Colombia. Telefónica Movistar and DirecTV reached an agreement through which Movistar acquires and assumes the operation of DirecTV's Internet services in the country.
The negotiation, which will be notified to the authorities of the sector and competition for review, establishes that -once approved by the competent bodies-, Movistar will take over the Internet business that DirecTV operates in Colombia since 2014, including the network infrastructure and the spectrum that supports the service.
Likewise, the agreement determines that customers will not experience changes in the services contracted with DirecTV and / or its rates, as well as in the billing processes or service channels.
This operation, which strengthens Telefónica Movistar's network infrastructure, will not only benefit the customers of the two companies involved in the business, but also the users of the four Mobile Virtual Operators (MVNOs) that Telefónica Movistar hosts on its network, as well as the customers of competitors who make use of it through National Automatic Roaming.
For its part, DirecTV will focus on continuing to provide a premium experience through its satellite television service, as well as DirecTV GO, its regional streaming platform that offers the best of live content, with linear channels and DirecTV sports programming and the best of the world on demand movies, series and documentaries at any time and place, through various devices such as cell phones, tablets, computers, smart TVs and streaming devices.
Fabián Hernández, CEO of Telefónica Movistar Colombia, explained that this agreement "ratifies the company's commitment to the country and will allow us, on the one hand, to continue consolidating our presence in the national market with the acquisition of DirecTV's Internet infrastructure and, on the other, to strengthen our operation by having additional spectrum that supports the growth of mobile data traffic that we have been observing in recent months, especially after the beginning of the pandemic."
Movistar estimates that during 2020 the use of its fixed network increased by 98% and the mobile data consumption of its customers grew by 87%.
For Mariano Díaz de Vivar, President of DirecTV, "the digital transformation is revolutionizing telecommunications and audiovisual services to the point that customers are changing their consumption habits and the way they relate to their environment. By focusing on content generation and distribution, we will be able to focus on delivering the best content options to the market with simple-to-use services when and how they want to respond to consumer needs."
Currently, DirecTV has approximately 200,000 Internet customers in Colombia, of which 60 percent have their service packaged with a subscription television plan. The agreement between the two companies establishes that these customers will maintain their TV plan with DirecTV, while Movistar assumes the Internet access service.
