Mexican giant telco Telmex was denied a pay-TV license by the country's government and, contrary to its wishes, the company will now not be able to enter this sector.

As 'Rapid TV News' reported some time ago Mexican big TV companies Televisa and TV Azteca could be behind this decision as they have big interests in pay-TV.

The reason for the denial of the license is, according to the Transport and Communication Ministry, that Telmex does not fulfil the requirements to offer pay-TV services to its clients. The same sources underline that, by the end of this week, Telmex will present the government a formal claim against this official decision.