Oi SA presents investment plan, but no increase in funding in the pipeline

26 Jul 2012

The Wall Street Journal reports that Brazilian carrier Oi SA has presented its investment plan to the regulator Anatel in order to lift the suspension of sales of new mobile phones in some states, but that it is not planning on increasing its planned CAPEX over the next four years.

At the start of last week the watchdog imposed a ban on the sale of new mobile plans in certain states by Oi SA, TIM Participacoes (TIM Brasil) and Telecom Americas (Claro) amid a raft of complaints from consumers over poor service quality. Anatel has given each cellco 30 days to present their investment proposals to redress the issue, and has warned them they will be fined up to BRL200,000 (USD98,000) per state, for each day they overrun the deadline.

Oi SA yesterday submitted its documentation to the regulator and has been asked to make some minor amendments, it said. The revisions will be resubmitted next Monday Oi’S Bruno Ramos said, and cover concerns over the carrier’s plans to improve customer services. However, the service provider reiterated to Anatel that prior to the ban, it had already approved investment of BRL24 billion over the next four years on its fixed and mobile services, and that almost BRL5.2 billion will be spent on mobile by 2014 – including BRL1.7 billion on improving quality of service.

Brazil, Oi