America Movil (AM), the Mexico telecoms holding group of billionaire Carlos Slim, will invest upwards of USD3 billion in its Brazilian operations in 2015, according to its CEO Daniel Hajj who was speaking at a recent investment conference. The total forms part of the USD10 billion programme that AM has set aside for the wider LatAm region, Hajj says, around 30%-35% of which will be used in Brazil. Although he did not specify how the CAPEX will be allocated, he did confirm that monies will be used to pay for 4G licences, as well as in other growth areas such as pay-TV, broadband and fixed accesses.
In a separate development, AM rival Telefonica of Spain says it will spend BRL2.9 billion (USD930 million) to purchase 4G 700MHz spectrum in Brazil and to recompense MMDS operators for vacating the frequency band. Telefonica is purchasing a 2 × 10MHz block of spectrum, having agreed to stump up the minimum BRL1.928 billion asking price. The investment will take place during the fourth quarter of 2014.