SAO PAULO, Brazil-The auction of three band D licenses in Brazil that began on Tuesday and ended the same day drew a total $1.33 million for the government. Telecom Italia Mobile companies took two of the three licenses, while Brazil’s fixed-line carrier Telemar won the third license.
Bid amounts were about 20 percent more than the minimum required bids set by Brazilian telecom regulator Anatel. An auction of three band C licenses was canceled last week due to a lack of interest. Band E licenses are scheduled to be awarded in March.
Telecom Italia won GSM licenses for region two (Brasilia) for $274 million and region three (Sao Paulo) for $504 million. The Italian company already operates in 11 states through three affiliate companies-Tele Nordeste Celular, Maxitel and Telecelular Sul.
“Thanks to these licenses, TIM will be able to carry out its project of creating the first pan-American GSM network,” TIMS said in a statement.
The company plans to invest $1.5 billion to build out its two mobile networks.
Telemar won a license in region one, where it currently provides fixed-line service, for $556 million. The president of Anatel, Renato Guerreiro, canceled the auction of band C licenses marked for Feb. 6 in Rio de Janeiro, Brazil. Guerreiro explained that the consortium Serranby-the only group set to participate in the auction-was disqualified for not having presented warranties of 10 percent of the minimum price of the licenses.
Guerreiro said the date of the auctions of the E bands, scheduled March 13 , should be maintained by Anatel and that a new date will be marked for the auction of the three band C licenses.