AR Telecom looks overseas for expansion

9 Jul 2008

The Portuguese telco AR Telecom is cutting back its plans for domestic expansion and is instead focusing on its international operations. A report from local newspaper Diario Economico says AR Telecom intends to spend EUR340 million (USD533 million) outside Portugal in 2008 while just EUR20 million will be invested in its domestic operations. A plan to achieve nationwide coverage in Portugal has been scrapped, with Brazil and Greece now the focus of its efforts. AR Telecom’s chairman, Joao Pereira Countinho, told reporters that the decision to halt its expansion in Portugal came as a result of the separation of Portugal Telecom and its former cable TV arm PT Multimedia (now renamed Zon Multimedia), which between them control the bulk of Portugal’s market for triple-play high speed internet, telephony and TV services. AR Telecom claimed 108,000 subscribers at the end of 2007.