Oi sees the near disappearance of fixed telephony and prepares for segregation of the copper network


Oi is working on a restructuring of the company in order to isolate the fixed telephony area. The objective, explained Rodrigo Abreu, CEO of the operator, is to segregate the concession area, considering that the service has its days numbered.


After reporting the different stages the group has gone through since 2016 and the strategic recovery plan, Abreu highlighted: “The last element is to resolve the legacy that remains, which is the resolution of the fixed telephony concession. We are restructuring the company to segregate the entire copper wireline operation to start deconstructing something that will almost disappear in the next three years. We are segregating this to give all specific focus on reducing the cost of this legacy as much as possible, whether consolidating operations or acting on the regulatory front, in arbitration with Anatel, which for us is very critical”, he said.

Last year, the Oi group sold towers, data centers, real estate and Oi Móvel. This year, it sold control of the Infraco fiber optic unit, which has already been renamed to V.tal. What was left of the company is a smaller and lighter operation, recalled Abreu, focused on providing services to fixed broadband customers and the corporate market.

The fixed telephony area is part of the company’s business as a concessionaire. At the moment, the tele is questioning the concession contracts with Anatel. There is even an open arbitration process, which the executive hopes will be concluded in a positive way for Oi, resulting in a large reduction in obligations related to the General Plan for Universal Service – which in the case of tele, reaches R$ 2.4 billion .

Abreu warned that the company is currently undergoing a process of intense cost reduction, which he acknowledged to be “painful”. But that is fundamental for the company to almost double its current revenue in three years, and reach sales of R$ 15.5 billion. Even in the face of the near end of fixed telephony, a segment in which it has 9 million customers.