Guillermo Francos on the purchase of Telefónica by Clarín: «We have to analyze whether there is a monopoly»

Chief of StaffGuillermo Francos referred to the purchase of Telefónica Argentina by Telecom , a company controlled by Grupo Clarín . In an interview with A24 , the official said that the Government will analyze whether the operation creates a monopolistic situation.

"It is an agreement between private parties, between Telefónica and Telecom. In any case, there is a decision that will be taken in political terms. The Government has to analyse with the corresponding bodies whether a monopolistic situation is being created here or not, and then it will make a decision," said Francos .

The official stressed that the process is at a stage of "public exposure." In this context, the Executive will evaluate the transaction and decide whether to approve or reject it. "We are now at the stage of public exposure of the operation, and the Government will now take the intervention that is its responsibility," added the Chief of Staff .

The acquisition of Telefónica Argentina by Telecom has caused concern in the Government . This is because the Clarín Group already owns Personal and Flow , leading companies in mobile telephony, internet and television. If the merger is completed, the company would have significant control of the market.

The operation could lead to a situation of dominant position, which would impact competition in the telecommunications sector. For this reason, the National Communications Agency (ENACOM) and the National Commission for the Defense of Competition (CNDC) will analyze the effects of the transaction.

Both bodies will have to determine whether the purchase complies with current regulations or whether it represents a risk to free competition. The objective will be to guarantee a fair market and avoid abuses of a dominant position that harm consumers. In addition, the impact that it could have on the quality of service and on the rates paid by users will be assessed.

The Government will closely monitor the development of the process and assess its implications. The Executive stressed that any decision will be made based on the technical reports of the regulatory bodies.

The review of the transaction will include a detailed analysis of its impact on competition. It will also consider how it could affect users and other players in the sector. It will also analyse whether the transaction could lead to a reduction in investment in infrastructure or technological innovation within the telecommunications industry.

For the moment, the process is in a preliminary phase. However, the discussion about the possible monopoly and its consequences remains at the center of the political and economic debate in the country. In this regard, different sectors have expressed concern about the impact it could have on the plurality of voices within the media and digital ecosystem.

The agencies in charge are expected to issue their first reports and recommendations in the coming weeks. Based on these results, the Government will make a final decision on the viability of the operation and the possible conditions that could be imposed for its approval.