Vivendi, EchoStar line up pay-TV services in Brazil

Joseph O'Halloran | 01-10-2013

Lining up the opportunities presented by the forthcoming major sporting events in the country, EchoStar Technologies and Vivendi subsidiary GVT are in talks to form a joint venture for pay-TV services in Brazil.

If approved following execution of definitive agreements and all corporate and governmental blessing, the joint venture will set out to make best use of the GTV's existing market position - it is said to be the leading alternative telecoms operator in Brazil. Active in all fixed-line telecoms, high speed broadband services and pay-TV, GVT boasts that it controls the most modern fibre optic network in Brazil. For its part, EchoStar says that it will contribute its expertise in satellite and video technology and its Brazilian licences.

The objective will be to offer a national service based on IPTV and a unique high power satellite to provide leading-edge features, quality and reliability to consumers. In revealing details of its prospective plans, EchoStar stressed that its sister company DISH would play no role in any part of the Brazilian joint venture.

GVT and EchoStar say that they will aim to position their future joint venture to be headquartered in Brazil and managed by the Vivendi firm as a leader in the fast growing pay-TV market in the country which is expected to benefit from the expected higher demand driven by the FIFA World Cup in 2014 and Olympic Games in 2016.