CTC reports 130 Wi-Fi hotspots

Chile''''s largest telco Telefonica CTC Chile (NYSE: CTC) has 130 Wi-Fi hotspots in operation around the country, broadband business development manager Ricardo Dorado told BNamericas. CTC has been deploying hotspots in public areas such as airports, hotels, malls and restaurant chains, to provide a large enough network for the service to be commercial, he said, adding the company aims to end 2004 with 300 hotspots in operation. CTC has been offering Wi-Fi for free this summer, but will begin charging for the service after April 15. For the public hotspots, the company will offer prepaid subscriptions for 60 minutes and 24 hours, for 3,000 (US$5) and 6,000 pesos, respectively. The company will also offer Wi-Fi access to residential and business customers for a flat monthly rate of about 20,000 pesos, he said, adding these customers can clock unlimited time on the wireless network, and also gain access to the hotspots. For these customers, Wi-Fi servies will be tagged on top of Speedy, the company''''s ADSL broadband offering, he added. CTC''''s goal for the end of this year is to have 10,000 Wi-Fi clients, he said, adding the majority of these are expected to be prepaid customers of the public hotspots, ranging from one-time users to frequent customers. Dorado dismissed the threat of a possible hotspot aggregator, such as Vex in Brazil or Boingo in the United States, emerging in Chile. CTC and Telsur, the incumbent telco for three regions in southern Chile, together control 80% of the country''''s hotspots. So that CTC''''s customers may access other operators'''' hotspots, the company is looking to sign roaming agreements this quarter, he said. Under such agreements, customers may have to pay different prices, but their billing will be done through CTC, he said, adding CTC is also negotiating international roaming agreements, for the "traveling businessperson" market.