Phoenix Tower International
Thursday, November 28, 2019

The arguments that Álvarez-Pallete did not give

It was a hotbed in Latin America when Telefónica arrived in the region 30 years ago. Therefore, it is difficult to understand the argument of its executive president, José María Álvarez-Pallete, in the sense that the region is unstable and for that reason they will only concentrate their growth, development and investment efforts in Brazil, Spain, Germany and the United Kingdom.

Telefónica entered Latin America by buying cheap state-owned companies that, by the way, were behind in their investments and in their technology. And, for example, within a few years of arriving in Argentina that operation represented about half of the Ebitda of the parent company. And Telefónica expanded thanks, in part, to the profits that turned from the region. It was not the Potosí silver, but the contribution was important. The proof of this strengthening is that at the beginning of the 21st century, Telefónica's share was trading at more than 22 euros, about two-thirds more than at present.

Read full article

MORE ANALYSIS

Paraguay · E-Government06/08/2020

Paraguayan Digital e-Government Agenda, accelerated due to pandemic

Miguel Martín, vice minister of Information and Communication Technologies, highlighted the use of the local Covid-19 monitoring app. In a virtual event he referred to the work to achieve an own exit to submarine cables through Argentina and Brazil.

Chile · Mobile · Spectrum03/08/2020

Chilean government launches 5G tender and plans investments of US$3 billion

President Sebastián Piñera announced the start of the process during his Public Accountability speech: he stressed that Chile will be a pioneer in the region and that it will take a great leap forward in the full integration of the country into the digital society. Applications for the four parallel tenders will be received until October 19.

Argentina · E-Government04/08/2020

Federal Blockchain Argentina advances to support critical state processes

Interest in the platform, which had a sort of "standstill" in the government transition at the end of 2019, increased since the start of the pandemic due to the need to endorse bureaucratic procedures. In the coming months, the provinces of Formosa and Catamarca will join the public administrations that currently use the BFA.

Globales · Operators30/07/2020

Telefónica's revenues dropped 14.8% due to an impact of € 729 million associated with Covid-19

Between April and June, revenues reached € 10.34 billion due to the closing of commercial activity, in addition to unfavorable movements in exchange rates (it represented an impact of € 791 million). The Spanish company's net profit was € 831 million in the first half, a 53.5% decrease, and € 425 million in the second quarter, a 50.7% decrease. Hispam's revenues were € 1.881 billion, a 10.8% decrease year-on-year.

Regional · Operators30/07/2020

Millicom lost 1.7 million mobile subscribers in Latin America between April and June

As a result of the cessation of commercial activities due to the pandemic, the greatest losses occurred in Honduras, Colombia and Bolivia. ARPU fell 12.9% to US$ 6.4. The company's revenues in the region decreased 6.9% to US$ 1.4 billion, after a decrease in service revenues of 6.4%.

List all analysis