Instituto Federal de Telecomunicaciones

Telmex, Telnor and Telcer must publish reference offers of wholesale services for this month

• The Federal Telecommunications Institute reported on Friday, November 7^th its resolution to the Preponderant Economic Agent (PEA) in telecommunications, who must publish it no later than 21^st of this month

• The companies have 15 days to sign the agreements with concerned concessionaires, having made the request

• These measures will allow to those different to the PEA Concessionaires to have access to infrastructure in better conditions of competition for the benefit of the users

On Friday November 7^th, companies that constitute the Preponderant Economic Agent (PEA) in the telecommunications sector (América Móvil, Grupo Financiero, Grupo Carso, Telmex and Telnor), were notified of Reference Offers of wholesale services approved unanimously by the Plenary of the Federal Telecommunications Institute (Instituto Federal de Telecomunicaciones, IFT) at its Sixteenth Ordinary Session, two days before.

Not later than November 21^st, such companies must publish the Reference Offers, which establish the specific terms and conditions under which they should provide wholesale telecommunications services and allow access to its infrastructure to other concessionaires and providers of these services in better competition conditions for users. With these offers, which will be valid until December 31^th, 2015, concessionaires PEA competitors will have the necessary information to make decisions about the marketing of wholesale telecommunications services.

Additionally, Reference Offers must meet the criteria in the Fixed and Mobile Measures of Preponderance Resolution, this points out among other things, that the Offers must not contain discriminatory or abusive conditions in the provision of services, nor should condition its provision or create unnecessary requirements for the service delivery of these.

This ensures that applicant concessionaires to compete with the PEA in providing retail services in terms of quality, added value services and rates, among others, thereby benefiting the end user.

The Reference Offers apply to the following services:

1) Marketing service or resale by the Mobile Virtual Network Operators

The marketing of PEA mobile telecommunications services (voice, SMS and data) is opened to companies known as Mobile Virtual Network Operators (MVNOs), which do not have spectrum.

2) Access and Passive Infrastructure Sharing in Mobile Networks and Fixed Networks

It will allow concessionaires of public telecommunications networks to set up their own infrastructure, taking advantage of unused capacity of PEA mobile and fixed networks.

3) Wholesaler Service of Visitor User

Will enable mobile telecommunications concessionaires other than PEA, to expand the geographical coverage of its services, for example, in regions where they do not have coverage.

5) Wholesaler Service of Leasing of Dedicated Links

It will provide a tool to regulate the provision of relevant wholesale service, including dedicated links, which serve as essential input for the provision of other telecommunications services.

It should be noted that PEA has 10 working days from notification to publish the Reference Offers on its website and to give notice of the thereof issuance in two newspapers of national circulation.

The PEA is required to sign agreements with concessionaires that ask for the provision of those services on 15 working days after being made the request.

Reference Offers are the contractual framework that provides certainty to PEA and services applicants, and promote more effective competition in the telecommunications sector.

With the approval of these Reference Offers and its subsequent application, the IFT monitors the implementation of the various specific measures to be met by the PEA, according to the legal mandate of this regulatory body.

Erratum: In the second paragraph of this press release it says "Not later than November 21^st such companies must publish Reference Offers, which establish the specific terms and conditions under which should provide wholesale telecommunications services and allow access to its infrastructure to other concessionaires and providers of these services at better conditions of competition in favor of users."

However, in the calculation of the days it was not considered that on Monday 17^th, November is a non-business day, so that the aforementioned period is not the Nov. 21^st, but 24^th of this month.