ChinaTel budgets USD62m for WiMAX, IP telephony in Peru

29 Dec 2010

ChinaTel plans to invest USD62 million to offer services including internet protocol telephony over a new WiMAX network in Peru, via its subsidiary Perusat. The first section of the project will be launched by around August 2011 and cover the provinces of Trujillo, Chiclayo Chimbote. In the south, the WiMAX system will be installed in Ica, Arequipa and Cusco and in the centre of the country in Huanuco. Ryan Alvarez, vice president of strategic planning, said ChinaTel has made use of a combination of wireless technologies in order to keep debts at a minimum. He noted that while the company has a small credit facility, it avoided the need for spending hundreds of millions on building fibre networks. It has also made use of acquisitions and joint ventures as a way to secure licences. In Peru, ChinaTel bought 95% of Perusat, which holds a set of 2.5GHz licences. In addition the company is looking at acquisitions in Argentina, Eastern Europe and the Caribbean.

As reported by CommsUpdate on 24 November 2010, ChinaTel announced that its subsidiary Perusat signed a contract with ZTE to provide equipment and services for its deployment of a wireless broadband telecoms network in Peru. The total value of the contract is expected to be approximately USD48 million over seven years. The first phase of deployment, with initial geographic coverage of seven cities, is scheduled to be completed by May 2011. Comprehensive details of WiMAX deployments worldwide can be found in TeleGeography’s 4G Research Service.

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