According to El Comercio newspaper, the Ecuadorian state-owned operator Corporaci?n Nacional de Telecomunicaciones (CNT) chose Media Networks as its whole sale provider for its DTH, which will start operating as from 2011. The initial investment for this project will amount to USD 5 millions. In December, a pilot test will be carried out.
In March, the state-owned company had opened a bid where Media Networks and the Chilean TuVes HD participated. In April, sources related to the process informed NexTV Latam that CNT had chosen the winner of its RFP, but that no names were disclosed by then. According to César Regalado, CNT General Manager, the selection and awarding process was carried out pursuant to the special public acquisition regime. Therefore, the hiring company is entitled to controlling the acquisition process directly, but must disclose information that includes all relevant details of such acquisition.
The executive also pointed out that the service license was passed by the National Radio and Television Council. Before such awarding, the license agreement needed to be executed, which was scheduled for September. However, the state-owned company has not confirmed whether such process has already been completed. Alfredo Arosemena, Media Networks Regional Manager, pointed out that one of the factors that encouraged such operation in Ecuador was the fact that just the 12% of the population of such country relies on Pay-TV services.
The initial investment for this initiative will increase as the number of clients grows. According to Regalado, the idea is to offer triple play packages at accessible prices with the purpose of reaching population segments that have not had access to these systems. The company will become one of the 272 companies that offer Pay-TV services in Ecuador. Media Networks belongs to Telef?nica Group and its headend is located in Peru.
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