Telecom Argentina
| Company type | Sociedad Anónima |
|---|---|
| Industry | Telecommunications |
| Predecessor | ENTel |
| Founded | 1990 |
| Headquarters | Buenos Aires , Argentina |
Area served | Northern Argentina, including Buenos Aires region |
| Products | Fixed-line telephony, mobile network (Personal), internet access (Arnet-Fibertel), cable television (Cablevisión/Flow) |
Telecom Argentina S.A. stands as the foremost telecommunications company serving northern Argentina, including the Buenos Aires region. Previously known as Sociedad Licenciataria Norte S.A., it is widely recognized domestically simply as "Telecom."
Together with Telefónica de Argentina, which operates in the southern region, Telecom established a fixed-line duopoly until 1999. Its mobile network services are marketed under the Personal brand, while internet access is provided through Arnet-Fibertel cable modem services. Additionally, cable television is offered via Cablevisión, now branded as "Flow."
History
The privatization of Argentina’s state-owned utilities, including telecommunications, took place in 1990. The former monopoly ENTel was divided, with Stet International (later Telecom Italia) and France Télécom acquiring rights to the northern segment, and Telefónica obtaining the southern part. Both entities were granted exclusive seven-year operating rights starting November 8, 1990. Subsequently, Stet and France Télécom sold their shares to the Argentine Werthein Group.
Telecom inaugurated its Puerto Madero headquarters in 1998, a building designed by Kohn Pedersen Fox.
Although inheriting ENTel's outdated infrastructure and lengthy service delays, Telecom quickly revamped its operations into profitable enterprises. Initially, customers faced waiting periods of up to four years for new telephone lines and repair times extending 40 days. Over an eight-year span, Telecom invested close to $1 billion annually to modernize its network—upgrading copper access lines, deploying cutting-edge SDH fiber-optic long-distance networks with capacities of 2.5 Gbit/s, and refurbishing central offices. By 2005, nearly 98% of ENTel’s infrastructure had been replaced.
In 2005, Telecom undertook Argentina’s largest debt restructuring at $1.5 billion, overseen by the Bank of New York acting as trustee and paying agent. This process involved exchanging $2.8 billion in outstanding liabilities for new notes and cash payments distributed among over 1,100 creditors.
In October 2008, facing financial difficulties with debts surpassing $3.3 billion, Telecom halted debt repayments.
The merger completed in 2017 with Clarín Group’s Cablevisión resulted in the creation of Argentina’s largest mass media company. Government approval followed in June 2018, broadening Telecom’s footprint into internet service provision and mobile telephony sectors.
By March 2019, Telecom rebranded its Arnet ADSL internet service as Fibertel Lite to unify its broadband product portfolio.
Personal
Telecom Personal, a subsidiary of Telecom Argentina, ranks among the trio of mobile operators active in Argentina. In November 2011, Personal introduced a refreshed brand identity featuring a handwritten logo with nine distinct colors to differentiate itself from the parent company’s former branding.
Personal owns a 67.5% share in Paraguayan mobile carrier Núcleo S.A., which has operated under the Personal brand since 1998. The remaining 32.5% ownership stake belongs to Paraguayan firm ABC Comunicaciones.
Telecom Argentina collaborates with Uruguay’s state telecom provider ANTEL to resell Antel services within Uruguay. Nonetheless, Mexican operator Claro has disputed regulatory approval for Personal’s market entry in Uruguay.
Ownership
As of 2019, the ownership distribution of Telecom Argentina was approximately:
- 31.53% held by Fintech Telecom LLC
- 18.75% owned by Cablevisión Holding S.A. (CVH)
- 20.06% controlled by VLG S.A.U.
- 29.65% represented by publicly traded shares
- 0.01% accounted for Class C shares
Criticism
Telecom Argentina has been criticized for its limited efforts to deliver subsidized services in rural regions, primarily restricting its involvement to installing public payphones. The company’s pricing strategies have also come under scrutiny, especially the use of a per-minute billing system for local calls, which differs from the flat-rate models commonly adopted elsewhere.
Proponents contend that the dense population within the AMBA region (Greater Buenos Aires) renders flat-rate local service financially impractical. Due to the lack of fixed-rate options for both local telephone calls and internet access, many consumers turned to Arnet ADSL, Telecom’s internet service provider branch. The firm encountered negative reactions after introducing a 4 GB monthly data limit on ADSL plans and charging additional fees for exceeding this threshold—a decision that was subsequently withdrawn.
Further complaints highlight the lack of transparency regarding pricing details and contracts that exclude taxes and other significant information, thereby affecting customer clarity.
See also
External links
- Articles with short description
- Companies listed on the Buenos Aires Stock Exchange
- Companies listed on the New York Stock Exchange
- Telecommunications companies established in 1990
- Companies based in Buenos Aires
- Communications in Paraguay
- Telecommunications companies of Argentina
- Internet service providers of Argentina
- Argentine brands