Telefonica Chile, the nation's dominant fixed-line telecommunications company, is trying to get approval to launch a new service package that will include mobile phone service.
If approved, the "tetrapack" package would be the first in the Chilean market to provide mobile phone services as well as fixed-line, Internet and paid television.
Telefonica Chile already offers a service package that includes fixed-line phone, Internet and paid television services, like those of its competitors VTR, a unit of U.S.-based Liberty Global, and Telmex.
The telecommunications regulator, Subtel, said on Tuesday that Telefonica Chile, an affiliate of Spain's Telefonica, submitted a request in late October for authorisation of the "tetrapack."
"We're carrying out a legal analysis to see if there is any incompatibility with our legislation on these packages," said Pablo Bello, deputy telecommunications secretary.
In the nine-month period through September, Telefonica Chile's net income dropped 52 percent to 9.9 billion pesos on sales of 459.6 billion pesos on rising costs and weak performance in its traditional fixed-line business, hit by competition and a rise in the use of mobile phones and Internet communications.
The company's mobile phone division, which is holding a narrow lead over No 2 mobile phone company ENTEL PCS of ENTEL, is basing future growth prospects on its broadband and paid television services. Telefonica Chile said it hopes to launch the new package late in the first half of 2008.