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GSM standard makes Latin American inroads

Although GSM technology has scant market share in Latin America, the 2000 GSM Association Plenary in Santiago, Chile, in late April was the stage for several Latin American GSM announcements. Juan Carlos Jil, chairman of GSM Association South America, said Nuevatel PCS in Bolivia, which received a nationwide personal communications services (PCS) license last December, will implement a GSM network.

In addition, a Central American operator confirmed that a project considering the migration of its current network to GSM technology is under way.

In Peru, Telecom Italia Group said its STET Mobile Holding won a US$180 million license to operate wireless services through an auction. The company, operating Peru’s third wireless network, will offer GSM service.

The 20-year renewable nationwide 1900 MHz PCS license includes an obligation to service at least nine cities outside Lima within the next two years. The carrier has an option to apply for other licenses for additional services, including basic and long-distance telephony.

Telecom Italia said the mobile telephony penetration in Peru is expected to increase from its current 4 percent to 14 percent during the next five years.

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