Telefónica’s mobile coverage is used by several operators, not just the company’s second brand, O2. Although the most interesting thing now is that one of the operators that has an agreement with the Spanish telecommunications company has renewed its contract with which it will be able to benefit from different advantages, including being able to offer 5G before Digi. On this occasion, it is Avatal, the operator specializing in rural areas and medium-sized cities.
In Spain, the truth is that you can find different telephone companies that make use of Movistar’s mobile network or fixed broadband. Digi and O2 are the ones that stand out the most for using this mobile broadband, but we must not forget Avatel.
It must be taken into account that this operator is known for having brought fiber optics to rural areas. However, now it will be able to benefit from Telefónica’s 5G compared to its direct competitors, such as Digi or Finetwork.
Avatel’s new wholesale contract
Telefónica and Avatel renew their wholesale contract. It must be remembered that, thanks to this, this second operator offers its customers mobile coverage in practically the entire national territory. The downside is that, for the moment, it cannot offer the 5G service to its users, although it is something that may be close to changing.
This telephone company wants to get ahead of its direct competition, in this case Digi and Finetwork, which are two operators that have not yet benefited from 5G or Movistar, in the case of Digi, or Vodafone, in the case by Finework. Therefore, one of the advantages that you will be able to take advantage of having signed a contract renewal is the fact that you will have a fifth generation mobile connection before the Romanian operator.
Therefore, the advantage of Avatel with this new contract is that it will have several benefits, although the most important is that it will be able to provide 5G services. To date, only the main brands of the large operators in Spain can be found with this connection, Movistar, Orange and Vodafone, as well as the main operators of the MásMóvil Group or low cost brands such as O2 and Jazztel.
What benefit does Movistar get?
For the renewal of this contract, a very important detail must be taken into account. Avatel is positioned as one of the best suitors to buy the assets that the European Commission wants Orange and MásMóvil to sell if they want to have the necessary permission to complete the merger between the two companies. If it does have 5G, it will be a clear candidate to obtain these assets to position itself even more in the Spanish market.
Another relevant point is that, with this, the truth is that it could become a great ally of Telefónica so that the merger does not manage to become the leader in fiber optics in rural areas and 5G in Spain. And it is that, as they assure from El Mundo, this renewal is a long-term protection against the giant that can come out of this merger, if the European Commission finally approves it.
