Spain's main telco Telefónica is to extend its FTTH network in Brazil in particular in the Sao Paôlo reagion.

According to the Brazilian internet portal "", the telco's network already reaches 400, 000 potential subscribers of whom 20, 000 are real clients.

The company's goal is to reach one million subscribers and to get 50,000 more clients by the end of 2011. All in all Telefónica is aiming to reach one million clients before 2015 in this region.

This extension implies an investment of $126 million dollars by the Spanish company. Currently Telefónica is the only telco offering IPTV services through its network in Brazil but this could well change soon because new competitors are on the way.

The country’s Telecommunications National Agency (ANATEL) is evaluating to free the IPTV licenses so no operator needs the government's approval to offer this kind of service. That is why Telefónica will extend its network in order to compete with possible future competitors