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Brazil: Future of TIM more uncertain now than ever

By  |  February 18, 2014

The future of Brazilian wireless operator TIM is now more uncertain as ever as owner Telecom Italia shot down rumors it plans to divest the company.

Reports speculated that TIM would have to be sold off due to Spain’s Telefonica acquiring more control over the unit due to a recent buyout of a Telecom Italia holding company. Brazilian regulator CADE was said to have given Telefonica a timeline to divest assets in the nation, as there are competition concerns that Telfonica will own both TIM and Telefonica Brasil in the nation.

But Telecom Italia has upended the discussion, offering a statement that wholly denies any plans to divest TIM. Instead, Telecom Italia head Marco Patuano said he plans even further investment in the South American nation.

In commenting on the matter in Brazil, reports say the executive said “You have to ask Telefonica. It’s not a problem of Telecom Italia.”

Full Content: Wall Street Journal

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