Miami, FL–(HISPANIC PR WIRE – BUSINESS WIRE)–April 20, 2005–The Cisneros Group of Companies today announced the first rollout to consumers of Movida, the nation’s first Mobile Virtual Network Operator (MVNO) to offer pay-as-you-go wireless communications services specifically targeting the more than 40 million Hispanics living in the United States.
Teaming with Sprint PCS and Wal-Mart the Cisneros Group’s Movida unit is now offering Hispanic consumers in Phoenix and San Diego the first nationwide wireless voice and data service designed to serve the largest and fastest-growing ethnic segment in the United States. Based upon enthusiastic preliminary market response in these two key markets, the Cisneros Group has decided to accelerate the rollout of Movida to the rest of the U.S. by year-end, well ahead of the original rollout plan. This includes launching Puerto Rico in August, Florida/Georgia in September, and Illinois/Michigan in October.
Movida is offering wireless voice and data communications using the Sprint nationwide wireless network, with rate plans that cater to the needs of the domestic Hispanic market. Through its arrangement with Wal-Mart, Movida now sells Movida-branded handsets and cards in Wal-Mart stores in Phoenix and San Diego. Other retail locations will be added in stages during the first half of 2005. Movida is now offering added-value features and services that are both culturally and geographically relevant to Hispanic consumers, many of which will be provided through its relationship with its primary investor, Cisneros.
The Hispanic population is expected to grow to 17 percent of the U.S. domestic population by 2010. This, in addition to the fact that over 90 percent of Latin American wireless business comes from pay-as-you-go type services, clearly demonstrates the size of this opportunity.
Enrique J. Garcia, the veteran Latin American telecommunications executive recently appointed as the first Chairman of the Board of Movida, said, “We want to thank Sprint PCS and Wal-Mart for their support in this first stage of the launch of Movida and look forward to their support in the special events and other promotional activities planned for the second phase of our rollout. To better serve our customers, we will also accelerate the introduction of additional handsets and a camera phone.”
Movida leverages the Cisneros Group’s expertise in servicing the U.S. Hispanic market. The new company also incorporates Cisneros’ ownership and relationship to many content-providing firms in the hemisphere –such as Univision and Venevision-, as well as the Cisneros Group’s many years of experience marketing to the Hispanic segment of the population in the United States. Cisneros also brings expertise in the pre-paid mobile services market through successful participation in Telcel Venezuela, Venezuela’s largest wireless provider and an industry pioneer in prepaid distribution.
Appropriately, all Movida services will be offered primarily in Spanish. Its customer care mantra, “For English press two,” illustrates its Spanish focus, as well as Movida’s name itself, which means “on the move.” Movida’s marketing programs are not traditional programs simply translated into Spanish. Instead, they exemplify the specific nuances of the language and culture as well as the needs of the segment.
About Movida
Movida Communications, Inc., which is majority-owned by the Cisneros Group, is a newly formed wireless services provider that offers pay-as-you-go wireless voice and data communications services exclusively to the U.S. Hispanic population, using Sprint’s all-digital, all-PCS nationwide wireless network. As the nation’s first MVNO targeted at Hispanics, Movida will offer all standard custom calling features plus a suite of international voice and data services featuring culturally and geographically focused content in Spanish. Movida-branded cell phones will be available in select Wal-Mart stores across the nation as well as other major U.S. retailers. For more information on Movida, visit http://www.movidacelular.com.
About the Cisneros Group of Companies
The Cisneros Group of Companies is one of the largest privately held media, entertainment, technology, and consumer products organizations in the world. The Group owns or holds interests in companies ranging from broadcast television networks, pay television services and Internet service providers, to beverage businesses and supermarkets. Through its diverse businesses, the Cisneros Group of Companies delivers some of the top brands and the highest quality services to the 550 million Spanish- and Portuguese-speaking consumers in the Americas and Europe. The Group has recently expanded its activities from Ibero-America to countries worldwide.
The Cisneros Group’s holdings include majority and minority interests and may be held, directly or indirectly, through partnerships, joint ventures or alliances. Some of the Group’s holdings include interests in: Venevision, the leading broadcast television channel in Venezuela; Venevision International, a Spanish-language entertainment company with specialization in TV programming; Univision Communications Inc. (NYSE:UVN), the number one provider of Spanish-language content to the U.S. Hispanic audience; Claxson Interactive Group Inc. (XSON), an integrated Ibero-American media and entertainment company; AOL Latin America Inc. (NASDAQ:AOLA), one of the leading Internet and interactive service providers in Latin America; DIRECTV Latin America, a direct-to-home satellite TV provider with operations across the region; Cerveceria Regional, the second-largest brewery and beer distributor in Venezuela; Backus & Johnston, the largest brewer in Peru and the sixth-largest in Latin America; and Pueblo, one of the leading supermarket chains in Puerto Rico and the U.S. Virgin Islands. For more information, visit http://www.cisneros.com.
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CONTACT:
The Cisneros Group of Companies, New York
Antonieta Lopez, 212-355-0620
Caracas: 58 (212) 708-9046
