Entel to funnel USD250m a year into Peru

28 Aug 2014

Chilean telco Entel plans to invest USD1.2 billion in its Peruvian operations during the 2015-2020 period, representing an annual spend of just under USD250 million. In an interview with El Comercio, Manuel Araya, Entel’s Manager of Regulatory and Corporate Affairs explained that the injection of capital is needed to reshape Nextel Peru to target primarily mobile data subscribers. Once the new business model is in place, Entel expects its Nextel unit to expand its presence to capture a 30% share of the market – a tall order given its current share of around 5%. The telco is optimistic about the opportunities in Peru, however, citing the country’s larger population in comparison to its domestic market, and the lower level of cellular penetration. As part of its plan to overhaul Nextel, Entel has lined up a series of infrastructure improvements and is drafting a series of proposals for sector regulator Osiptel to optimise the use of spectrum for mobile telephony and data networks. Meanwhile, the company intends to ditch the ‘Nextel’ moniker inherited from the company’s previous owner, NII Holdings, by the end of the year when the cellco will be rebranded under a new name.

Peru,Entel Chile, Entel Peru,


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