Huawei May Benefit from $750 Million Mexican Network Order
Published on: 9th Apr 2014
Note -- this news article is more than a year old.
Officials from the Mexican and Chinese government have reportedly held a meeting to discuss a Chinese funded expansion of mobile phone coverage into rural areas.
The network expansion, which is expected to cost around USD750 million would target areas where America Movil is the sole mobile phone service provider. The network would be expected to be offered on a wholesale basis to the smaller rival mobile networks in order to bring competition to the monopoly areas.
Citing two unnamed sources, Bloomberg News reported that the network would likely be deployed by Huawei, with funding coming from the China Development Bank, which often supports local firms seeking orders from overseas customers.
Huawei previously won a USD1 billion order to expand America Movil's network, and that loan was also funded by the China Development Bank.
The move can be seen as part of the government's ongoing efforts to rein in the market dominance of America Movil which still has around 70 percent of the mobile market.
On the web: Bloomberg News