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Mexico readies its shared network experiment

Bnamericas
Mexico readies its shared network experiment

Mexico's communications ministry announced that the auction for the country's shared network project, which will carry an investment of US$7.5bn, will be held on January 29.

After completing the digital switchover on December 31, which freed up the 700MHz band, the country's shared network will be the main focus of the ministry and its project partner, watchdog IFT.

In September, the regulator published the requirements for taking part in the auction, including having assets worth 15bn pesos (US$851mn).

The shared network has been controversial from the moment it was announced, as the 700MHz band is a priced asset for the deployment of 4G LTE services. The financial viability of the project has also been questioned.

The ministry says the shared network will promote competition by allowing mobile network virtual operators (MVNOs) to face traditional carriers in more even terms. However, MVNOs alone do not carry enough weight to keep the project afloat – traditional carriers would need to take part in order for the shared network to survive.

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