MEXICO CITY Dec 23 Mexico's second-biggest
broadcaster, TV Azteca, said on Monday it had won a contract to
build and operate a fiber optic network in Peru that will cover
about 80 percent of the Andean nation, the company said in a
Construction of the network, which will extend about 13,400
kilometers (8,300 miles), will begin in early 2014 and will take
about two years to complete, the statement said.
A Peruvian official said the government will spend up to
$333.2 million on the project.
A spokesman for TV Azteca, however, said the project will
cost the government about $760 million over its 20 year life.
Carlos Paredes, Peru's transportation and communications
minister, said in a statement that the network will cut Internet
connection costs in the country by up to 80 percent.
TV Azteca, is controlled by billionaire
businessman Ricardo Salinas, is currently building a fiber optic
network in Colombia, the statement added.
TV Azteca and its main competitor, Televisa,
together have a 95 percent share of Mexico's broadcast
TV Azteca shares closed up 0.92 percent at 6.59 pesos per
share after the news.
The government earlier this year passed a sweeping overhaul
of the telecommunications industry that aims to bolster
competition in both the phone and TV markets.