Millicom targets Costa Rica DTH with TeleCable operation
DetailsJuan Fernandez Gonzalez | 23 December 2014
Keeping its strong bet on Latin America, Sweden's telco Millicom is to acquire the business of TeleCable Econůmico TVE and merge the company with its Costa Rican subsidiary, thus increasing participation on direct-to-home (DTH) and cable TV.
The agreement is subject to regulatory approval, which is why the Millicom Cable Costa Rica subsidiary, trading as Tigo, has made an application for the agreement to be sanctioned by the Superintendencia de Telecomunicaciones (SUTEL), the industry regulator in the country.
Tigo provides residential services such as cable and satellite TV, internet and home phone IP. It also provides data connection services to the corporate market, high speed internet, IP business telephony and many other local services.
Although most of Millicom's international operations are still focused on mobile business, pay-TV has been gaining importance since the beginning of the year, especially in the Central American region.
Complementing cable platforms across Tigo territories, the telco launched a DTH platform in June, which is operating in Costa Rica, Honduras, El Salvador, Guatemala and Bolivia, gathering 45,000 subs in one quarter. Tigo Millicom's satellite TV has found great acceptance in Costa Rica, with 12,000 new clients since last June.