Argentina’s local cablecos want to delay convergence


Details

Juan Fernandez Gonzalez

| 15 April 2016




Argentina’s cable TV providers don’t believe they are strong enough to compete against telcos once convergent pay-TV services are allowed in the country, so are asking for a delay of five years.


cableIn a territory in which cable operators are strongly established as TV providers, many, especially the smaller ones, are wary of the telcos’ entrance into pay-TV market following convergent services being allowed.

The country’s government has set a two-year period, extendable to three years, during which time both telcos and cable providers should prepare to enter a free competition market.

“Convergence is a reality, an awaited modernisation of the industry,” said Jorge Di Blasio, president of Red Intercable, the organisation of small and local pay-TV providers. “But two or three years are not enough for cablecos, especially in the country’s inland, to carry out the necessary investments to compete against international telecom giants.”

Therefore, Red Intercable has a plan for a five-year period, extendable to ten, during which time telcos would be banned from offering pay-TV services.

For cablecos, the debate around convergence has mostly focused on whether telcos can or cannot offer pay-TV, but no one is talking about cable operators entering other telecoms businesses. “This debate should be an opportunity to include other convergence aspects, such as access to mobile telecoms for every operator within the market,” added Di Blasio.