Telefonica has started the deployment of its own 4G LTE network in Spain. Telefonica has selected Alcatel-Lucent and Ericsson as suppliers for its 4G LTE network. In the first half of this year, Telefonica reports it has already invested EUR 627 million to prepare the deployment of its ultra-broadband (UBB) network that combines FTTH and LTE.
According to Telefonica Espana CEO Luis Miguel Gilperez, Telefonica invested EUR 1.7 billion to develop its Spanish operations in 2012. The figure represents nearly 40 percent of the overall investments in the Spanish telecoms sector. The statement was made at the XXVII UIMP telecommunications meeting in Santander.
Under the terms of the contracts signed with Telefonica, Alcatel-Lucent and Ericsson will deploy LTE infrastructure in around 2,200 nodes this year, to reach 3,000 nodes in the first quarter of 2014. Telefonica plans to extend its LTE network to 60 Spanish cities with over 100,000 inhabitants this year.
Telefonica will initially use the 1,800 MHz frequency band for its LTE network, until the 800 MHz spectrum becomes available following the allocation of the digital dividend. Thus in a first phase, Movistar LTE customers will be able to access maximum broadband speeds of 75 Mbps for download and 25 Mbps for upload.
Movistar will announce pricing and availability details for its 4G commercial offer in the following days. The offer will be available in the cities of Madrid, Barcelona, Malaga and Valencia. Starting October, Movistar’s 4G services will be extended to Seville and Alicante, to be made available in Murcia, Castellon, Zaragoza, Tarragona, Cadiz, Gerona, Cordoba, Huelva, Bilbao and the rest of the province capitals with over 100,000 inhabitants by year-end.
In parallel with the deployment of its own LTE network, Telefonica is developing the agreements signed with Yoigo at the beginning of August. These agreements enable Yoigo to sell combined fixed-mobile services to its customers, while Movistar will be able to offer its customers mobile services on Yoigo’s 4G network.
Telefonica has also announced it will boost the deployment of its FTTH network, leveraging its recently launched co-investment agreements signed with Jazztel, as well as a planned increase of 35 percent of its investments in fiber deployments this year compared to 2012. Telefonica plans to expand its fiber network to reach over 3.8 million households by December 2013, from the current 2.7 million.
