China Telecom to Consider Investment in Mexico Mobile Broadband Network
Published By : 19 Jan 2015 | Published By : QYRESEARCH
China Telecom parent will perhaps make a bid for the US$10 billion network, a spokesperson for the company stated. There aren't many details, as the company stated that it is just starting to observe if it should put money in the network.
China Telecom parent would wish to join Mexican organization in a coalition. There was no statement on what organization were approached to take part in this project. The plan, which is designed to enhance the broadband network and to deteriorate the leadership of the Mexican businessman Carlos Slim in the telecommunications organization, has already got a few billion dollars from banks that are operated by China.
The United States of America may have issues with the company’s move to become a partner in the network. Mexico is looking to depend less on the United States of America by generating more investments from China.
It may also have an effect on some American businesses, which have telecommunications organization in Mexico. Bidding is believed to be over in August 2015, but the procedure has reportedly initiated as of December, 2014.
Sources state that the Mexican government will not have a stake in the company. The company that wins the bid will be entitled to have a partnership with the government. The public-private partnership will give the winning organization some flexibility.
Huawei, a telecom equipment manufacturer from China, is looking to be a part of this project. The company has not been permitted to provide the United States of America with equipment because of doubts that Huawei would let the Chinese government to penetrate the American communications.