Operator Movistar Colombia has announced the launch of its shared network with former rival operator Tigo. This comes after a fairly lengthy wait since we reported the companies’ signing of a memorandum of understanding (MoU) to pursue a network sharing arrangement via a jointly owned infrastructure company in mid-2023.
The move was approved by the Colombian business regulator later on that year. In February the board of Colombian telco Une EPM authorised a binding agreement between its mobile subsidiary Tigo and Movistar, which is controlled by Spanish giant Telefónica and has the Colombian state as a key minority shareholder.
The agreement involves the two companies’ 2G, 3G and 4G networks. However, as readers will be aware, the two companies have also jointly bid for 5G spectrum aiming for a shared 5G rollout of this technology. Reports suggest that the two companies have jointly developed just under 100 5G sites.
The launch of the shared network will allow Movistar to significantly increase its 3G and 4G mobile coverage. Tigo has reportedly said that the shared network will boost its nationwide mobile coverage by around 22%.
As the BNamericas website points out, Movistar Colombia has been one of the operators with the lowest mobile coverage nationwide. In the last three years, it was also the operator with the lowest number of sites deployed. Claro is the operator with the largest number of sites deployed nationwide in all technologies with 10,157, followed by Tigo's 7,575, Movistar with 7,023, and WOM's 5,045.
As a united force, Movistar and Tigo serve nearly 35 million customers. The country’s population is estimated at just under 53 million.
Further complicating matters, we reported in July that Tigo owner Millicom International Cellular had entered into a non-binding MoU to acquire a 67.50% stake in Movistar from owner Telefonica Hispanoamerica, for approximately US$400 million.