Scale Capital mulling Venezuelan mobile launch

15 Jan 2021

Chilean investment firm Scale Capital, which reached an agreement to acquire DirecTV’s operations in Venezuela last summer, is understood to be considering augmenting its satellite TV business with the launch of a new mobile service. Scale Capital boss Oliver Flogel was quoted in the local media as saying: ‘We want to see what other services we can offer. It is still very early for that because we have not finished the [pay-TV] launch, but we do not rule out entering another type of business … This is a market like any other, and our ability to make a highly technological and asset-light company allows us to do business in any scenario.’ Mr Flogel, it should be noted, is the former CEO of both Microsoft Chile and Telefonica Chile.

TeleGeography notes that Scale Capital is currently active in the Chilean mobile sector, via its domestic MVNO Simple Moviles. It remains unclear as to whether Scale Capital’s takeover of DirecTV also included the 2.6GHz 4G licence won by the company in 2014. The as-yet-unused USD120 million concession is technically valid until 2029.

The sale of DirecTV came three months after former owner AT&T said it would shut down its operations in the country, because it was caught between restrictions imposed via US sanctions and the broadcasting mandates of the Venezuelan government. The company was duly renamed as SimpleTV.