Arcotel suspends operation of the submarine cable that supplies Telconet

By El Comercio
November 20, 2024

The Telecommunications Regulation and Control Agency (Arcotel) reported on November 19, 2024 on the extinction of the enabling title of the company Cable Andino S.A, Telconet's provider. The decision was made after identifying “irregularities” in its award.

The alleged irregularities were identified nine years after the permit was issued. The enabling title was granted on June 30, 2015 and is the main legal instrument for the operation of its services.

Among the anomalies detected by Arcotel are:

1. The absence of the guarantee of faithful performance
2. Comprehensive insurance
3. The absence of financial viability for the start of its operation, and
4. The existence of a special examination with conclusions by the Office of the Comptroller General of the State.

By means of Resolution No. Arcotel-2024-0269, the agency unilaterally resolved to extinguish the enabling title immediately. In an official statement, Arcotel assured that measures will be taken within the framework of current regulations to guarantee the continuity of the service.

Cable Andino S.A. subscribers will continue to receive the service during the legal period established for the reversion of assets, estimated at approximately one year.

For its part, Cable Andino described the resolution as “illegal and illegitimate,” arguing that they were not allowed to exercise their right to defense. According to the company, this decision puts the Internet service in Ecuador at risk, since it implies the eventual state administration of a submarine cable, an activity that, in its opinion, requires specialized technical expertise.

The company announced that it will resort to the necessary legal instances to protect the rights of its customers and guarantee the quality of service, while questioning the political motivations behind the measure.

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