ICE plans 200,000 additional GSM lines
Bnamericas Published: Tuesday, May 11, 2004
Costa Rica's electrical and telecoms regulator (ICE) plans to add 200,000 GSM lines through a license with French telco Alcatel (NYSE: ALA), according to local newspaper El Diario Extra. Alcatel already operates 400,000 GSM lines in the country but these are not sufficient to carry local demand for GSM phones. The new lines will be added after certain coverage and traffic problems are overcome, which may involve acquiring more base stations to improve network coverage. ICE currently has a capacity of 100,000 TDMA lines to help satisfy 2004 demand. Swedish mobile operator Ericsson (NASDAQ: ERICY) will enter the Costa Rican market in March of 2005 with 600,000 GSM lines. Claudio Bermúdez, subdirector of Telecommunications, was reported by El Diario as saying that the Ericsson lines "will satisfy services demand for the years 2005 and 2006." Beyond 2006, new tenders may be issued to solicit companies interested in bidding on advanced third generation services for the Costa Rican market.
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