America Movil goes after AT&T with free US, Mexico roaming

Nieuws Algemeen Mexico 17 JUL 2015
America Movil goes after AT&T with free US, Mexico roaming
America Movil reported second-quarter revenues in its home market Mexico down 2.4 percent year-on-year to MXN 68.1 billion. Service revenues fell 7.5 percent amid continued pressure on voice revenues from regulation and competition. Voice revenues plummeted 19.2 percent in the fixed-line market and were down 14.6 percent in mobile. Data revenues expanded 2.9 percent on mobile and 4.4 percent over fixed. 

Second-quarter EBITDA came in at MXN 28.2 billion, down 7.3 percent from a year earlier. Telcel grew its customer base by 559,000 customers in Q2, of which 293,000 postpaid, to finish June with 72.6 million mobile clients, or 1.9 percent more than a year before. In the fixed market, Telmex added 52,000 revenue-generating units, for a total 21.6 million, down from 22.3 million in June 2014. 

America Movil said the consolidation and new regulation in the industry had laid the groundwork for increased competition, as well as more investment to increase services penetration. Responding to the challenge of AT&T's entry on its home market, America Movil announced the launch of its 'Sin Fronteras' plan, allowing its Mexican and US postpaid customers to roam in the respective countries at the same cost as domestic communications. This includes voice, SMS and data with no roaming surcharges. 

America Movil said "We will lead the integration of the Mexico and USA telecoms market, one with 440 million POPs," despite its main competitor AT&T already holding a leading market share with around 130 million mobile customers. America Movil's US brand Tracfone had 25.7 million customers at the end of June. 

Categories:

Algemeen

Companies:

America Movil,  Telcel,  Telmex

Countries:

Mexico

Tags:

Voice services, Data services, Messaging, Financial figures, Internet Access, Pricing

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