ICE reinstates ECI

6 Mar 2003

The board of Costa Rican telco ICE has voted to resume last year’s tender to select a DSL equipment supplier, maintaining Israel’s ECI Telecom [Nasdaq: ECIL] as the provisional winner. ECI was originally awarded the contract last August, with a USD18.3 million bid to rollout 85,000 DSL lines. Other bidders, among them Lucent and Alcatel, however, protested that the win was invalid because of technical errors in ECI’s bid. ICE attempted to begin the tender anew, but in November the government ruled that a new tender could not begin until doubts surrounding ECI’s bid were fully addressed. As it now stands, ICE’s comptroller general must re-evaluate ECI’s bid over the next 60 days; if the vendor’s bid is rejected the process will be repeated for the next best bid (Lucent), rather than beginning the process from the start.

Costa Rica