What happens next?

The privatization of Brazil's Telecomunicaoes Brasileiras SA was conceptualized with two objectives, namely, competitive pricing and rapid universal phone ownership. This would allow virtually no respite from competition for companies that won in the auction beginning with management consolidation, technology update and coping with investment programs while maintaining market share. The biggest winner was Telefonica de Espana which accounted for over $7 billion of the sale of Telesp, Tele Sudesete and Tele Leste.