Telecom Market Concentrates as Changan Expands

Millicom has completed its takeover of Movistar’s parent company in Colombia, replacing the Movistar brand with Tigo and combining businesses that now reach about 35 million users in a mobile market led by two dominant players. The deal followed transfers of stakes held by EPM, Telefónica and the national government. Meanwhile, Changan Automobile is expanding vehicle sales and production plans across Latin America.

Ownership and market power

Millicom put together the Colombia Telecomunicaciones deal over more than a year: it bought EPM’s stake in January, part of Telefónica’s holdings in February and the national government’s share in late April. Colombia’s competition authority approved the integration in November 2025, subject to conditions, after finding that it affected 19 markets, including mobile services, home internet and television.

The merged company reaches about 35 million users. Claro, Colombia’s market leader, serves 40.9 million lines. The merger report describes the result as a market with two dominant players. Supporters told the competition authority that a larger company with more resources could compete directly with Claro and potentially improve networks and customer offers. The merger’s effect on competition should become clearer in the coming months.

Millicom has spent US$1.4 billion acquiring shares in the two businesses. Tigo plans to invest about US$2.6 billion over four years. Tigo Colombia CEO Carlos Blanco said the company would honor existing contracts and charge the same prices in the same way. Customers can keep their SIM cards and phone numbers. They won't need to buy a new plan or visit a store.

The company said prices won't rise automatically, though future changes remain possible and would be announced in advance under consumer-information rules. Bills are to begin displaying the Tigo logo in October. From November, phones are scheduled to show the network name change automatically, while service-point signs will change gradually.

Conditions on consolidation

The competition authority attached conditions to the merger, including fair rates for smaller operators that rent network access, transparent bundled offers and four years of independent audits. It also barred targeted campaigns against small operators. The conditions regulate how the combined company deals with competitors using its network, while the two dominant companies retain the market’s largest reported customer bases.

Claro answered the takeover with a public manifesto: “leadership is not declared, it is demonstrated.” The company said Colombia needs the capacity to move, store, process and protect information so technology can translate into productivity and opportunity. Claro said it would keep investing and improving services, but gave no figures in its statement.

Changan’s regional expansion

At Mondial de l’Auto 2026 in Paris, Changan presented its global lineup under the theme “Firmly Rooted, Growing Together” and announced upgrades to its Vast Ocean Plan. The company said it was moving toward global system-based operations and identified Latin America as a key strategic market.

Changan reported worldwide sales of 2.913 million vehicles in 2025, up 8.5% year over year. New-energy vehicles accounted for 1.109 million, up 51%, while overseas sales reached 637,000, up 18.9%. The upgraded plan calls for more than 40 new global models and overseas production capacity exceeding 800,000 units.

The company said it is shifting from product exports toward local industrial establishment in Latin America, drawing on a research and development system across five countries and nine centers. The CHANGAN CS55 PLUS BlueCore HEV, which uses iDE-H architecture and requires no external charging, will continue rolling out across the region. The NEVO Q05, described as a leading-selling family electric SUV in China, launched in Colombia and Uruguay since August 2026 and is scheduled to enter Ecuador, Chile, Peru and other Latin American countries.

Changan also said DEEPAL S05 and S07 are set to expand across Latin America, while CHANGAN DEEPAL and AVATR extend their regional presence. The AVATR CONCEPT T09 made its global premiere in Paris as part of the company’s premium-brand expansion. Changan said it plans to improve spare-parts supply, roadside support and complementary services in Latin America, work with local partners, and develop new-energy and intelligent products.