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Megacable invests to strengthen its operations

The main Mexican cable operator, Megacable, will invest USD 55 millions in the 25 states where the company operates. According to what Enrique Yamuni Robles, Megacable General Director, told La Reforma newspaper, among other objectives, the company is trying to move forward in the "digitalization of subscribers", and expects to close the year with an 11% growth rate in cable TV. The company's strategy results from the strong DTH growth in such country, especially Dish - which after Megacable is the third Pay-TV operator - and the need to become stronger as an integrated operator.

"We will invest in 3,000 kilometers of infrastructure for new lines, in the digitalization of subscribers and voice and data terminal devices", Yamuni stated. Moreover, the operator does not discard the possibility to acquire additional local companies, as it happened with the operator Omnicable by mid 2010. Likewise, Megacable will invest USD 63 million in the dark fiber network operation that has been licensed by the Federal Electricity Commission and will operate jointly with Televisa and Telef?nica. Yamuni forecasted an "18% growth in Internet and a 20% in telephony".

Last August, Megacable closed an agreement with Telef?nica so as to start rendering mobile telephony services, moving forward with cuadruple play. The telecommunications company Iusacell, which has already announced its triple play offer through its GPON network in 2011, will join the competition posed by Dish and Sky, main Mexican Pay-TV operator. Additionally, Televisa is commercializing an integrated service package -telephony, Internet and Pay-TV- while Telmex is waiting for its license tittle to be modified so as to render TV services soon.

According to data released by the company, in the first 2010 semester, Megacable recorded 1,7 million susbcribers in such country. As of 2Q10, the acquisition of the cable operator Omnicable in June, enabled the addition of the 62,000 Tv subscribers and 3,000 cable modem ones, operating in the states of Sonora and Baja California, in the northeast of the country.

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Megacable invests to strengthen its operations





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