Bolivia to close Datacom subsidiary following service irregularities

The Bolivian government has announced the closure of Datacom, a subsidiary of the state telecommunications company Entel, following the non-renewal of its service contract. Minister of Public Works, Services, and Housing Mauricio Zamora stated the decision is part of a broader plan to shut down state-owned companies that are causing financial losses to the government.

The termination of the contract follows allegations of irregularities, including deficiencies in customer service and investigations into the company’s role in enabling the use of stolen mobile phones. Datacom, which provided technical support and call center services for nine years, has reportedly accumulated significant losses.

The closure is expected to result in the dismissal of more than 500 employees. Minister Zamora indicated that an analysis will be conducted to determine how these workers can be reintegrated into other labor sectors.