Yoigo in talks with Spanish cablecos over possible network expansion

15 Sep 2009

Spain’s fourth mobile operator Yoigo, a subsidiary of Sweden’s TeliaSonera, is understood to be in negotiations with a number of fixed line cable operators in the north of the country with regards to a possible partnership, local news source Expansion reports. It is believed that Yoigo has held talks with three operators – R, Telecable and Euskaltel – with a view to rolling out new infrastructure in the cableco’s regions of operations; the cellco is looking to ink a deal that would see one, or all, of the operators agree to rent capacity on any planned network expansion. In addition, according to the report Yoigo is thought to have proposed a flat rate fee for access to the network, compared with the MVNO arrangements that the cableco’s already have with other operators, which charge by the minute or MB. Yoigo has argued that this model could enable the fixed line companies to lower their costs, and allow them to better compete in the wireless sector. For its part, Yoigo maintains that such an agreement with any of the aforementioned cablecos would enable it to expand its network in a more profitable manner, and could allow it to consider roll outs in areas it may previously have discounted.