Brazil: “Anatel To Rule on TI-Telefônica Deal in October?”

In the dark, no cats are grey. See also: BBC 2.0: False Dilemma as a Way of Second Life.

Telefónica and a group of investors bought control of Telecom Italia last April. The case file needs to be passed to Anatel because the companies offer mobile network services in Brazil (Vivo and TIM) that overlap in various areas, but Brazilian law does not permit this to happen under the command of a single group of shareholders.

Agência Financeira (Portugal) reports:

A Agência Nacional de Telecomunicações (Anatel) deve tomar uma decisão sobre a entrada da operadora espanhola no grupo de controle da Telecom Italia no próximo mês de Outubro.Segundo a «Reuters», que cita como fonte um dirigente da agência, a operação só poderá ser determinada com a presença em Brasília de todos os cinco membros do conselho director, o que deve acontecer a partir do dia 8 de Outubro.

Brazil’s National Telecommunications Agency (Anatel) is due to take a decison on the taking of a controlling stake in Telecom Italia by the Spanish operator in October. According to Reuters, which cites as a source an [anonymous?] director of the agency, the case can only be decided when all five members of the executive board are present in Brasília, which should be the case starting on October 8.

A Anatel, por sua vez, não confirmou esta data e anunciou apenas que dois conselheiros estão provisoriamente ausentes. José Leite Pereira Filho está a viajar ao serviço da agência, sendo que depois da viagem deverá entrar em período de férias, regressando às actividades na agência apenas a 8 de Outubro.

Anatel, however, is not confirming this date, announcing only that two board members are on provisional leave. José Leite Pereira Filho is traveling on behalf of the agency, after which he is to take a vacation, returning to work on October 8.

IDG Brasil announced breathlessly in June 2006 that Leite Pereira would be the new ANATEL president. They were wrong, but at least they named the source of the prognostication.

Nelson Jobim, now Minister of Defense, announced in November 2006 that the appointment of his son-in-law to the ANATEL board was imminent. It wasn’t. The “Brazilian FCC” — sort of — is presided over by Ronaldo Sardenberg, after other bouts of fear, uncertain and doubt over what the nomination process would yield.

I tend to think of this as the “nam myoho renge kyo” theory of public relations: State a desired outcome as though it were already a done deal, as a way of pressuring decision-makers to make your dreams come true.

This works best if you can launder your “nam myoho renge kyo” gambit through a compliant journalist with a reputable news brand.

Much as, oh, say, Cheney laundered the aluminum tubes story through Judy Miller & Co.

See also

Já o conselheiro Plínio Aguiar deve regressar às suas funções na autarquia a 15 de Outubro, ou seja, depoisa do período de férias.

Except that commissioner Aguiar is due to return to work on October 15, that is, after vacation.

Deste modo e de acordo com as informações da Anatel, o conselho director apenas estará completo em meados de Outubro. Como a reunião semanal da principal instância de decisão da agência acontece todas as quartas-feiras, o encontro seguinte seria a 17 de Outubro.

Thus, according to official information from Anatel, the executive board will not have a quorum until mid-October. Since the weekly meetings take place on Wednesdays, the next meeting would be on October 17.

You see how this works?

An anonymous Anatel source tells Reuters one thing. They are apparently wrong.
An official source tells this competent little Portuguese business publication another.

You would probably be better off reading the competent Porchugos.

Brazilian officials who are ostensibly on the same team do work to ratfink one another in the press from time to time, after all.

Witness the cheerful leakfest over the issue of cameras in the Supreme Court amplified by the gabbling Miriam Leitão:

Reuters, I find, tends to have a lot of difficulty predicting the future.  Especially for a world-class risk management systems vendor.

The case that left me most dumbstruck in this respect was its report last year — during the elections season, naturally — that the incumbent candidate “has no plan for public security policy.” See

This was gabbling nonsense.

The fact was that Lula II made no changes to the extensive, substantial and reformist public security policy developed under Lula I, and finally — and why the long delay, anyway? — started implementing it.


One of the first things that happened during Lula II on the public security front was the arrest of the biggest bicho mobsters in Rio de Janeiro.

For bribing judges. Senior judges. And owning cops. Tons and tons of cops. Senior cops. Including senior cops turned politicians.

If you do not understand the historical significance of borking the Brazilian jogo do bicho — and police who run death-squads and taking payoffs from the drug traffic — you do not understand a damn thing about the issue of public security in Brazil, or the effectiveness or lack thereof of policies proposed to address it.

But it is not something you will read about it Reuters.

Me, I read all the policy documents from the Ministry of Justice — there are a ton of them — and I said to myself, “Well, okay, let’s see if they can actually get this done.”

Reuters implied that no policy documents even existed.

Reuters gabbles.

It seems to want to be a player, not a play-by-play announcer.

So it is no real surprise to read that Reuters is factually challenged in this matter as well.

Caso o assunto entre logo em discussão, poderá ainda sofrer adiamentos uma vez que um dos conselheiros pode pedir uma avaliação da documentação do caso, informou a assessoria da Anatel.

Even if the case is immediately taken up, it could still suffer delays, given that one of the commissioners could request time to study the documents in the case, the Anatel press office says.

Recorde-se que a Telefónica e um grupo de investidores compraram o controlo da Telecom Italia em Abril passado. O dossier precisa de passar pela Anatel uma vez que ambas as companhias operam serviços de rede móvel no Brasil (Vivo e TIM) que se sobrepõem em várias áreas, sendo que a legislação não permite que isto acontece sob o comando de um único grupo accionista.

Recall that Telefónica and a group of investors bought control of Telecom Italia last April. The case file needs to be passed to Anatel because the companies offer mobile network services in Brazil (Vivo and TIM) that overlap in various areas, but the law does not permit this to happen under the command of a single group of shareholders. 

Quanto mais tempo a Anatel demorar a analisar a mudança de controlo da companhia italiana, mais a Telefónica e os seus sócios demorarão a pagar à Pirelli pela participação comprada.

The more time it takes for Anatel to analyse the transfer of control from the Italian firm, the longer it will take Telefónica and its associates to pay Pirelli for the shares they acquired.

Now there is an illuminating statement, in the plainest possible Portguese.

Bookmark that news service as a candidate component of the NMM “open-source Bloomberg box.”

I am getting the feeling — aren’t you? — that Mercosul and other Latin American regulators have been swapping stories and are getting really, really pissed off at Telefónica.

Even the Garcia government in Peru, in case you are inclined to argue, Larry Rohter-style, that this is all a commie plot.

Vigilante consumerdom: angry Argentines spank the Spaniards. Source: Iconoclastas.

I am mostly following the TIM-Claro case, per se, in offline mode, however, because otherwise, blogging tends to overlap with work, or potential work.

I do, for example — shameless plug! — offering clipping and translation services in which, instead of clipping things merely because they interest me — and I admit it, my personal interests can be idiosyncratic, but hey, it’s my blog — I clip and translate things that interest you.

At any rate, here, I try to just stick to governance issues involving business journalism and public relations.

Notable trend here in Brazil, for example, I think: going after the “gabbling FUD-mongering for fun and profit” James “Business Ecosystem” Moore Memorial school of business journalism. See


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