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Brazil’s Postal Service to Launch MVNO at Last

Brazil’s Postal Service to Launch MVNO at Last

Brazil’s Postal Service to Launch MVNO at Last

Brazilian state postal service Correios is set to launch its mobile virtual network operator (MVNO) operations next month, beginning with the city of São Paulo.

Belo Horizonte and federal capital Brasília will be next in line for the service. The goal is to reach all the states in the country by the end of this year, the company said in a statement.

Correios’ MVNO service, to be branded Correios Celular, has been expected for more than two years. A May 2014 decree from former communications minister Paulo Bernardo authorized the company to enter the mobile telephony fray.

Delays in the structuring of the business, in addition to economic and political headwinds, among other things, ended up stalling the initiative.

There are two types of MVNO licenses granted by regulator Anatel in Brazil: the autorizada model, a kind of ‘full-MVNO’ in which the company uses the network and frequency of a carrier, but has the obligations of a typical mobile operator; and the credenciada model, under which the MVNO basically sells chips and has fewer obligations.

In the second case, another company, known as mobile virtual network enabler (MVNE), is responsible for the telecommunications support infrastructure.

In the case of Correios, Brazil’s EuTV will be the enabler after winning a tender in May last year. The MVNE will be charge of network infrastructure and billing matters for the postal company. BNamericas spoke last year with EuTV’s CEO Yon Moreira, who revealed that his company had closed contracts with two would-be MVNOs, one of which was linked to an evangelical church.

Correios’ MVNO will use the network of mobile operator TIM. Initially, Correios Celular will sell only prepaid plans and top-ups, targeting lower-income customers and taking advantage of the network of thousands of agencies it maintains across Brazil.

In a second stage, in 2018, the company considers starting to sell postpaid plans.

By Pedro Ozores

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