesale services with its customers, the retail operators responsible for bringing communications to end users.
On Friday, January 26, as part of the procedure established under the Concession Title and the Public Private Agreement signed by Altán Redes with Promtel and Telecomm, the IFT delivered a series of observations to Altán Redes on the Reference Offer proposal, none of which mention anti-competitive practices, unfair treatment, entry barriers, tied sales, or improper displacements. All of the IFT’s observations refer to technical aspects and issues and will be addressed by Altán Redes in accordance with the applicable legislation.
Altán Redes, as developer of the Red Compartida, has the obligation to provide service on the 700 MHz frequency band under principles of universal access that is non-discriminatory, shared and continuous, as established in the 16th and 17th transitory provisions of the Constitution of the United Mexican States related to telecommunications.
The company is a newly created wholesale operator and, in accordance with the Constitutional mandate, has no market share. As such, it lacks the conditions and the capacity to engage in any anti-competitive practices. On the contrary, its business model has a structural incentive to provide high quality service to all operators and retailers, without distinction.
On January 24, Promtel carried out an oversight procedure on the Red Compartida in the city of Toluca and reported that Altán Redes will easily meet the commitment of 30% coverage of Mexico’s population before the March 31 deadline and will be ready to provide commercial service to its customers in accordance with the requirements established in the Red Compartida tender.
About Altán Redes
ALTÁN Redes, S.A.P.I. de C.V., is a Mexican company formed by the multinational consortium winner of the Red Compartida international competition. Among its investors, it has some of the most important infrastructure investment funds in the world, such as Morgan Stanley Infrastructure, the International Finance Corporation (IFC), the China-Mexico Fund (managed by the IFC), the Canadian pension fund (CDP) and the Mexican afores grouped under the CKD IM and FFLatam; as well as with Mexican partners and industrial groups, institutions of great prestige such as Axtel, Megacable, Hansam; and Grupo Multitel as a strategic partner, which gives ALTÁN the ability to comply with all its commitments and to carry out the full deployment of Red Compartida by virtue of the stipulated parameters.
About the Red Compartida
Red Compartida is one of Mexico’s most important telecommunications projects in recent years. It is a modern, mobile wholesale broadband network, neutral and of non-discriminatory type, in the 700 MHz band. It will increase the coverage of the most advanced telecommunications services, 4G-LTE to at least 92.2% of the Mexican population. It is implemented through a Public-Private Partnership signed between ALTÁN Redes, the Telecommunications Investment Promoting Body (Promtel) and Telecommunications of Mexico (Telecomm). The project is completely self-financed with private resources from its shareholders, private financing from its suppliers and by the Mexican development banks.