MEXICO CITY, Oct 14 (Reuters) - Mexico's government said onMonday it had reached a deal with concession-holders, includingMVS Multivision, to recover 68 percent of available space in thecountry's disputed 2.5 GHz spectrum, which could boostcompetition in the telecoms sector.
The government decided to reclaim the spectrum after MVS andother companies failed to use it to develop high-speed networks.The issue had been tied up in legal wrangling for years.
"Recovering this spectrum for the nation strengthens thestate's ability to achieve greater broadband service coverage,"the ministry said.
Ifetel, a new telecoms regulator created under a majortelecoms reform passed earlier this year, will be able toauction the concessions totaling 130 MHz, immediately if itwants to, Mexico's transport and telecommunications ministrysaid in a statement.
It said nine out of 11 concession holders, including MVSMultivision, had voluntarily given up shares of the spectrum.
It added that concessions for the remaining 60 MHz had beenextended for 15 years.
President Enrique Pena Nieto's telecom reform seeks toincrease competition in phone and Internet services, which aredominated by Carlos Slim's America Movil, and intelevision, where Emilio Azcarraga's Televisa holdssway.
The reform includes provisions to "guarantee the optimal useof the 700 MHz and 2.5 GHz bands under the principles ofuniversal, non-discriminatory, shared and continual usage."
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