Market preparing for resale launch

8 Jul 2005

The Mexican government is preparing legislation which will pave the way for the introduction of long-distance resale services. Third-party operators are currently not permitted to purchase capacity from network owners to resell to consumers, but the World Trade Organisation has called for rules to be changed. Dow Jones reports that domestic long-distance services will be the first to be provided by resellers, with other services such as local and mobile calling following in a year or so. Although consumers are likely to benefit from reduced calling costs, Mexico’s larger telcos such as Telmex will be faced with increasing competition.