Brazil telco Oi has agreed to acquire fellow regional player Brasil Telecom in a deal valued at about $3.5 billion. The announcement comes after months of speculation, but reportedly will require some regulatory rule changes by Brazilian regulator Anatel. Oi and Brasil Telecom likely are trying to put a competitive dent in local operations run by Spain's Telefoncia and by Mexico's America Movil. The move also comes as many vendors, such as Tellabs, are eyeing Latin America as a land of opportunity for new equipment contracts.

For more:
- see this story [1] in The Wall Street Journal

Related articles:
Brasil Telecom launches IPTV service Brasil Telecom report [2] 
Oi to do mobile TV in Brazil Oi Report [3]