Considering the suspension in the negotiation process of contracts with telephone companies that expire in August with Clara and in November with Movistar, the Government assures that the service of these companies will not be suspended.

The executive body carries out legal consultations with the State Attorney’s Office regarding a possible extension. This was stated by the Minister of the Government, Henry Cucalón, this Monday, July 3, 2023, in an interview with ecuavisa.

Arcotel’s resolution pauses negotiations with Clara and Movistar for 120 days when the contracts expire

“I can guarantee and report that the legal structuring of what the contract is and the negotiations have been done and there will be no interruption of service under any circumstances. There are full guarantees that there will be no service interruption,” he said.

He added that legal consultations are being conducted with the State Attorney’s Office. “It is important here that things are done well, that they are done legally and that this never affects the continuity of the service. For the Government, it is a priority to have a well-contracted service,” said Cucalón.

The 20-year contract with OCP is about to expire and there is a discussion about its extension or returning the infrastructure to the state

The Telecommunications Regulatory Agency (Arcotel) has suspended for 120 days the negotiations between the Government and telephone companies for contract renewal. He did this through a resolution issued on May 25. This caused alarm both in the union of telecommunications companies and analysts, as well as among users, what could happen if a definitive decision is not made by August — when the contract with Clara expires — and by November — when it expires with Movistar.

The Association of Telecommunications Companies (Asetel) indicated that with Arcotel’s decision 2023-0097 of May 25, the suspension is given until all the necessary information is collected, but service continuity is not guaranteed.

A clear statement from the Telecommunications Administration was expected that, for example, along with the suspension of the negotiation process, the term of the contract is being extended. Now the Minister in the Government guarantees that there will be no suspension of services and that the extension has already been consulted with the State Attorney’s Office.