www.WirelessFederation.com/news: An investment of 2 billion Brazilian reals, or $1.14 billion will be made by Spain’s Telefonica S.A in its Brazilian unit Telecomunicacoes de Sao Paulo, or Telesp, in 2010. The focus of the investment will be broadband Internet, and more specifically on expanding the network.

According to the economist’s forecast, Brazilian economy will grow by at least 4% next year and this will surely raise the demand for Telefonica’s service. A sharp increase in Telesp’s investments in its Speedy broadband service was noticed after telecom watchdog Anatel suspended sales between June and August after the customer complained about quality.

According to Telesp CEO Antonio Carlos Valente, the investment budget will be about the same level as in 2009, when a capital expenditure target of BRL2.4 billion was set.