SOURCE: Computech


September 10, 2010 07:00 ET

Computech Delivers Auction Solution to Mexico's Telecommunications Regulator

COFETEL Leverages Automated Licensing Technologies to Successfully Allocate Spectrum Licenses, Raise Revenue & Increase Competition

BETHESDA, MD--(Marketwire - September 10, 2010) - Mexico's telecommunication regulator, Comisión Federal de Telecomunicaciones (COFETEL), and information technology consulting firm, Computech, announced the results of this summer's 1.7 and 1.9 GHz spectrum auctions, which raised a combined $640 million. By comparing and contrasting US/Mexico spectrum policies, Computech adapted its auction platform (CAP) to all of COFETEL's requirements, enabling the Mexican government to automate the auction process, which allowed for greater efficiency, optimal pricing and increased bidder participation.

Much like the FCC in the US, COFETEL regulates Mexico's broadcasting, telecommunications and wireless communications sectors. The organization sets and enforces rules on fair competition between companies in these industries, and is responsible for the release of available spectrum to the market.

Auction 20 (for 1.7 MHz band) closed after 28 days of bidding, with all 24 licenses selling, generating nearly 3 Billion pesos (approximately $230 Million USD). COFETEL subsequently closed Auction 21 after 86 rounds/30 days of bidding, with 28 of 29 licenses selling. Auction 21 alone generated over 5 Billion pesos (approximately $413 Million USD). The combined spectrum auction revenues tallied 8.2 Billion pesos for the Mexican government, with more telecommunication companies bidding for access to these spectrum bands than in past auctions.

According to COFETEL's CIO Rodrigo Gutiérrez Sández, "Many people don't realize that spectrum is a finite, and especially valuable, natural public resource. Using technology to increase competition ultimately benefits the public -- and one of the real benefits of the COFETEL/Computech relationship was increased competition among carriers."

Larry Fitzpatrick, Computech's President, added, "With a coordinated effort, strong project management skills and a great business relationship with Rodrigo and his colleagues at COFETEL, we were able to move a product from zero to production in less than a year."

According to Kris Shields, Computech's Auction Practice Lead, "We are grateful for the opportunity to work with our colleagues in Mexico City as they enhanced their auction program, used Computech's Auction Platform and allocated spectrum in a fair and transparent manner that ultimately benefits the Mexican citizens."

Computech, an information technology consulting firm, develops, implements and maintains sophisticated business-critical information systems. Computech holds contracts with the Federal Communications Commission, Mexico's COFETEL, Industry Canada, Sweden's PTS and UK's Ofcom to provide auction services. For more information, please visit

Contact Information