BUENOS AIRES (Dow Jones)–Telefonica de Argentina, the local unit of Spain’s Telefonica SA (TEF, TEF.MC), expects sales from its fixed-line Internet service to grow by 30% in 2012 while the mobile Internet segment is likely to surge 80%, the company said in a statement Wednesday.
Sales figures weren’t provided.
The company plans to invest 10 billion pesos ($2.3 billion) between 2012 and 2014 to prepare for the sales growth with increased broadband and telecommunications capacity, Telefonica de Argentina said.
That follows in investment of ARS2.6 billion in 2011.
Telefonica de Argentina is the largest telecommunications provider in Argentina and shares a virtual duopoly on fixed-line services with Telecom Argentina SA (TEO, TECO2.BA). Both companies have seen a sharp rise in sales in recent years as Internet and cell phone use has surged amid brisk economic growth.
Telefonica de Argentina says it has 23 million fixed and mobile telecommunications accounts, with 17 million of those through its Movistar cellphone service. The company has more than 3 million broadband accounts and 25,000 kilometers of fiber-optic cable capacity in the country.
-By Shane Romig, Dow Jones Newswires; 54-11-4103-6738; shane.romig@dowjones.com
Source: http://online.wsj.com