SAO PAULO (Reuters) – The president of Telefônica Brasil said on Thursday that, although the 5G auction scheduled for next week does not have a collection bias, the investment obligations defined in the notice cannot be assumed by any investor.
Anatel representatives said the day before that the Treasury could raise 3 billion reais with the 5G auction, while the investment obligations foreseen in all frequency bands that will be made available in the November 4th dispute are close to 50 billion reais.
“We invest an average of 8 billion reais a year in Brazil… to be a relevant group requires a lot of investment,” stated the CEO of Telefônica Brasil, Christian Gebara, in an interview with journalists on Thursday.
“It’s a market that still has an infrastructure gap, it requires a lot of investment. I don’t think it’s for anyone,” said the executive in response to a question about the 10 new entrants who expressed interest in participating in the auction.
“The obligations (of the auction) are many, in the long term, and I also think that it is not for any investor to assume this type of obligation. Everyone will have to do the math to understand what kind of profitability an auction like this can offer”, said Gebara.
(By Alberto Alerigi Jr.)
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