ANTEL


ANTEL is Uruguay's government-owned telecommunications company, founded in 1974 as a separate legal entity after spinning off the telecommunications division of UTE, which had the monopoly of landline telephony since 1931. The company has a monopoly of landline telephony and data services in the country. They also provide mobile phone services and Internet-related services, being the only provider of ADSL and land-line data services because of the monopoly situation.

History

In 1992, under the presidency of Luis Alberto Lacalle, a privatization of all government-owned companies was attempted. However, a later referendum revoked the privatizations law, being Pluna the only company to be successfully privatized to Varig. Antel enjoys a monopoly on land lines in Uruguay.
As of 2008 ANTEL's monopoly status also forbids cable operators even in larger cities, such as Montevideo, to provide data services or voice services along with their cable service.
Antel started deploying fiber to the home in Montevideo in 2012, aiming to switch 240,000 clients that year with a cost of US$180 million. Previous DSL subscribers keep their contract, or may switch to faster Internet Vera plans: 150/12 Mbit/s for US$72/month, 120/12 Mbit/s for $61/month, 60/10 Mbit/s for $49/month, or 30/4 Mbit/s for $32/month, throttled back to 10% of those speeds after a 700 / 350 / 400 / 150 GB cap. IP television, voice over IP and connections in the department capitals are expected for 2013 and 2014.

Telecommunications tower

ANTEL owns Uruguay's tallest skyscraper, the Telecommunications Tower, which has 160 meters and 35 floors. It is the tallest building in the country. It was designed by architect Carlos Ott. It is situated by the side of Montevideo's bay.

Satellite telecommunications

Uruguay installed its first satellite earth station in 1985 followed by two Intelsat earth stations in 1990. ANTEL, the Aeronautics and Space Research and Diffusion Center and the UdelaR launched the first national satellite for telecommunications on June 2014, the Antelsat.

Private competition

Antel has been granted monopoly power over most forms of communication carriage in Uruguay, except for wireless voice, wireless internet service, wireless broadcast TV and cable TV.
ServiceAntel offeringPrivate offerings
Wireless InternetYesYes
Wireless Telephone YesYes
Wireless Telephone YesForbidden
Wireless Broadcast TVNoYes
Internet over landline YesForbidden
Telephone over landlineYesForbidden
Broadcast TV over landlineNoForbidden
Internet over coax cableNoForbidden
Telephone over coax cableNoForbidden
Broadcast TV over coax cableNoYes
Internet over fiberYesForbidden
Telephone over fiberYesForbidden
Broadcast TV over fiberYesForbidden

In early August 2016 the Uruguayan supreme court issued a ruling in favor of cable TV company Monte Cablevideo S.A., declaring unconstitutional the law that made it unlawful for cable TV companies to offer Internet service. If this stands, it could represent an historic opening of the hitherto rigidly controlled Uruguayan wired Internet market, a sort of fall of the Berlin Wall in Uruguayan telecom. It would mean that for the first time in Uruguayan history consumers would have a choice of providers when ordering wired Internet service. It would also mean that Uruguay would join the almost unanimous majority of nations in the Americas where cable-delivered Internet is on the menu of Internet access choices After the supreme court's announcement there was speculation that the Uruguayan executive branch may continue to block the necessary licenses through its telecom regulating agency, though without a legal basis the executive's position would presumably be less tenable. At the end of August the supreme court issued a second similar ruling on the same matter, this time authorizing a different cable company - Nuevo Siglo - to provide the services in question
For information on specific competitors to Antel in the services where competition is allowed, see Telecommunications in Uruguay

Financial Performance

For the fiscal year ending Dec 31, 2011, Antel had revenues of US$899,361,905. This represents 2% of Uruguay's 2011 GDP, putting Antel in the exclusive league of Uruguayan mega-corporations, with a share of the economy slightly higher than that of Chevron in the US. Calculated on a per-capita basis, in 2011 Antel collected US$267 of revenue per inhabitant of Uruguay In FY 2011 Antel had net profit of US$155,630,000, or 17.3% of revenues.
Antel has been involved in high profile and somewhat controversial investments, notably a) the purchase of the Telecommunications Tower more recently the announcement of a planned investment of US$40,000,000 in a sports arena.

Disputes

By the year 2014, Antel started the project of "Antel Arena", a basketball field and stadium, this project should be banned by the Uruguayan national constitution, that does not allow any state-owned enterprise to operate out their indicated duties. This project is being carried out anyway.
Many people criticize the amount of money Antel spends in advertising. Even though Antel has a monopoly over some services they are known to advertise in almost every Uruguayan media.