Document:

Exhibit 10.2

-----
SCT             MEXICAN MINISTRY OF COMMUNICATIONS AND TRANSPORTATION
-----                       UNDER MINISTRY OF COMMUNICATIONS

              AMENDMENT TO THE CONCESSION CERTIFICATE FOR A PUBLIC
                 TELECOMMUNICATIONS NETWORK DATED JUNE 17, 1996

                               AXTEL, S.A. DE C.V.

<PAGE>

[A seal with the Mexican coat-of-arms reading:]
"United Mexican States - Ministry of
Communications and Transportation"

Amendment to the concession certificate to install, operate and exploit a public
telecommunications network that was granted by the Mexican Federal Government
through the Mexican Ministry of Communications and Transportation (the
"Ministry"), to AXTEL, S.A. DE C.V. (the "Concession Holder").

                                   WITNESSETH

I. WHEREAS, on June 17, 1996, the Ministry granted to the Concession Holder a
concession certificate to install, operate and exploit a public
telecommunications network for the provision of national and international
long-distance basic telephone services, among others (the "Concession").

II. WHEREAS, under letters dated September 20, 2000 and December 10, 2002, the
Concession Holder applied for the Ministry's approval to amend Exhibit A to the
Concession, so that the services covered by said Exhibit will be restricted to
the provision of national and international long-distance public telephone
service.

III. WHEREAS, pursuant to the provisions of article 37 Bis section V of the
Internal Regulations of the Ministry of Communications and Transportation, the
Federal Telecommunications Commission (the "Commission"), under Resolution
number P/230101/014.1 that was adopted at its session en banc, expressed to the
Ministry the Commission's agreement with the Concession Holder's application.

IV. WHEREAS, article 50 of the Federal Telecommunications Law provides that the
Ministry shall see that telecommunication services be properly provided
throughout Mexico, so that all production units and the citizenship in general
will have access to public telecommunication networks for satisfaction of needs
for public and social services.

NOW, THEREFORE, the Ministry, after hearing from the Commission as stated in
paragraph III of the Witnesseth Chapter above, and after analyzing all documents
related to the application filed by the Concession Holder, and pursuant to the
provisions of articles 36 of the Mexican Organic Law of the Federal Public
Administration; 1 and 7 and all other related articles of the Mexican Federal
Telecommunications Law; and 4 and 5 of the Internal Regulations of the Ministry
of Communications and Transportation, hereby approves this Amendment, subject to
the following:

                                   CONDITIONS

FIRST. Exhibit A to the Concession Certificate is hereby amended to read as set
forth in Annex A to this Amendment, which is made an integral part of the
Concession, in the terms and conditions set forth therein.

SECOND. Clauses 1.17 and 1.18 are added to the Concession referred to in
paragraph I of the Witnesseth chapter hereof, to read as follows:

1.17 Coverage and Social and Rural Connectivity. The Concession Holder shall,
during the term of the Concession, assist the Federal Government in the
provision of social and rural services, for which purpose the Concession Holder
shall, if necessary, provide services or transmission capacity from its Network
to provide access and

                                      1/13
<PAGE>

connectivity in such areas, zones or locations where the Federal Government and
the Concession Holder shall jointly determine that such services or facilities
are required.

To this end, the Concession Holder shall comply with the Coverage and Social and
Rural Connectivity Program (the "Program") that is referred to in Annex B to
this Amendment, in the terms and conditions set forth herein, which Program
shall be mandatory for the Concession Holder.

Further, within three hundred and sixty (360) calendar days before completion of
the Program then in effect, the Concession Holder shall, every four (4) years
during the term of the Concession, agree with the Ministry a similar Program
containing at least: the services to be provided, areas to be served on a
scheduled basis, transmission velocity and access capacity of the Network,
number of benefited persons, and rates to be charged by the Concession Holder,
which rates shall be equal to or lower than the lowest rates charged for the
services covered by the Concession. The Program shall be mandatory once it is
approved by the Ministry.

The Concession Holder shall not disrupt the provision of any social or rural
services in any location or community to which similar services are not provided
by other concessionaire or licensee, except in case of occurrence of an act of
God or force majeure or with the express approval of the Ministry, pursuant to
the provisions of articles 7 and 51 of the Law.

1.18 Modernization of the Network. The Concession Holder shall keep its Network
duly upgraded, by introducing state of the art technology for diversification
and improvement of the quality of its services. The Concession Holder shall
inform the Ministry and the Commission, within the first two months of each
year, of all upgrades to the Network that were performed during the immediately
preceding calendar year, and of all modernization plans and projects for the
Network that will be executed during the year in which the report is submitted.

THIRD. All other conditions set forth in the Concession shall continue in full
force and effect in their unchanged form.

FOURTH. The Concession Holder hereby accepts this Amendment to the concession
certificate that is amended hereunder, and the use of this Amendment, in any
form, by the Concession Holder implies the unconditional acceptance of all
provisions hereof.

IN WITNESS WHEREOF, this Amendment is executed in Mexico City, Mexico, on
December 19, 2002, to become effective on the date hereof.

THE MINISTRY OF COMMUNICATIONS AND                AXTEL, S.A. DE C.V.
         TRANSPORTATION

       By: [signed]                                  By: [signed]
Name: PEDRO CERISOLA WEBER                Name: ALBERTO M. DE VILLASANTE HERBERT
    Position: MINISTER                        Position: LEGAL REPRESENTATIVE

Signatures page to the Amendment to the concession certificate to install,
operate and exploit a public telecommunications network that was granted by the
Mexican Federal Government through the Ministry to AXTEL, S.A. DE C.V.

                                      2/13
<PAGE>

[A seal with the Mexican coat-of-arms reading:]
"United Mexican States - Ministry of
Communications and Transportation"

Annex A to the concession certificate to install, operate and exploit a public
telecommunications network that was granted by the Mexican Federal Government
through the Ministry to the Concession Holder.

A.1 Definitions. All terms used in this Annex shall have the meanings assigned
to them under the Law or the Concession, and the following terms shall have the
following meanings:

A.1.1 Public telephone network, shall mean a public telecommunications network
which concessionaires are required to provide public basic telephone service;

A.1.2 Provision of capacity, shall mean, for purposes of this Exhibit, that a
concessionaire of a public telecommunications network is creating, under any
legal act, a usufruct over a portion of its Network. Concessionaires of public
networks may also assign the use of any portion of their Network, provided that
in all cases the concessionaires retain the pure title to the public
telecommunications networks;

A.1.3 Long distance service, shall mean the exchange of switched traffic between
long distance centers that are not a part of the same group of local service
centers, and that requires for its routing the dialing of a prefix to access the
long distance service;

A.1.4 Public switched traffic, shall mean any emission, transmission or receipt
of signs, signals, data, written material, images, voice, sounds or information
of any nature through a public telecommunications network that uses for the
routing thereof, both centers and numbers assigned and administered by the
Commission, pursuant to the Master Technical Number Plan;

A.1.5 Rules, shall mean the Long Distance Service Rules that were published in
the Federal Official Gazette on June 21, 1996, or any additional or
supplementary rules that may be issued from time to time;

A.1.6 Local service, shall mean the carrying of public switched traffic between
users of the same center or users of a center that is a part of the same group
of local service centers, which service does not require the dialing of a prefix
to access the long distance service, regardless as to whether such switched
public traffic originates from or terminates at a wired or wireless public
telecommunications network, and for which service a rate is charged regardless
of the distance;

A.1.7 Added-value services, shall mean services that use a public
telecommunications network and have an impact in the format, contents, code,
protocol, storage or similar aspects of any information transmitted by any user,
and which services market additional, different or restructured information
among the users or imply interaction between the user and stored information;

A.1.8 Master technical plans, shall mean the Master Technical Signal Plan and
the Master Technical Number Plan that were published in the Federal Official
Gazette on June 21, 1996, and any other plans that may be issued by the
Commission from time to time pursuant to the provisions of article 41 of the
Law;

                                      3/13
<PAGE>

A.1.9 User, shall mean any individual or corporation that, notwithstanding is
not authorized by the Ministry to provide telecommunication services, acquires
under any legal title a right to use such portion of the Network infrastructure
that is sufficient for establishment only of telecommunication networks destined
to satisfy specific telecommunication service needs and that imply, for any
reason, commercial exploitation of services or of capacity from such networks.
Final users of telecommunication services in no event may hold usufruct rights
over any portion of the Network infrastructure, or complete public switched
Traffic outside the private networks that have been established along with the
Network infrastructure;

A.1.10 Usufructuary, shall mean any individual or corporation that has been
authorized by the Ministry or is registered with the Commission to provide
telecommunication services and that acquires, under any legal title, the actual
and temporary right to enjoy a portion of the Network infrastructure; and

A.1.11 Traffic in transit, shall mean any signal or set of signals whose points
of origin and destination are other foreign networks and is carried through the
Network.

A.2 Services Covered by this Annex. The Concession Holder accepts and agrees to
provide the services described below, only to individuals and corporations
defined as users or usufructuaries under Conditions A.1.9 and A.1.10 above:

A.2.1 National and international long distance basic telephone service, subject
to the prior approval by the Commission, in the case of the long distance
service, of the pertinent international port;

A.2.2 Provision and leasing of capacity of the Network for the issuance,
transmission or receipt of signs, signals, written material, images, voice,
sounds or any other type of information;

A.2.3 Marketing of capacity acquired with respect to networks of other
concessionaires of public telecommunication networks with whom the Concession
Holder shall have executed the pertinent agreements for the acquisition of such
capacity; and

A.2.4 Added-value services to its users, subject to prior registration of the
added-value services with the Commission, pursuant to the provisions of articles
3(XII), 33 and 64(II) of the Law.

All services described under this condition A.2 are listed by way of limitation,
which means that for provision of any other service intended to be provided by
the Concession Holder under this Concession, an express concession, permit or
approval by the Ministry shall be required, pursuant to the provisions of the
Law and all other applicable legal, regulatory and administrative provisions.

A.3      Specifications for the services covered by this Annex.

A.3.1 In connection with the national and international long distance basic
telephone service, the Concession Holder shall have the following obligations,
among others:

     A.3.1.1 To provide the telephone number that will identify the origin of
the telephone calls, in compliance with the provisions of article 43(X) of the
Law, and of the Master Technical Signal Plan. The Concession Holder shall, in
compliance with this obligation, send to centers of the concessionaire of local
service or long distance Service to which

                                      4/13
<PAGE>

it will deliver the switched public Traffic, information relating to the numbers
of the originating subscriber and the destination subscriber. Due to the above,
the Concession Holder shall not re-originate long-distance calls for delivery of
such calls as local calls, or replace or incorporate an "A" number not
corresponding to the number of origin of the call.

     A.3.1.2 To use all contracted interconnection links exclusively to receive
and route traffic. All switched public Traffic exchanged between two local
Service concessionaires, between one local Service concessionaire and a long
distance operator, or between a long-distance operator and a local Service
concessionaire, shall be carried through interconnection links, in accordance
with all pertinent agreements and without changing neither the number of origin
nor the number of destination, pursuant to the provisions of the master
technical Plans, except in those cases expressly authorized by the Commission.

     A.3.1.3 To be a member, in its capacity of long-distance Service operator,
of the Operators Committee to be organized pursuant to the Rules;

     A.3.1.4 To comply, in its capacity of long-distance Service operator, with
the Auditor service agreement referred to by the Rules for provision of
international long-distance Service that must be followed by all concessionaires
of public telecommunication networks authorized to provide this Service, which
Rules were published in the Federal Official Gazette on December 11, 1996; and

     A.3.1.5 To share in the reimbursement of all shared costs incurred by all
concessionaires for operation of the long-distance system, including, by way of
enunciation and not by way of limitation, all costs that represent a one-time
disbursement, pursuant to the formulas and procedures determined by the
Commission.

A.3.2 With respect to the provision of capacity Service referred to in condition
A.2.2 above, the Concession Holder agrees to abide by and comply with all
applicable legal, regulatory and administrative provisions and all rules on the
subject that may be issued by the Ministry or the Commission from time to time.

A.3.3 In connection with the leasing of dedicated digital private circuits, the
Concession Holder shall abide by and comply with all applicable legal,
regulatory and administrative provisions and all rules on the subject that may
be issued from time to time by the Ministry or the Commission.

A.4 Granting of rights to use. Rights to use with respect to a portion of the
Network infrastructure may be granted to third parties that are not authorized
by the Ministry to provide telecommunication services, for establishment only of
telecommunication networks destined to satisfy specific telecommunication
service needs that do not imply, for any reason, commercial exploitation of
services or of capacity from such networks.

A.5 Granting of usufruct rights. Revocable usufruct rights may be granted with
respect to a portion of the Network infrastructure, for a term not to exceed the
term set forth in clause 1.4 of the Concession.

A.6 Use and usufruct rights. In case usufruct and use rights are granted in
connection with the services contemplated in condition A.2 above, the following
provisions shall be observed, without any exception:

A.6.1    The usufruct cannot be simultaneous;

                                      5/13
<PAGE>

A.6.2    The usufruct cannot be for life;

A.6.3    The usufructuary cannot transfer or encumber its usufruct right;

A.6.4    The usufructuary shall waive its right of first refusal; and

A.6.5 The Concession Holder shall reserve the right to revoke the right of use
or usufruct in case of occurrence of any of the following events:

     A.6.5.1 The usufructuary or user, as the case may be, will make an improper
use of that portion of the Network infrastructure that is the subject matter of
the right granted to it;

     A.6.5.2 A resolution will be issued by the Ministry or the Commission, and
by the competent judicial or administrative government authorities;

     A.6.5.3 The usufructuary shall provide telecommunication services without
first obtaining a concession or approval from the Ministry;

     A.6.5.4 The user will provide telecommunication services in violation of
the Law and any regulations thereto;

     A.6.5.5 The usufructuary or the user, as the case may be, will carry out
any acts that prevent the performance of authorized public telecommunication
network concessionaires or of the licensees referred to by article 31 of the
Law; and

     A.6.5.6 The usufructuary or the user, as the case may be, will operate or
exploit telecommunication service marketing companies in contravention to the
provisions of the Law and any regulations thereto.

The model agreements to be used by the Concession Holder to grant usufruct and
use rights with respect to a portion of the Network infrastructure, shall
include all provisions of condition A.6 hereof. Further, the Concession Holder
shall inform the Commission of any agreements that may be terminated due to the
occurrence of any of the events referred to in condition A.6.5 above, within
five (5) business days following the date of occurrence of the event.

The Concession Holder shall be responsible for all acts related to the operation
and exploitation of its Network, either directly or indirectly through any third
parties with whom it may execute agreements.

A.7 Term for commencement of provision of the services. The Concession Holder
shall commence to provide the services subject matter of this Annex, within
three hundred and sixty (360) calendar days following the date of execution
hereof, and shall inform the Commission of the commencement of such provision
within the following fifteen (15) calendar days.

A.8 Coverage Commitments of the Network. The Concession Holder shall, by using
its own and/or leased telecommunication infrastructure, pursuant to all
technical specifications set forth in its application and mentioned in condition
A.18 of this Annex, link the following cities:

                                      6/13
<PAGE>

<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------------------
           DATE OF
          OPERATION                                        LINK                                    INFRASTRUCTURE
---------------------------------------------------------------------------------------------------------------------
Operational                    Mexico, D.F.               To    Tlalnepantla, Mex.          Fiber optic of its own
---------------------------------------------------------------------------------------------------------------------
<S>                            <C>                        <C>                               <C>
July 2003                      Mexico, D.F.               To    Puebla, Pue.                Leased fiber optic
                               Mexico, D.F.                     Queretaro, Qro.             Fiber optic of its own
---------------------------------------------------------------------------------------------------------------------
December 2003                  Monterrey, N.L.            To    Saltillo, Coah.             Leased fiber optic
                               Guadalajara, Jal.                San Luis Potosi, S.L.P.     Leased fiber optic
                               Monterrey, N.L.                  San Luis Potosi, S.L.P.     Leased fiber optic
---------------------------------------------------------------------------------------------------------------------
December 2004                  Monterrey, N.L.                  Nuevo Laredo, Tamps.        Leased fiber optic
                               Mexico, D.F.               To    Cuernavaca, Mor.            Leased fiber optic
                               Queretaro, Qro.                  Celaya, Gto.                Fiber optic of its own
---------------------------------------------------------------------------------------------------------------------
December 2005                  Guadalajara, Jal.          To    Celaya, Gto.                Leased fiber optic
                               Guadalajara, Jal.                Irapuato, Gto.              Leased fiber optic
---------------------------------------------------------------------------------------------------------------------
December 2006                  Monterrey, N.L.            To    Reynosa, Tamps.             Leased fiber optic
                               Guadalajara, Jal.                Leon, Gto.                  Leased fiber optic
---------------------------------------------------------------------------------------------------------------------
December 2007                  Mexico, D.F.               To    Veracruz, Ver.              Leased fiber optic
---------------------------------------------------------------------------------------------------------------------

</TABLE>

A.9 Traffic in transit. No traffic in transit carried by the Concession Holder
shall terminate at a network within Mexico.

A.10 Coverage of the services. After satisfaction of all coverage commitments
set forth in condition A.8 above, the Concession Holder may offer and provide
the services covered by this Annex anywhere in Mexico by using any kind of
technology. Before commencing the provision of services, the Concession Holder
shall give the Commission thirty (30) days' notice of the local service area
intended to be served by it and how it will provide the services.

A.11 Urban wiring. Should the Concession Holder intend to install wires in urban
zones for provision of long-distance services to final users pursuant to the
terms issued by the Commission to that effect, the Concession Holder shall
submit the pertinent application with the Commission, which shall approve or
disapprove the application within ninety (90) calendar days following receipt
thereof.

A.12 Leased resources. The Concession Holder shall ensure accounting and
operating transparency in all switching, interconnection and transmission
resources that may be leased by it.

A.13 Accounting information. The Concession Holder shall, with respect to the
services contemplated under this Chapter, provide accounting information per
service, region, function and component of the Network, pursuant to the
provisions of the Ruling that was published in the Federal Official Gazette on
December 1, 1998, which Ruling establishes methods for submission of accounting
reports on services provided from public telecommunication networks, in
accordance with the terms of the Federal Telecommunications Law, and all legal,
regulatory and administrative provisions that may be issued from time to time.

                                      7/13
<PAGE>

A.14 Monitoring. The Concession Holder shall allow the Commission access to the
Concession Holder's facilities and Network infrastructure, both owned and
leased, for performance by the Commission of its monitoring and supervision
activities, and shall provide the Commission all assistance that may required
therefor.

A.15 Rights of way. The Concession Holder shall, when using rights of way and
land owned by the federal government and waters subject to federal jurisdiction,
observe and comply with all state, municipal and federal provisions on urban
development and environmental protection. The Concession Holder accepts that the
Ministry and the Commission are entitled to request at any time any documents
and information that may be needed or advisable to prove that the Concession
Holder is complying with all applicable federal, state and municipal provisions
on urban development and environmental protection, and agrees to provide such
documents and information as requested.

1.16 Modernization of the Network. The Concession Holder shall keep its Network
duly upgraded, by introducing state of the art technology for diversification
and improvement of the quality of its services. The Concession Holder shall
inform the Ministry and the Commission, within the first two months of each
year, of all upgrades to the Network that were performed during the immediately
preceding calendar year, and of all modernization plans and projects for the
Network that will be executed during the year in which the report is submitted.

A.17 Non-discriminatory treatment. The Concession Holder shall attend to all
long distance service requests that may arise within the area served by the
Network.

A.18 Technical specifications for the Network. The Concession Holder agrees that
the installation of the Network for provision of the services covered by this
Annex shall, at least, meet the technical specifications set forth in its letter
dated August 19, 2002, a summary of which is transcribed below:

Switching Network

The switching network meets all standards required to achieve a look-through
interconnection to all elements of the access network, the carrying network, the
long distance network, the local network and the signal network.

All switching elements comply with all international standards and the
recommendation of UIT-T (International Telecommunication Union) and all national
standards set for such services, and have capacity to co-exist with all other
networks existing in Mexico.

The interface for connection to all elements of the above-mentioned networks is
under the form of recommendation G.703 and NMX-T-001-1996 NYCE.

The Concession Holder's Network has high-capacity digital centers and
availability to handle local and long distance traffic, which centers have all
dimensions and are configured with the redundancy required to guarantee all
traffic demands.

Local and long distance traffic is delivered at the interconnection point
expressly set therefor at each city.

                                      8/13
<PAGE>

An interconnection is provided among all centers of the Concession Holder's
Network and the centers of all other long distance operators for establishment
of exchange of long distance traffic. This interconnection is made with fiber
optic infrastructure constructed by the operator to which the Concession Holder
resells the originating long-distance traffic.

All switching centers used in the Concession Holder's long distance network are
DMS-100 (Nortel), a product that has been in use in other countries around the
world for the last 20 years and which hardware and software have been upgraded
and updated over the time. This allows to increase the quality level of the
service to the international standards.

DMS-100 is a stored control program digital switching system that is present in
all local and long distance voice services and is required by the national and
international markets.

These switching centers have a processing capacity of 430,000 call attempts
during peak hours, and a capacity of more than 3,500 E1's.

According to the traffic demand on the Network, the capacity of a switching
center is of 100,000 lines.

Digital centers have a maximum capacity of 8,192 routes and 2,048 trunk groups,
which guaranties the satisfaction of future routing and long distance service
demand.

DMS-100s support different protocols, such as R2 Modified PAUSI-MX (NOM-112),
PRI, V5.2, that are required to provide access to the users and interconnect to
the different operators.

Signaling Network

The signaling network meets all national and international standards for local
and long-distance interconnection.

The Concession Holder's signaling network consists of three pairs of PTSs
(signal transfer points) in a redundant scheme (Mexico City, Monterrey and
Guadalajara) that is interconnected to the PTSs designated by the different
operators of local and long distance services.

Interconnection for the local and long distance service is made with PAUSI-MX
signaling (SCCN7 Mexican version NOM-112).

The signaling network consists of third generation broadband Signaling Transfer
Points (STP's) (Nortel), which have a distributed, compact and fully redundant
architecture to provide network availability at 99.9999% levels.

PTSs support signaling protocols PAUSI-MX (SCCN 7 Mexican version NOM-112) and
have all software needed to support intelligent network services, such as
portability of the advanced 800/900 number; additionally, they have capacity to
handle the signaling by using IP protocol.

                                      9/13
<PAGE>

Carrying network

The carrying network consists of "Corning Glass" 60-fiber cable that handles a
capacity ranging from 2.5 Gbps to 40 Gbps by using DWDM technology. The network
provides the lowest possible attenuation per splice (0.03 dB per section in the
average), which allows distances longer than 170 km between regenerators. The
optic fiber used is the highest quality singlemode fiber having an attenuation
no higher than 0.2 dB/km.

It is designed to use SDH multiplexing technology, large capacity backbone,
Digital Cross Connect (SDXC), DWDM (pirelli equipment), and Add Drop (ADM -
Lucent) Multiplexors.

Synchronization Network

Considering the high binary velocities, and the ring configuration network
topologies with more robust coding schemes, the network reliability becomes a
critical issue. Due to the foregoing, synchronization in a digital network is an
essential need that must be satisfied.

The synchronization network meets all standards established by UIT-T
(International Telecommunication Union) under Recommendations G.812/G.81 s.

The primary synchrony reference will be strato 1 and 2, with a 5 x 10-11 ppm
hold accuracy, and a 1.16 x 10-9/day hold stability.

The connection interface to the network elements for distribution of the
synchrony signal is under the form of Recommendation G.703 and NMX-T-001-1996
NYCE.

                                     10/13
<PAGE>

[A seal with the Mexican coat-of-arms reading:]
"United Mexican States - Ministry of
Communications and Transportation"

                                    EXHIBIT B

Social and Rural Coverage and Connectivity Program (the "Program") agreed by the
Ministry and Axtel, S.A. de C.V. (the "Concession Holder").

B.1 Definitions. All terms used in this Program shall have the meanings assigned
to them under the Law or the Concession, and the following terms shall have the
following meanings:

B.2 Coverage Commitments. The Concession Holder agrees to provide, through its
own infrastructure, local telephone services (32 Kbps) and data transmission
services (64 Kbps) in the locations listed below, under the conditions and on
the dates set forth in the following Table:

<TABLE>
<CAPTION>

--------------------------------------------------------------------------------------------------------------------------
    Year            Location                    Municipality and State                  Capacity in            Users to
                                                                                       number of lines        be served
--------------------------------------------------------------------------------------------------------------------------
<S>          <c>                                <C>                                           <C>               <C>
             Apodaca                            Apodaca, N.L.                                 2,880             14,400

    2003
--------------------------------------------------------------------------------------------------------------------------
             General Escobedo                   General Escobedo, N.L.                        2,120             10,600
--------------------------------------------------------------------------------------------------------------------------
             Guadalupe                          Guadalupe, N.L.                               6,290             31,450
--------------------------------------------------------------------------------------------------------------------------
             Monterrey                          Monterrey, N.L.                              10,800             54,000
--------------------------------------------------------------------------------------------------------------------------
             San Nicolas de los Garza           San Nicolas de los Garza, N.L.                4,720             23,600
--------------------------------------------------------------------------------------------------------------------------
             San Pedro Garza Garcia             San Pedro Garza Garcia, N.L.                  1,120              5,600
--------------------------------------------------------------------------------------------------------------------------
             Santa Catarina                     Santa Catarina, N.L.                          2,090             10,450
--------------------------------------------------------------------------------------------------------------------------
TOTAL                                                                                        30,020            150,100
--------------------------------------------------------------------------------------------------------------------------
             Apodaca                            Apodaca, N.L.                                 1,410              7,050

    2004
--------------------------------------------------------------------------------------------------------------------------
             General Escobedo                   General Escobedo, N.L.                        1,410              7,050
--------------------------------------------------------------------------------------------------------------------------
             Guadalupe                          Guadalupe, N.L.                               3,090             15,450
--------------------------------------------------------------------------------------------------------------------------
             Monterrey                          Monterrey, N.L.                               7,390             36,950
--------------------------------------------------------------------------------------------------------------------------
             El Uro                             Monterrey, N.L.                                 210              1,050
--------------------------------------------------------------------------------------------------------------------------
             Los Cristales                      Monterrey, N.L.                                  60                300
--------------------------------------------------------------------------------------------------------------------------
             El Ranchito                        Monterrey, N.L.                                  80                400
--------------------------------------------------------------------------------------------------------------------------
             El Barreal                         Monterrey, N.L.                                 130                650
--------------------------------------------------------------------------------------------------------------------------
             San Nicolas de los Garza           San Nicolas de los Garza, N.L.                2,840             14,200
--------------------------------------------------------------------------------------------------------------------------
             San Pedro Garza Garcia             San Pedro Garza Garcia, N.L.                    800              4,000
--------------------------------------------------------------------------------------------------------------------------
             Santa Catarina                     Santa Catarina, N.L.                          1,440              7,200
--------------------------------------------------------------------------------------------------------------------------
             Juarez                             Juarez, N.L.                                    410              2,050
--------------------------------------------------------------------------------------------------------------------------
             Guadalajara                        Guadalajara, Jal.                            10,080             50,400
--------------------------------------------------------------------------------------------------------------------------
             Tlaquepaque                        Tlaquepaque, Jal.                             2,910             14,550
--------------------------------------------------------------------------------------------------------------------------
             Zapopan                            Zapopan, Jal.                                 6,130             30,650
--------------------------------------------------------------------------------------------------------------------------
TOTAL                                                                                        38,390            191,950
--------------------------------------------------------------------------------------------------------------------------
             Azcapotzalco                       Azcapotzalco, D.F.                              270              1,350

    2005
--------------------------------------------------------------------------------------------------------------------------
             Coyoacan                           Coyoacan, D.F.                                3,930             19,650
--------------------------------------------------------------------------------------------------------------------------
             Cuajimalpa de Morelos              Cuajimalpa de Morelos, D.F.                     260              1,300
--------------------------------------------------------------------------------------------------------------------------
             Gustavo A. Madero                  Gustavo A. Madero, D.F.                         370              1,850
--------------------------------------------------------------------------------------------------------------------------
             Iztacalco                          Iztacalco, D.F.                                  90                450
--------------------------------------------------------------------------------------------------------------------------
             Iztapalapa                         Iztapalapa, D.F.                                300              1,500
--------------------------------------------------------------------------------------------------------------------------
             Magdalena Contreras                Magdalena Contreras, D.F.                       710              3,550
--------------------------------------------------------------------------------------------------------------------------
             Alvaro Obregon                     Alvaro Obregon, D.F.                            240              1,200
--------------------------------------------------------------------------------------------------------------------------

                                     11/13
<PAGE>
--------------------------------------------------------------------------------------------------------------------------
             Tlalpan                            Tlalpan, D.F.                                 1,020              5,100
--------------------------------------------------------------------------------------------------------------------------
             Xochimilco                         Xochimilco, D.F.                                210              1,050
--------------------------------------------------------------------------------------------------------------------------
             Juarez                             Juarez, D.F.                                    130                650
--------------------------------------------------------------------------------------------------------------------------
             Cuauhtemoc                         Cuauhtemoc, D.F.                                210              1,050
--------------------------------------------------------------------------------------------------------------------------
             Naucalpan de Juarez                Naucalpan de Juarez, Mex.                       120                600
--------------------------------------------------------------------------------------------------------------------------
             Miguel Hidalgo                     Miguel Hidalgo, D.F.                            490              2,450
--------------------------------------------------------------------------------------------------------------------------
             Huixquilucan                       Huixquilucan, Mex.                              420              2,100
--------------------------------------------------------------------------------------------------------------------------
             Adolfo Lopez Mateos                Adolfo Lopez Mateos, Mex.                       340              1,700
--------------------------------------------------------------------------------------------------------------------------
             Venustiano Carranza                Venustiano Carranza, D.F.                       270              1,350
--------------------------------------------------------------------------------------------------------------------------
             Tlalnepantla                       Tlalnepantla, Mex.                              220              1,100
--------------------------------------------------------------------------------------------------------------------------
             Guadalajara                        Guadalajara, Jal.                             6,160             30,800
--------------------------------------------------------------------------------------------------------------------------
             Tlaquepaque                        Tlaquepaque, Jal.                             2,030             10,150
--------------------------------------------------------------------------------------------------------------------------
             Zapopan                            Zapopan, Jal.                                 3,750             18,750
--------------------------------------------------------------------------------------------------------------------------
TOTAL                                                                                        21,540            107,700
--------------------------------------------------------------------------------------------------------------------------
             Puebla                             Puebla, Pue.                                  4,860             24,300

    2006
--------------------------------------------------------------------------------------------------------------------------
             San Andres Cholula                 San Andres Cholula, Pue.                        240              1,200
--------------------------------------------------------------------------------------------------------------------------
             San Pedro Cholula                  San Pedro Cholula, Pue.                         360              1,800
--------------------------------------------------------------------------------------------------------------------------
             Juan C. Bonilla                    Juan C. Bonilla, Pue.                            70                350
--------------------------------------------------------------------------------------------------------------------------
             San Pablo del Monte                San Pablo del Monte, Tlax.                       70                350
--------------------------------------------------------------------------------------------------------------------------
             Tlaltenango                        Tlaltenango, Pue.                                60                300
--------------------------------------------------------------------------------------------------------------------------
             Coronango                          Coronango, Pue.                                  20                100
--------------------------------------------------------------------------------------------------------------------------
             Cuautlancingo                      Cuautlancingo, Pue.                              30                150
--------------------------------------------------------------------------------------------------------------------------
             Tenancingo                         Tenancingo, Tlax.                                30                150
--------------------------------------------------------------------------------------------------------------------------
             Mazatecochco D J M Mor.            Mazatecochco DJM Mor. Tlax.                      20                100
--------------------------------------------------------------------------------------------------------------------------
             Papalotla de Xicotencatl           Papalotla de Xicotencatl, Tlax.                  20                100
--------------------------------------------------------------------------------------------------------------------------
             San Miguel Xoxtla                  San Miguel Xoxtla, Pue.                          20                100
--------------------------------------------------------------------------------------------------------------------------
             Xicotzingo                         Xicotzingo, Tlax.                                30                150
--------------------------------------------------------------------------------------------------------------------------
             Leon                               Leon, Gto.                                    5,400             27,000
--------------------------------------------------------------------------------------------------------------------------
             Plan de Ayala                      Leon, Gto.                                       60                300
--------------------------------------------------------------------------------------------------------------------------
             Metepec                            Metepec, Mex.                                   420              2,100
--------------------------------------------------------------------------------------------------------------------------
             Toluca                             Toluca, Mex.                                  1,420              7,100
--------------------------------------------------------------------------------------------------------------------------
             San Luis Mextepec                  Toluca, Mex.                                     20                100
--------------------------------------------------------------------------------------------------------------------------
             Mexcalongo                         Mexcalongo, Mex.                                 20                100
--------------------------------------------------------------------------------------------------------------------------
             Chapultepec                        Chapultepec, Mex.                                10                 50
--------------------------------------------------------------------------------------------------------------------------
TOTAL                                                                                        13,180             65,900
--------------------------------------------------------------------------------------------------------------------------
                                                     TOTAL FROM 2003 THROUGH 2006:          103,130            515,650
                                                                                   ---------------------------------------

</TABLE>

The Concession Holder will be entitled to provide such added-value services as
permitted by the Network, subject to prior registration of the added-value
services with the Commission, pursuant to the provisions of articles 33 of the
Law.

B.3 Term for commencement of provision of the services. The Concession Holder
shall commence to provide the services set forth in condition B.2 above, within
three hundred and sixty (360) calendar days following the date of execution of
this Amendment, and shall inform the Commission of the commencement of such
provision within the following fifteen (15) calendar days.

B.4 Term of the Program. This Program will be in effect for a term of four (4)
years following the date of commencement of provision of the services mentioned
in condition B.3 above, and this term shall be mandatory for the Concession
Holder. The Concession Holder shall agree with the Ministry a similar program
every four (4) years during

                                     12/13
<PAGE>

the term of the Concession, which program shall be submitted three hundred and
sixty (360) calendar days before expiration of the term of the Program.

B.5 Applicable rates. Before commencing the provision of the services set forth
in condition B.2 above, the Concession Holder shall register with the Commission
all rates to be charged by the Concession Holder, which rates shall be equal to
or lower than the lowest rates charged for the services covered by the
Concession.

B.6 Non-disruption of the services. The Concession Holder shall not disrupt the
provision of the services set forth in condition B.2 above that are the subject
matter of this Program, in any location to which similar services are not
provided by other concessionaire or licensee, except in case of occurrence of an
act of God or force majeure or with the express approval of the Ministry,
pursuant to the provisions of article 51 of the Law.

B.7 Applicable laws. This Program shall be subject to all provisions of the Law,
the Concession and all other legal, regulatory and administrative provisions
that may be issued from time to time, and to all Conditions set forth in the
Program itself.

B.8 Approvals for installation of telecommunications equipment. The Concession
Holder shall be responsible for processing all permits, approvals or consents
that must be obtained from the pertinent government authorities for installation
of telecommunication equipment on public streets, roads or other communication
means in order to comply with this Program. To this end, the Concession Holder
shall additionally comply with all provisions on urban development, ecological
equilibrium and environmental protection.

B.9 Reporting. Without prejudice of the powers of the Ministry and the
Commission to request any information from the Concession Holder, pursuant to
the provisions of article 68 of the Law, the Concession Holder shall, during the
effective term of this Program, deliver to the Ministry and the Commission every
one hundred and eighty (180) calendar days following the date of commencement of
the provision of the services that is set forth in condition B.2 above, the
following information:

B.9.1 Transmission velocities that are available at each location listed in
condition B.2 of this Program;

B.9.2 Access capacity to the Network, including the number of telephone lines in
operation and the lines available at each of the locations listed in condition
B.2 of this Program; and

B.9.3 Rates charged for services provided at the locations set forth in
condition B.2 above, pursuant to the provisions of condition B.5 of this
Program.

B.10 Penalties. The penalties contemplated under the applicable laws shall be
imposed on the Concession Holder in case of its failure to satisfy all
conditions of the Program and all other applicable legal, regulatory or
administrative provisions.

                                     13/13

<PAGE>

                                                 Spanish Version of Exhibit 10.2

                  SECRETARIA DE COMUNICACIONES Y TRANSPORTES
[LOGO]                     SUBSECRETARIA DE COMUNICACIONES

              MODIFICACION AL TITULO DE CONCESION DE RED PUBLICA DE
                 TELECOMUNICACIONES DE FECHA 17 DE JUNIO DE 1996

                              AXTEL, S.A. DE. C.V.

<PAGE>

Modificacion al titulo de concesion para instalar, operar y explotar una red
pubiica de telecomunicaciones otorgado por el Gobierno Federal por conducto de
la Secretaria de Comunicaciones y Transportes, en lo sucesivo la Secretaria, a
favor de AXTEL, S.A. DE C.V., en lo sucesivo el Concesionario, al tenor de los
siguientes antecedentes y condiciones.

                                  ANTECEDENTES

I.       La Secretaria otorgo con fecha 17 de junio de 1996, al Concesionario,
         un titulo de concesion para instalar, operar y explotar una red publica
         de telecomunicaciones para prestar, entre otros, el servicio de
         telefonia basica de larga distancia nacional e internacional, en lo
         sucesivo la Concesion.

II.      Con escritos fechados el 20 de septiembre de 2000 y 10 de diciembre de
         2002, el Concesionario solicito a la Secretaria la modificacion del
         Anexo A de la Concesion, a efecto de que este quede circunscrito a la
         prestacion del servicio publico de telefonia basica de larga distancia
         nacional e internacional.

III.     De conformidad con lo dispuesto en el articulo 37 Bis fraccion V del
         Reglamento Interior de la Secretaria de Comunicaciones y Transportes,
         la Comision Federal de Telecomunicaciones (la Comision), mediante
         Acuerdo del Pleno numero P/230101/014.1, emitio opinion favorable a la
         Secretaria respecto a la solicitud del Concesionario.

IV.      El articulo 50 de la Ley Federal de Telecomunicaciones estabiece que la
         Secretaria procurara la adecuada provision de servicios de
         telecomunicaciones en todo et territorio nacional, con of proposito de
         que exista acceso a las redes publicas de telecornunicaciones para la
         atencion de servicios publicos y sociales, de las unidades de
         produccion y de la poblacion en general.

Por to anteriormente expuesto, la Secretaria, una vez recibida to opinion a que
se refiere el Antecedente III y despues de analizar y evaluar la documentacion
correspondiente a la solicitud del Concesionario, con fundamento en los
arliculos 36 de la Ley Organica de la Administracion Publica Federal; 1, 7 y
demas relativos de la Ley Federal de Telecomunicaciones; 40. y 50. del
Reglamento Interior de la Secretaria de Comunicaciones y Transportes, resuelve
otorgar la presente Modifcacion, conforme a las siguientes

                                   CONDICIONES

PRIMERA- Se modifica el Anexo A de la Concesion, para quedar como se senata en
el Anexo A de la presente Modificacion. el cual forma parte integrante de la
Concesion. en los terminos y condiciones ahi indicados.

SEGUNDA - Se adicionan las condiciones 1.17 y 1.18 a la Concesion a que se
refiere el Antecedente I, en los te rminos siguientes:

1.17. Cobertura y conectividad social y rural. El Concesionario coadyuvara con
el Gobiemo Federal en la prestacion de servicios de caracter social y rural,
durante la vigencia de la Concesion, a cuyo efecto suministrara en su caso
servicios o capacidad de transmision de su Red para brindar acceso y
conectividad en areas, zonas a localidades que el Gobiemo Federal en
coordinacion con el Concesionario, determinen que requieran de tales servicios o
facilidades.

                                      1/13
<PAGE>

Para tal efecto, el Concesionario debera llevar a cabo el Programa de Cobertura
y Conectividad Social y Rural, en lo sucesivo el Programa, a que se refiere el
Anexo B de Ia presents Modificacion, en los terminos y condiclones ahi
indicados, mismo que tendra el caracter de obligatorio para el Concesionario.

Asimismo, 360 (trescientos sesenta) dias naturales antes de que termine el
Programa que este vigente, el Concesionario debera concertar con la Secretaria
cada 4 (cuatro) anos durante la vigencia de la Concesion, un Programa similar
que debera contener por lo menos: los servicios a prestar, areas a cubrir de
manera calendarizada. velocidad de transmision y capacidad de acceso a la Red,
numero de habitantes beneficiados, asi como las tarifas que aplicara el
Concesionario, las que deberan ser iguales o menores a las mas bajas que aplique
en la comercializacion de los servicios comprendidos en la Concesion. El
Programa tendra el caracter de obligatorio una vez aprobado por la Secretaria.

El Concesionario no podra interrumpir la prestacion de los servicios de caracter
social o rural en una localidad o comunidad que no cuente con servicios
similares proporcionados por otro concesionario o permisionario, salvo causas de
fuerza mayor o que cuente con la autorizacion expresa de la Secretaria, de
conformidad con lo dispuesto en los articulos 7 y 51 de la Ley.

1.18. Modernizacion de la Red. El Concesionario debert mantener actualizada su
Red, mediante la introduccion de los mas recientes avances tecnologicos con
objeto de diversificar sus servicios y mejorar su calidad. Para lo cual deberA
informar a la Secretaria y a la. Comision, dentro del primer bimestre de cada
ano, la actualizacion realizada durance el ano calendario anterior y los
proyectos planeados para la modernizacion de Ia Red a realizarse en el ano en
que se presente el informe.

TERCERA- Las condiciones restantes establecidas en la Concesion, subsisten en
todos sus terminos.

CUARTA- El Concesionario acepta la Modificacion del titulo de concesion objeto
del presente instrumento, y su uso, en cualquier forma, implica la aceptacion
incondicional en sus terminos.

La presente Modificacion entrara en vigor a partir de su fecha y se otorga en la
Ciudad de Mexico, Distrito Federal, a los diecinueve dias del mes de diciembre
de dos mil dos

   SECRETARIA DE COMUNICACIONES Y                    AXTEL, S.A. DE C.V.
             TRANSPORTES
            EL SECRETARIO                           EL REPRESENTANTE LEGAL

       PEDRO CERISOLA Y WEBER                  ALBERTO M. DE VILLASANTE HERBERT

La presente hoja de firmas corresponde a la Modificacion del titulo de concesion
para instalar, operar y explotar una red publica de telecomunicaciones, otorgado
el 17 de junio de 1996, que otorga el Gobierno Federal por conducto de la
Secretarla en favor de AXTEL, SA. DE C.V.

                                      2/13
<PAGE>

Anexo A del titulo de concesion para instalar, operar y explotar una red publica
de telecomunicaciones que otorgo con fecha 17 de junio de 1996, el Gobierno
Federal por conducto de la Secretaria, en favor del Concesionario.

A.1.                Definiciones. Los terminos empleados en el presente Anexo
                    tendran el significado que se les da en la Ley, en la
                    Concesion, asi como los que sean expresamente definidos en
                    esta condicion.

A.1.1.              Red publica telefonica: red publica de telecomunicaciones
                    cuyos concesionarios deben prestar el servicio publico de
                    telefonia basica:

A.1.2.              Provision de capacidad: para los efectos del presente, se
                    entiende que un concesionario de red publica de
                    telecomunicaciones provee capacidad cuando constituye, por
                    cualquier acto juridico, usufructo sobre una parte de su
                    Red. Los concesionarios de redes publicas tambien pueden
                    ceder el uso de una parte de su Red. En todo caso, la nuda
                    propiedad de las redes publicas de telecomunicaciones
                    pertenece a los concesionarios respectivos;

A.1.3.              Servicio de larga distancia: aque1 por el que se cursa
                    trafico conmutado entre centrales definidas como de targa
                    distancia, que no forman parte del mismo grupo de centrales
                    de servicio local, y que requiere de la marcacion de un
                    prefjo de acceso al servicio de larga distancia para su
                    enrutamiento;

A.1.4.              Trafico publico conmutado: toda emision, transmision o
                    recepcion de signos, serales. datos, escritos, imagenes.
                    voz, sonidos o infomiacion de cualquier n'aturaleza que se
                    efectue a traves de una red publica de telecomunicacones que
                    utilise para su enrutamiento tanto centrales como numeracion
                    asignada y administrada por la Comision, de confoemidad con
                    el Plan Tecnico Fundamental de Numeracion;

A.1.5.              Reglas: las Reglas del Servicio de Larga Distancia,
                    publicadas en el Diario Official de la Federacion el 21 de
                    junio de 199o a las que en lo sucesivo las complementen o
                    sustituyan;

A.1.6.              Servicio local: aquel por el que se conduce trafico publico
                    conmutado entre usuarios de una misma central o entre
                    usuarios de centrates que forman parte de un mismo grupo de
                    centrales de servicio local, que no requiere de la marcacion
                    de un preijo de acceso al servicio de larga distancia,
                    independientemente do que dicho trafico publico conmutado se
                    origine o termine en una red publica de telecomunicaciones
                    alambrica o inalambrica, y por el que se cobra una tarifa
                    independiente de la distancia;

A.1.7.              Servicios de valor agregado: los que emplean una red publica
                    de telecomunicaciones y que tienen efecto en el formato,
                    contenido, cddigo. protocolo, atmacenaje o aspectos
                    similares de la information transmitida por algun usuario y
                    que comercializan a los usuarios informacon adicional.
                    diferente o reestructurada, o que implican interaccion del
                    usuario con information almacenada;

A.1.8.              Planes tecnicos fundamentales: el Plan Tecnico Fundamental
                    de Senalizacion y el Plan Tecnico Fundamental de Numeracion,
                    publicados el 21 de junio de 1996, en el Diario Oficial de
                    la Federacion y los que en to sucesivo emita la Comision, de
                    conformidad con lo establecido en el articufio 41 de la ley,

                                      3/13
<PAGE>

A.1.9.              Usuario: se entiende por usuario, la persona fisica o moral
                    que, sin estar autorizada por la Secretaria para prestar
                    servicios de telecomunicaciones, por cualquier titulo legal,
                    adquiere el derecho de use respecto de alguna parte de la
                    infraestructura de la Red, que baste unicamente para el
                    establecimiento de redes de telecomunicaciones destinadas a
                    satisfacer necesidades especificas de servicios de
                    telecomunicaciones que, por ningun motivo, impliquen
                    explotacion comercial de servicios o capacidad de dichas
                    redes. En ningun caso, los usuarios finales de servicios de
                    telecomunicaciones podran ser titulares del derecho de
                    usufructo sobre parte de la infraestructura de la Red. asi
                    coma terminar Trafico publico conmutado fuera de las redes
                    privadas que se establezcan con la infraestructura de la
                    Red;

A.1.10.             Usufructuario: se entiende por usufructuario la persona
                    fisica o moral con autorizacion otorgada por la Secretaria o
                    con registro ante la Comision. para prestar servicios de
                    telecomunicaciones y que, por cualquier titulo legal,
                    adquiere el derecho real y temporal de disfrutar de una
                    parte de la infraestructura de la Red. y

A.1.11.             Trafico en transito: se considera como trafico en transito
                    toda aquella senal o conjunto de senates que tienen origen y
                    destino en otras redes extranjeras y que son conducidos a
                    traves de la Red.

A.2.                Servicios comprendidos. Et Concesionario acepta y se obliga
                    a prestar los servicios descritos en adelante, uinicamente a
                    las personas fisicas y morales definidas como usuarios o
                    usufructuarios en las Condiciones A.1.9 y A.1.10.

A.2.1.              El servicio de telefonia basica de larga distancia nacional
                    e internacional, este ultimo, previa autorizacion pora parte
                    de la Comision del puerto internacional correspondiente;

A.2.2.              La Provision y arrendamiento de capacidad de la Red para la
                    emision, transmision o recepcion de signos. senales,
                    escritos. imagenes. voz. sonidos o informacion de cualquier
                    naturaleza;

A.2.3.              La comercializacion de la capacidad adquirida respecto de
                    redes de otros concesionarios de redes publicas de
                    telecomunicaciones, con los cuales el Concesionario tenga
                    celebrados los convenios correspondientes para la
                    adquisicion de dicha capacidad. y

A.2.4.              Servicios de valor agregado a sus usuarios, previo registro
                    de los mismos ante la Comision, en terminos de lo previsto
                    por los articulos 3 fraccion XII, 33 y 64 fraccion II de la
                    Ley.

Los servicios comprendidos en la presente condition, se deben entender
limitativamente; por Canto, cualquier otro servicio que el Concesionario
pretenda proporcionar al amparo de esta Concesion, requerira de la respectiva
concesion, permiso o autorizacion expresa de la Secretaria, de acuerdo a to
establecido por la Ley y demas disposiciones legales, reglamentarias y
administrativas aplicables.

A.3.                            Especificaciones de los servicios comprendidos.

A.3.1.                          En relacion con el servicio de telefonia basica
                                de larga distancia nacional e internacional el
                                Concesionario tendra, entre otras, las
                                siguientes obligaciones,

                                      4/13
<PAGE>

A.3.1.1.                        Proporcionar el numero telefonico que identifica
                                el origen de las llamadas telefonicas, en
                                cumplimiento con lo dispuesto por el articulo 43
                                fraccion X de Ia Ley, asi como par el Plan
                                Tecnico Fundamental de Senalizacion. Al efecto,
                                debera enviar a las centrales del concesionario
                                de Servicio local o de larga distancia al que
                                entregue el Trafico publico conmutado, la
                                informacion referente al numero del abonado de
                                origen y de destino. Por lo anterior, el
                                Concesionario no podra reoriginar llamadas de
                                larga distancia para entregarlas coma locales,
                                ni sustituir o incorporar un numero de "A" que
                                no corresponda al numero de origen de la
                                llamada;

A.3.1.2.                        Uso exclusivo de los enlaces de interconexion
                                contratados para la recepcion y enrutamiento del
                                trafico. Todo Trafico publico conmutado que se
                                curse entre dos concesionarios de Servicio
                                local, de un concesionario de Servicio local a
                                un operador de larga distancia o de un operador
                                de larga distancia a un concesionario de
                                Servicio local, debera conducirse a traves de
                                enlaces de interconexion ajustandose a los
                                convenios correspondientes. sin modificar los
                                numeros de origen o de destino, de conformidad
                                con to establecido en los Planes te cnicos
                                fundamentales, salvo en aquellos casos
                                expresamente autorizados por to Comision;

A.3.1.3.                        El Concesionario, en su caracter de operador del
                                Servicio de larga distancia, debera participar
                                en el Comite de Operadores establecido conforme
                                a las Reglas;

A.3.1.4.                        El Concesionario, en su caracter de operador del
                                Servicio de larga distancia, debera adherirse al
                                contrato de servicios del Auditor, al que se
                                refieren las Reglas para prestar el Servicio de
                                larga distancia internacional que deberan
                                aplicar Ios concesionarios de redes publicas de
                                telecomunicaciones autorizados para prestar este
                                servicio, publicadas en el Diario Oficial de la
                                Federacion el 11 de diciembre de 1996, y

A.3.1.5.                        El Concesionario se obliga a contribuir en la
                                recuperacion de los costos compartidos por todos
                                los concesionarios para la operacion del sistema
                                de larga distancia, incluyendo de manera
                                enunciativa pero no limitativa, aquellos costos
                                que representan erogaciones por una sola vez,
                                conformee a las formulas y procedimientos que
                                determine la Comision.

A.3.2.                          En relacion con el Servicio de provision de
                                capacidad contenido en la condicion A.2.2, el
                                Concesionario se obliga a observar y dar
                                cumplimiento a las disposiciones legates,
                                reglamentarias y administrativas aplicables, asi
                                como aquellas reglas que, al efecto, se emitan
                                en et futuro por la Secretaria o la Comision.

A.3.3.                          En relacion con el arrendamiento de circuitos
                                privados digitales dedicados, el Concesionario
                                se obliga a observar y dar cumplimiento a las
                                disposiciones legates reglamentarias y
                                administrativas aplicables, asi como aquellas
                                reglas que, al efecto se emitan en el futuro por
                                la Secretaria o la Comision.

A.4.                            Constitucion de derechos de uso. Los derechos de
                                uso seran sobre una parte de la infraestructura
                                de la Red, a favor de terceros que no esten
                                autorizados por la Secretaria para prestar
                                servicios de telecomunicaciones, y

                                      5/13
<PAGE>

                                uinicamente para el establecimiento de redes de
                                telecomunicaciones destinadas a satisfacer
                                necesidades especifcas de servicios de
                                telecomunicaciones que, par ningun motivo,
                                impliquen explotacion comercial de servicios o
                                de capacidad de dichas redes.

A.5.                            Constitucion de derechos de usufructo. Los
                                derechos de usufructo seran sobre una parte de
                                la infraestructura de 1a Red, revocables y por
                                un plazo que no exceda del previsto en la
                                condicion 1.4 de la Concesion.

A.6.                            Derechos de uso y usufructo. En los casos en que
                                se constituyan derechos de usufructo y uso, en
                                relacion con los servicios contempiados en la
                                condicion A.2, sin exception alguna, debera
                                observar to siguiente:

A.6.1.                          El usufructo no podra ser simultaneo;

A.6.2.                          EL usufructo no podra ser vitalicio;

A.6.3.                          El usufructuario no podra enajenar ni gravar su
                                derecho de usufructo;

A.6.4.                          El usufructuario debera renunciar a su derecho
                                del tanto, y

A.6.5.                          En todo caso, el Concesionario debera reservarse
                                et derecho de revocar el uso o el usufructo, en
                                caso de ocurrir cualquiera de los siguientes
                                supuestos:

A.6.5.1.                        Cuando el usufructuario o el usuario, segun sea
                                el caso, hagan mal uso de la parse de la
                                infraestructura de la Red respecto de la cual se
                                constituya su derecho;

A.6.5.2.                        Cuando medie resolution emitida par la
                                Secretaria o la Comision, asi como por autoridad
                                judicial o administrativa competente;

A.6.5.3.                        Cuando el usufructuario preste servicios de
                                telecomunicaciones sin contar con concesion o
                                autorizacion por parte de la Secretaria;

A.6.5.4.                        Cuando el usuario preste servicios de
                                telecomunicaciones en contravencion con la Ley y
                                sus reglamentos;

A.6.5.5.                        Cuando el usufructuario a el usuario, segcin sea
                                el caso, ejecuten actos que impidan la actuacion
                                de concesionarios de redes publicas de
                                telecomunicaciones o de los permisionarios a que
                                refiere el articulo 31 de la Ley, que tengan
                                derecho a ello, y

A.6.5.6.                        Cuando el usufructuario a el usuario, segun sea
                                el caso. operen o exploten comercializadoras de
                                servicios de telecomunicaciones en contravencion
                                a lo dispuesto por la Ley y sus reglamentos.

Los modelos de contrato que el Concesionario utilice para constituir los
derechos de usufructo y de usa sorre una parte de la infraestructura de la Red,
deberan contener las condiciones establecidas en la condicion A.6. Asimismo, el
Concesionario debera informar a la Comision, respecto de aquellos contratos que
sean revocados por cualquiera de los supuestos mencionados en la condicion A.6.5
anterior, dentro de los 5 (cinco) dias habiles siguientes a la fecha en que se
verifiquen dichos eventos.

                                      6/13
<PAGE>

El Concesionario es responsable de los actos relacionados con la operacion y
explotacion que, por cuenta propia o de los terceros con quienes contrate, se
lleven a cabo respecto de su Red.

A.7. Plaza para iniciar la prestacion do los servicios. El Concesionario debera
iniciar la prestacion de los servicios a que se refiere el presente Anexo, a mas
tardar 360 (trescientos sesenta) dias naturales posteriores a la fecha de
otorgamiento del mismo, para lo cual debera informar a la Comision el inicio de
la prestacion de dichos servicios, dentro de los 15 (quince) dias naturales
siguientes a su realizacion.

A.8. Compromisos do cobertura de la Red. El Concesionario se obliga a enlazar
con infraestructura de telecomunicaciones propia y/o arrendada de conformidad
con las especificaciones tecnicas de su solicitud y que se mencionan en la
condicion A.18 del presente Anexo, las ciudades que a continuacion se senalan:

<TABLE>
<CAPTION>
------------------------------- --------------------------------------------------------- ----------------------------
                                     ENLACE
------------------------------- ---------------------------- ---------------------------- ----------------------------
           FECHA DE                                                                             INFRAESTRUCTURA
          OPERACION
------------------------------- ---------------------------- ---------------------------- ----------------------------
<S>                             <C>                          <C>                          <C>
En operacion                    Mexico, D.F.                 Tlalnepantla Mex             Fibra optica propia
------------------------------- ---------------------------- ---------------------------- ----------------------------
Julio 2003                      Mexico, D.F.                 Puebla, Pue.                 Fibra optica arrendada
                                Mexico, D.F.                 Queretaro, Qro.              Fibra optica propia
------------------------------- ---------------------------- ---------------------------- ----------------------------
Dic 2003                        Monterrey, N.L.              Saltilto, Coah.              Fibra optica arrendada
                                Guadalajara, Jal.            San Luis Potosi, S.L.P.      Fibra bptica arrendada
                                Monterrey, N.L.              San Luis Potosi, S.L.P.      Fibra optica arrendada
------------------------------- ---------------------------- ---------------------------- ----------------------------
Dic 2004                        Monterrey. N.L.              Nuevo Laredo. Tamps.         Fibra optica arrendada
                                Mexico, D.F.                 Cuernavaca, Mor.             Fibra optica arrendada
                                Queretaro, Qro.              Celaya, Gto.                 Fibra optica propia
------------------------------- ---------------------------- ---------------------------- ----------------------------
Dic 2005                        Guadalajara, Jal.            Celaya, Gto.                 Fibra optica arrendada
                                Guadalajara, Jal.            Irapuato, Gto.               Fibra optica arrendada
------------------------------- ---------------------------- ---------------------------- ----------------------------
Dic 2006                        Monterrey, N.L.              Reynosa, Tamps.              Fibra optica arrendada
                                Guadalajara, Jal.            Leon, Gto.                   Fibra optica arrendada
------------------------------- ---------------------------- ---------------------------- ----------------------------
Dic. 2007                       Mexico, D.F.                 Veracruz, Ver.               Fibra optica arrendada
------------------------------- ---------------------------- ---------------------------- ----------------------------

</TABLE>

A.9. Trafico en transito. En ningun momento, el trifico en transito cursado por
of Concesionario, podra ser terminado en una red dentro del territorio nacional.

A.10. Cobertura de los servicios. Una vez cumplidos los compromisos de cobertura
establecidos en la condicion A.8, el Concesionario podra ofrecer y prestar los
servicios comprendidos en el presente Anexo en cualquier parte del territorio
national y con cualquier tecnologia. Antes de iniciar lo prestacion de los
servicios, el Concesionario debera informar con 30 (treinta) dias de
anticipacion a la Comision el area de servicio local que pretende servir y is
forma comp prestarA los servicios.

A.11. Cableados urbanos. En caso de que el Concesionario pretenda instalar
cableados en zonas urbanas para prestar los servicios de larga distancia a
usuarios finales de conformidad con las disposiciones que, al efecto, expida la
Comision, debera presentarle la solicitud correspondiente, La Comision resolvera
lo conducente en un plazo de 90 (noventa) dias naturales, contado a partir de la
recepcion de la solicitud.

A.12. Recursos arrendados. El Concesionario debera asegurar la transparencia en
terminos contables y operativos, de los recursos de conmutacion, interconexi6n y
transmision que arriende.

                                      7/13
<PAGE>

A.13. Informacion contable. El Concesionario debera proporcionar Ia informacion
contable por servicio, region, funcion y componentes de la Red, respecto de los
servicios contemplados en el presente Capitulo, de acuerdo con lo indicado en la
Resolucion publicada en el Diario Oficial de la Federacion el 1 de diciembre de
1998, que establece la metodologia para la entrega de informacion contable por
servicio de redes publicas de telecomunicaciones, de conformidad con la Ley
Federal de Telecomunicaciones, asi como de conformidad con las disposiciones
legales, reglamentarias y administrativas que en su caso sean establecidas.

A.14. Verificacion. El Concesionario se obliga a permitir a la Comision el
acceso a las inslataciones e infraestruc tura de la Red, tanto propia como
arrendada, a efecto de que la Comision pueda Ilevar a cabo sus funciones de
vigilancia y supervision, asi como a brindar todas las facilidades necesarias
para tal efecto.

A.15. Derechos de via. El Concesionario, al utilizar los derechos de via y
terrenos de propiedad federal asi como las aguas de jurisdiccion federal, debera
observar y cumplir con las disposiciones estatales, municipales y federates en
materia de desarrollo urbano y protection ecol6gica aplicables. El Concesionario
acepta que la Secretaria y Ia Comision podran, en todo momento, requerir Ia
documentacion e informacion necesaria o conveniente, con la que se acredite que
el Concesionario esta en cumplimiento de las disposiciones federales, estatales
y municipales en materia de desarrollo urbano y protection ecol6gica aplicables
y se obliga a presentar dicha documentac1on a informacion en los terminos en que
se le requiera.

A.16. Modernizacion do la Red. El Concesionario debera mantener actualizada su
Red, mediante la introduccion de los mas recientes avances tecnolgicos con
objeto de diversificar sus servicios y mejorar su calidad. Para lo cual debera
informar a la Secretaria y a la Comision, dentro del primer bimestre de cada
ano, la actualizacion realizada durante el ano calendario anterior y los
proyectos planeados para la modernizacion de la Red a realizarse en el ano en
que se presente el informe.

A.17. Trato no discriminatorio. El Concesionario debera atender toda solicitud
de servicio de larga distancia que se encuentre dentro del area de cobertura de
la Red.

A.18. Especificaciones tecnicas de la Red. El Concesionario se obliga a instalar
la Red para la prestacion de los servicios comprendidos en el presente Anexo,
cuando menos con las especificaciones tecnicas indicadas en su escrito de fecha
19 de agosto de 2002, del cual un resumen se transcribe a continuacion:

Red de Conmutacion

La red de conmutacion cumple con los estandares necesarios para lograr una
interconexion transparente hacia los elementos de la red de acceso, la red de
transporte, la red de Iarga distancia, la red local y la red de senializacion.

Los elementos de conmutacion cumplen con los estandares y recomendaciones
internacionales de la UIT-T (Uni6n Internacional de Telecomunicaciones), asi
como las normas nacionales definidas para dichos servicios y con la capacidad de
coexistir con las demas redes establecidas en el pais.

La interface de conexion hacia los elementos de las redes ya mencionadas, es
bajo el formato de la recomendacion G.703 y la NMX-T-001-199o NYCE.

La Red del Concesionario cuenta con centrales digitales de alta capacidad y
disponibilidad para el manejo de trafico local y de larga distancia, las cuales
se encuentran dimensionadas y configuradas con Ia redundancia requerida para
garantizar el trafico demandado.

                                      8/13
<PAGE>

El trafico local y de larga distancia se entrega en el punto de interconexion
declarado expresamente para dicho proposito en cada ciudad.

Se proporciona una interconexion entre las centrales de la Red del Concesionario
y las centrales de los demas operadores de larga distancia para establecer un
intercambio de trafico de larga distancia. Esta interconexion es con
infraestructura de fibra optica construida por el operador al cual el
Concesionario revende el trafico originante de larga distancia.

Las centrales de conmutacion utilizadas en la red de larga distancia del
Concesionario son DMS-100 (Nortel), producto que se ha utilizado en diferentes
partes del mundo en los ultimos 20 anos y ha sido actualizado tanto en hardware
como en software a traves del tiempo, lo que ha permitido mejorar los niveles de
calidad de servicio de acuerdo a los estandares internacionales.

El DMS-100 es un sistema de conmutacion digital de programa de control
almacenado que tienen todos los servicios de voz local y larga distancia
requerido por el mercado nacional e intemacional.

Estas centrales de conmutacion cuentan con una capacidad de procesamiento de
430,000 intentos de llamada en hora pico y una capacidad fisica de mas de.
3,5000 E1s.

De acuerdo a los traficos demandados en la Red, la capacidad de una central de
conmutacion es de 100,000 lineas.

Las centrales digitales tienen la capacidad de hasta 8,192 rutas y 2,048 grupos
de troncales, garantizandose el requerimiento futuro de enrutamientos y
servicios de larga distancia.

Los DMS-100 soportan los diferentes protocolos tales como R2 Modificado PAUSI-MX
(NOM-112), PRI, V5.2 requeridos para proporcionar el acceso a los usuarios, asi
como para la interconexion con los diferentes operadores.

Red de Senalizacion

La red de senalizacion cumple con los estandares nacionales e internacionales
para efectuar la interconexion local y de larga distancia.

La red de senalizacion del Concesionario se compone de 3 pares de PTSs (puntos
de transferencia de senalizacion) en un esquema redundante (Mexico, D.F.,
Monterrey, N.L. y Guadalajara, Jal.) que se interconecta con los PTSs designados
por los diferentes operadores de servicios locales y de larga distancia.

La interconexion para el servicio local y larga distancia se realiza con
senalizacion PAUSIMX (SCCN7 version Mexico NOM-112).

La red de senalizacion esta conformada por Puntos de Transferencia de
senalizacion broadband STP's (Nortel) de tercera generacion, los cuales cuentan
con una arquitectura distribuida, compacta y completamente redundante para
proporcionar la disponibilidad de la red en niveles de 99.9999%.

Los PTSs soportan los protocolos de senalizacion PAUSI-MX (SCCN 7 version Mexico
NOM-112) y cuenta con el software necesario para soportar servicios de red
inteligente tales como la portabilidad del nurnero, 800/900 avanzado, y
adicionalmente tiene la capacidad de manejar la senalizacion utilizando el
protocoto IP.

                                      9/13
<PAGE>

Red de transporte

La red de transporte cuenta con cable de 60 fibras de "Coming Glass" que maneja
capacidad de 2.5 Gbps hasta 40 Gbps utilizando la tecnologia DWDM. La red
proporciona la menor atenuacion posible por empalme, promedio de 0.03 decibeles
por seccion, que permite distancias mayores de 170 kilometros entre
regeneradores. La fibra optica utilizada en mononodal de muy alta calidad con
atenuacion no mayor a 0.2 decibeles por kiometro.

La infraestructura de la red de transporte esta conformada por 3 ductos
hermeticamente sellados, 2 de ellos libres para expansiones de Ia red y
servicios de mantenimuento. Instalacion de fibra por soplado, reduciendo el
estres sobre el cable.

Disenada para utilizar tecnologia de multiplexaje SDH, con backbone de gran
capacidad, utilizando Multiplexores Add Drop (ADM - Lucent), Digital Cross
Connect (SDXC) y DWDM (equipos pirelli).

Red de sincronia

Dada las altas velocidades binarias, asi como las topologias de red en
configuracion de anillos con esquemas de codificacion cada vez mas robustos,
hacen que la confiabilidad en la red sea especial, por ello la sincronizacion en
una red digital es una necesidad fundamental.

La red de sincronia cubre los estandares establecidos por la UIT-T (Union
Internacional de Telecomunicaciones) bajo las Recomendaciones G.812/G.81 s

La referencia primaria de sincronia sera strata 1 y 2, con una precision de
retencion de 5 X 10-11'" ppm, con una estabilidad de retencion de 1.16 x 10/9
dia..

La interface de conexion hacia los elementos de red para la distribucion de la
senal de sincronla, es bajo el formato de la Recomendacion G.703 y la
NMX-T-001-199o NYCE.

                                     10/13
<PAGE>

                                     ANEXO B

Programa de cobertura y conectividad social y rural, en lo sucesivo el Programa,
concertado entre la Secretaria y Axtel, S.A de C.V., en lo sucesivo el
Concesionario.

B.1. Definicion de terminos. Los terminos usados en este Programa tendran el
significado que se les da en la Ley, en la Concesion. asi como los que sean
expresamente definidos en este Programa.

B.2. Compromisos de cobertura. El Concesionario, se obliga a suministrar con
infraestructura propia, los servicios de telefonia local (32 Kbps) y transmision
de datos (64 Kbps), en las localidades que se mencionan a continuacion, en las
condiciones y plazos que se indican en el Cuadro siguiente:

<TABLE>
<CAPTION>
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
     Ano                   Localidad                    Municipio y Estado            Capacidad de       Poblacion
                                                                                         lineas         beneficiada
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
<S>             <C>                              <C>                                     <C>              <C>
2003            Apodaca                          Apodaca, N.L.                           2,880            14,400
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                General Escobedo                 General Escobedo, N.L.                  2,120            10,600
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Guadalupe                        Guadalupe, N.L.                         5,290            31,450
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Monterrey                        Monterrey, N.L.                        10,800            54,000
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Nicolas de los Garza         San Nicolas de los Garza, N.L.          4,720            23,600
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Pedro Garza Garcia           San Pedro Garza Garcia, N.L.            1,120             5,600
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Santa Catarina                   Santa Catarina, N.L.                    2,090            10,450
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
TOTAL                                                                                   30,020           150,100
--------------- ------------------------------------------------------------------- ----------------- ----------------
2004            Apodaca                          Apodaca, N.L.                           1,410             7,050
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                General Escobedo                 General Escobedo, N.L.                  1,410             7,050
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Guadalupe                        Guadalupe, N.L.                         3,090            15,450
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Monterrey                        Monterrey, N.L.                         7,390            36,950
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                El Uro                           Monterrey, N.L.                           210             1,050
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Los Cristales                    Monterrey, N.L.                            60               300
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                El Ranchito                      Monterrey, N.L.                            80               400
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                El Barreal                       Monterrey, N.L.                           130               650
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Nicolas de los Garza         San Nicolas de los Garza, N.L.          2,840            14,200
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Pedro Garza Garcia           San Pedro Garza Garcia, N.L.              800             4,000
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Santa Catarina                   Santa Catarina, N.L.                    1,440             7,200
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Juarez                           Juarez, N.L.                              410             2,050
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Guadalajara                      Guadalajara, Jal.                      10,080            50,400
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Tlaquepaque                      Tlaquepaque, Jal.                       2,910            14,550
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Zapopan                          Zapopan, Jal.                           6,130            30,650
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
TOTAL                                                                                   38,390           191,950
--------------- ------------------------------------------------------------------- ----------------- ----------------
                Azcapotzalco                     Azcapotzalco, D.F.                        270             1,350

2005
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Coyoacan                         Coyoacan, D.F.                          3,930            19,650
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Cuajimalpa de Morelos            Cuajimalpa de Morelos, D.F.               260             1,300
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Gustavo A. Madero                Gustavo A. Madero, D.F.                   370             1,850
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Iztacalco                        Iztacalco, D.F.                            90               450
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Iztpalapa                        Iztpalapa, D.F.                           300             1,500
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Magdalena Contreras              Magdalena Contreras, D.F.                 710             3,550
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Alvaro Obregon                   Alvaro Obregon, D.F.                      240             1,200

                                     11/13
<PAGE>

--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Tlalpan                          Tlalpan, D.F.                           1,020             5,100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Xochimilco                       Xochimilco, D.F.                          210             1,050
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Juarez                           Juarez, D.F.                              130               650
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Cuauhtemoc                       Cuauhtemoc, D.F.                          210             1,050
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Naucalpan de Juarez              Naucalpan de Juarez, Mex.                 120               600
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Miguel Hidalgo                   Miguel Hidalgo, D.F.                      490             2,450
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Huixquilucan                     Huixquilucan, Mex.                        420             2,100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Adolfo Lopez Mateos              Adolfo Lopez Mateos, Mex.                 340             1,700
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Venustiano Carranza              Venustiano Carranza, D.F.                 270             1,350
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Tlalnepantla                     Tlalnepantla, Mex.                        220             1,100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Guadarajara                      Guadalajara, Jal.                       6,160            30,800
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Tlaquepaque                      Tlaquepaque, Jal.                       2,030            10,150
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Zapopan                          Zapopan, Jal.                           3,750            18,750
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
TOTAL                                                                                   21,540           101,700
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
2006            Puebla                           Puebla, Pue.                            4,860            24,300
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Andres Cholula               San Andres Cholula, Pue.                  240             1,200
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Pedro Cholula                San Pedro Cholula, Pue.                   360             1,600
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Juan C. Bonilla                  Juan C. Bonilla, Pue.                      70               350
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Pablo del Monte              San Pablo del Monte, T1ax.                 70               350
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Tlaltenango                      Tlartenango, Pue.                          60               300
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Coronango                        Coronango, Pue.                            20               100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Cuautlancingo                    Cuautlancingo, Pue.                        30               150
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Tenancingo                       Tenancingo, Tlax.                          30               150
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Mazatecochco D J M Mor           Mazatecochco D J M Mor, Tlax.              20               100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Papalotla de Xicotencatl         Papalotla de Xicotencatl, Tlax.            20               100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Miguel Xoxtla                San Miguel Xoxtla                          20               100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Xicotzingo                       Xicotzingo, Tlax.                          30               150
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Leon                             Leon, Gto.                              5,400            27,000
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Plan de Ayala                    Leon, Gto.                                 60               300
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Metepec                          Metepec, Mex.                             420             2,100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Toluca                           Toluca, Mex.                            1,420             7,100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                San Luis Mextepec                Toluca, Mex.                               20               100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Mexcalongo                       Mexcalongo, Mex.                           20               100
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
                Chapultepec                      Chapultepec, Mex.                          10                50
--------------- -------------------------------- ---------------------------------- ----------------- ----------------
TOTAL                                                                                   13,150            65,900
--------------- ------------------------------------------------------------------- ----------------- ----------------
                                                 TOTAL DE 2003 AL 2006:                103,130           515,650

                                                                                    ----------------- ----------------
</TABLE>

                                     12/13
<PAGE>

El Concesionario podra prestar servicios de valor agregado que le permita la
Red, mismos que debera registrar ante la Comision, previamente a su prestacion,
de conformidad con lo dispuesto en el articulo 33 de la Ley.

B.3. Plazo para iniciar el suministro do los servicios. El Concesionario se
obliga a iniciar el suministro de los servicios senalados en la condicio B.2
anterior, en un plazo maiximo de 360 (trescientos sesenta) dias naturales
contado a partir de la fecha de otorgamiento de la presente Modificacion, e
informarlo a la Secretaria y a la Comision dentro de los 15 (quince) dias)
naturales posteriores a su inicio.

B.4. Vigencia del Programa. El presente Programa estara vigente por un plazo de
4 (cuatro) anos a partir de la fecha de inicio del suministro de los servicios a
que se refiere la condicion B.3. y tendra el caracter de obligatorio para el
Concesionario, quien debera concertar con la Secretaria un Programa similar cada
4 (cuatro) anos. durante la vigencia de la Concesion, mismo que debera
presentarse 360 (trescientos sesenta) dias naturaes antes de que termine la
vigencia del Programa.

B.5. Tarifas aplicables. Antes de iniciar el suministro de los servicios
senalados en la condicion B.2, el Concesionario se obliga a registrar las
tarifas aplicables ante la Comision, mismas que deberan ser iguales o menores a
las mas bajas que aplique para cornercializar los servicios comprendidos en to
Concesion.

B.6. Interrupcion de los servicios. EI Concesionario no podra interrumpir el
suministro de los servicios senalados en la condicion B.2 materia del presente
Programa, en una localidad que no cuente con servicios similares proporcionados
por otro concesionatio o permisionario, salvo causas de fuerza mayor o que
cuente con la autorizacion expresa de la Secretaria, de confomlidad con lo
dispuesto en el articulo 51 de la Ley.

B.7. Legislacion aplicable. El presente Programa se sujetara a lo establecido en
la Ley; en la Concesion, y demas disposiciones legales, reglamentarias y
administrativas que al efecto se expidan, asi como a las Condiciones
establecidas en el propio Programa.

B.8. Autorizaciones para Ia instalacion de los equipos de tetecomunicaciones. El
Concesionario debera gestionar por su cuenta ante las autoridades correspond
entes, las autorizaciones, permisos o convenios necesarios para la instalacion
de las equipos de telecomunicaciones en vias publicas para cumplir con el
presente Programa. Para el efecto, debera, adem9s, cumplir con las disposiciones
en materia de desarrollo urbano. equilibrio ecologico y proteccion ambiental.

B.9. Informacion. Sin perjuicio de las facultades de la Secretaria y de la
Comision de requerir todo tipo de informacion al Concesionario en terminos del
articulo 68 de la Ley, este debera entregar a la Secretaria y a la Comision,
cada 180 (ciento ochenta) dias naturales a partir de la fecha de inicio de
suministro de los servicios senalados en la condicion B.2 del presente Programa
y durante su vigencia, la siguiente informacion:

         B.9.1.   Velocidades de transmision disponibles en cada una de las
                  localidades indicadas en la condicion B.2 de este Programa;

         B.9.2.   Capacidad de acceso a la Red que contenga la cantidad de
                  lineas telefonicas en operacion, asi como la capacidad de
                  Ilneas disponibles en cada una de las localidades senalidas en
                  la condicion B.2 del presente Programa, y

         B.9.3.   Tarias que aplique a los servicios que proporciona en las
                  localidades indicadas en la condicion B.2, de conformidad con
                  Io seflaiado en la condicion B.5 del presente Programa.

                                     13/13
<PAGE>

B.10. Sanciones por incumplimiento del Programa. EI Concesionario se hara
acreedor a las sanciones que se establecen en la legislacion de Ia materia, en
caso de incumplimiento de las condiciones previstas en el Programa, asi como a
las disposiciones legales, reglamentarias o reglamentarias o administrativas
aplticables.

                                     14/13Exhibit 10.3

------     MEXICAN MINISTRY OF
SCT        COMMUNICATIONS AND
------     TRANSPORTATION
UNDER MINISTRY OF COMMUNICATIONS

                       CONCESSION CERTIFICATE FOR A PUBLIC
                    TELECOMMUNICATIONS NETWORK FOR PROVISION
                   OF FIXED OR MOBILE WIRELESS ACCESS SERVICE
                     IN REGIONS 1, 2, 3, 4, 5, 6, 7, 8 AND 9

                  Telefonia Inalambrica del Norte, S.A. de C.V.

<PAGE>

[A seal with the Mexican coat-of-arms reading:]
"United Mexican States - Ministry of
Communications and Transportation"

Concession to install, operate and exploit a public telecommunications network
that is granted by the Mexican Federal Government through the Mexican Ministry
of Communications and Transportation (the "Ministry"), to Telefonia Inalambrica
del Norte, S.A. de C.V. (the "Concession Holder").

                                   WITNESSETH

I. WHEREAS, on October 16, 1997, the Concession Holder applied for the approval
of the Federal Telecommunications Commission (the "Commission") to participate
in a tender of bids with a view to obtain a concession to use, operate and
exploit frequency bands of the radioelectric spectrum and provide fixed or
mobile wireless access service, pursuant to the Invitation to Tender Bids that
was published in the Federal Official Gazette on June 9, 1997 (the "Tender"),
and the Tender Rules that were published in the Federal Official Gazette on June
30, 1997, and the amendments thereto that were also published in the Federal
Official Gazette on July 4, August 15, September 3 and 4, and November 12, 1997
(the "Tender Rules"). Said application was also filed with a view to obtain a
concession to install, operate and exploit a public telecommunications network,
pursuant to the provisions of articles 18, last paragraph and 24 of the Federal
Telecommunications Law.

II. WHEREAS, at its session held on November 4, 1997, the Federal Competition
Commission en banc resolved not to express any objection or submit the
Concession Holder's participation in the Tender to any condition. This
resolution was notified to the Concession Holder under official communication
#3-101-(777)-97-494 dated November 4, 1997.

III. WHEREAS, the Ministry, through the Commission, analyzed all documents
submitted by the Concession Holder and, according to the different stages of the
bidding process described in the Tender and in articles 14, 15, 16, 17 et al of
the Mexican Federal Telecommunications Law, resolved to grant the Concession
Holder a Certificate of Qualification, due to the fact that the documents were
complete and met all necessary requirements. This resolution was informed to the
Concession Holder under official communication # CFT/D01/P/550/97 dated November
5, 1997.

IV. WHEREAS, the Commission, under official communication #CFT/D01/P/617/97
dated November 14, 1997, resolved to grant a Certificate of Participation to the
Concession Holder, considering that on November 10, 1997 the Concession Holder
had submitted the pertinent bid bond, and assigned to the Concession Holder a
confidentiality code to participate in the bidding process. Considering further
that the Concession Holder submitted the highest valid bid, the Commission en
banc, under resolution P/180598/0107, dated May 18, 1998, declared the
Concession Holder as the successful bidder in competitive biddings 38AIB1,
42AIF1, 46AIB2, 50AIF2, 54AIB3, 58AIF3, 62AIB4, 66AIF4, 70AIB5, 74AIF5, 78AIB6,
82AIF6, 86AIB7, 90AIF7, 94AIB8, 98AIF8, 102AIB9, and 106AIF9 of said Tender,
according to the Tender Rules.

V. WHEREAS, pursuant to the provisions of article 18 of the Mexican Federal
Telecommunications Law, should the exploitation of the services subject matter
of concession on the radioelectric spectrum require a concession for a public
telecommunications network, such concession will be granted in this same
administrative act.

<PAGE>
                                       2

VI. WHEREAS, the Ministry, through the Commission, analyzed all documents
related to the application filed by the Concession Holder to obtain a concession
to use, operate and exploit frequency bands of the radioelectric spectrum for
the provision of fixed or mobile wireless access services through a public
telecommunications network, and resolved that such documents satisfied all
requirements of the Mexican Federal Telecommunications Law and all other
applicable regulations. Therefore, pursuant to the provisions of articles
36(III) of the Mexican Organic Law of the Federal Public Administration; 11(II),
12, 18, 24, 25, 26, 27 and all other related articles of the Mexican Federal
Telecommunications Law; and 4 and 5(XI) of the Internal Regulations of the
Ministry of Communications and Transportation, the Ministry hereby grants the
Concession Holder this concession to install, operate and exploit a public
telecommunications network, subject to the following:

                                   CONDITIONS

                                  First Chapter
                               General Provisions

1. Definitions and Scope of the Concession.

1.1 Definitions. For the purposes of this Certificate, the following terms shall
have the following meanings:

     1.1.1 Wireless access, shall mean a bidirectional radioelectric linking
service between a public telecommunications network and a final user, for the
transmission of signs, signals, written material, images, voice, sounds or any
other types of data;

     1.1.2 Concession, shall mean the concession that is granted under this
Certificate for the installation, operation and exploitation of a public
telecommunications network;

     1.1.3 Law, shall mean the Mexican Federal Telecommunications Law;

     1.1.4 Interconnection, shall mean the physical and logic connection between
two public telecommunication networks for the exchange of traffic between the
exchanges of both networks. Interconnection allows users of either network to
connect to and exchange traffic with users of the other network, or to access
services provided by the other network;

     1.1.5 Interoperability, shall mean all technical characteristics of a group
of interconnected public telecommunication networks that ensure the consistent
and predictable provision of a specific service, pursuant to the functional
delivery of services among networks;

     1.1.6 Master Plans, shall mean the Master Technical Signal Plan and the
Master Technical Number Plan that were published on June 21, 1996, and any other
plans that may be issued by the Ministry or the Commission from time to time;
and

     1.1.7 Network, shall mean the public telecommunications network that is the
subject matter of concession; and

<PAGE>
                                       3

     1.1.8 Rules, shall mean the Local Service Rules that were published in the
Federal Official Gazette on October 23, 1997, or any successor rules.

1.2. Purpose of the Concession. A Concession is granted under this Certificate
for the installation, operation and exploitation of a public telecommunications
network and the provision of all services that are described in the exhibit(s)
to the Concession, pursuant to all terms and conditions set forth therein.

1.3 Services. The Concession Holder agrees to install, operate and exploit the
Network and provide all services referred to in the exhibit(s) to this
Certificate in accordance with all terms and conditions set forth therein.
Likewise, the Concession Holder agrees to submit for approval by the Commission,
prior to their instrumentation, all agreements to be executed with the users for
provision of the services referred to in the exhibit(s) to the Concession,
pursuant to all applicable legal, regulatory and administrative provisions.

The Concession Holder may provide services additional to those covered by the
exhibit(s) to the Concession, subject to the favorable decision of the Ministry.
To this end, the Concession Holder shall file an application that is
satisfactory for the Ministry and meets all requirements of article 24 of the
Law and all other applicable provisions, without prejudice of the fact that, in
case any concession for frequency bands of the radioelectric spectrum is
required, such concession shall be granted through the public bidding process
contemplated by article 14 and all other applicable articles of the Law.

The approval or concession mentioned in the immediately preceding paragraph
shall be granted only if the Concession Holder is in compliance with all of its
obligations related to the Concession.

According to article 33 of the Law, the Concession Holder may provide value
added services, subject to the prior registration of the services with the
Commission.

1.4 Modification of the Coverage. The Concession Holder will be able to extend
or reduce the geographic coverage of the Network, subject to the prior approval
of the Commission, except in case of modification of the coverage as regards
bands of the radioelectric spectrum, in which event the prior approval of the
Ministry shall be required.

The Commission or the Ministry shall, as the case may be, approve or disapprove
the application for extension or reduction of the coverage within one hundred
and twenty (120) calendar days following receipt of the application, provided
that the Concession Holder is fully complying with all of its obligations
related to the Concession.

1.5 Effective term. The term of this Concession shall be of twenty (20) years
from the date of its granting. The term of the Concession may be extended,
pursuant to the provisions of article 27 of the Law.

1.6 Commencement of operations. Before commencing the operation of the Network,
and for provision of all services subject matter of the Concession, the
Concession Holder shall prove to the Ministry that its subscribed and paid-in
capital is equal to or higher than 1.924 billion pesos, Mexican currency, which
figure was obtained from data provided for year one (1) of your Business Plan
that was submitted with respect to the application referred to in paragraph I of
the Witnesseth chapter hereof. Further, the Concession Holder is required to
maintain a maximum total debt to stockholders' equity ratio of 3.5, pursuant to
the terms of the above-mentioned Business Plan, during the first five years of
its operation as concessionaire of a public telecommunications network.

<PAGE>
                                       4

1.7 Applicable laws. The Network and the services subject matter of this
Concession shall be installed, operated and exploited and provided,
respectively, pursuant to the provisions of the Political Constitution of the
United Mexican States, the Law and any supplementary laws set forth in article 8
of the Law, and any international treaties, laws, regulations, decrees, Rules,
master technical plans, Mexican official standards, rulings, orders, circular
letters and all other legal, regulatory and administrative provisions that may
be introduced by the Ministry or the Commission, and pursuant to all conditions
set forth herein.

The Concession Holder agrees that in case of derogation or amendment of or
additions to the legal, regulatory or administrative provisions referred to in
the first paragraph of this clause 1.7 to which this Concession is subject, the
Concession Holder shall be subject to all successor laws and administrative
provisions, from the effective date thereof.

1.8 Other Concessions. This Concession does not grant any exclusivity rights to
the Concession Holder, but the Ministry may, within the same geographic area,
grant other concessions to third parties for the installation, operation and
exploitation of one or more public telecommunication networks, for provision of
services identical or similar to the services covered by this Concession.

1.9 Assignment of Rights. The Concession Holder may, subject to the prior
approval of the Ministry, assign all or any of its rights and obligations under
the Concession, pursuant to the provisions of article 35 of the Law.

1.10 Provision of Services through Affiliates or Subsidiaries. The Concession
Holder may, subject to the prior approval of the Ministry, provide any services
covered by this Concession through any affiliate or subsidiary, provided the
Concession Holder will prove, to the satisfaction of the Ministry, that the
affiliate or subsidiary has all financial capacity required for provision of the
services subject matter of the Concession. Notwithstanding the foregoing, the
Concession Holder shall always be responsible to the Ministry for the
performance of all obligations related to the Concession.

1.11 Powers of Attorney. The Concession Holder in no event shall grant any
irrevocable general power of attorney for acts of administration or acts of
ownership that is intended to empower or entitle the attorney-in-fact or grantee
to exercise any right or perform any obligation under the Concession.

1.12 Liens. In case any lien is created on the Concession or on any rights
thereunder by the Concession Holder, the lien shall be recorded as required by
article 64 of the Law, within thirty (30) calendar days following the date of
creation of the lien.

The instrument under which the created lien was documented shall expressly
provide that the creditor in no event shall acquire the capacity of Concession
Holder in case of foreclosure of the lien.

The Concession may only be assigned to a creditor or a third party if the
assignment of all rights arising therefrom is approved by the Ministry, pursuant
to the provisions of article 35 of the Law, or if a concession is granted
pursuant to the provisions of article 24 of the Law, provided that in this
latter event the frequency bands of the radioelectric spectrum shall not be
included in the concession.

<PAGE>
                                       5

1.13 Nationality. The Concession Holder shall, with respect to this Concession,
not have any rights other than the rights available at Mexican nationals under
the Mexican laws. Consequently, the Concession Holder and its non-Mexican
shareholders or members, if any, agree not to request or accept the diplomatic
involvement of any foreign government, under the penalty, in case of breaching
this provision, of forfeiting to the Mexican government all property and rights
that the shareholders or members may have acquired for the installation,
operation and exploitation of the Network.

1.14 Neutral Investment. Pursuant to the provisions of the Fifth Title of the
Mexican Foreign Investment Law, neutral investment shall not be taken into
consideration to determine the percentage of the interest held by foreign
investors in the Concession Holder's capital stock.

1.15 Companies where a Foreign Government Holds an Interest in their Capital
Stock. Any interest held by a company where a foreign government may have an
interest in its capital stock shall not be considered as an interest held by a
foreign government or State, provided the company is not considered as a
government authority by the internal laws of its country of origin and has legal
capacity and assets of its own.

1.16 Subscription and Transfer of Shares of Stock or Partnership Interests. The
Concession Holder shall provide to the Ministry and the Commission, no later
than April 30 of each year, a list showing the names of its shareholders owning
5% or more of the Concession Holder's capital stock and the names of all
individuals who hold, either directly or indirectly, an interest of 10% or more
in the Concession Holder's capital stock, and the names of its 10 main
shareholders and the percentages represented by their respective interests in
the Concession Holder's capital stock, attaching thereto all information that
may be required by the Commission.

In case of any attempt to subscribe or transfer shares of stock or partnership
interests, either in one transaction or a series of related transactions, that
represent 10% or more of the Concession Holder's capital stock, the procedure
below shall be followed:

     1.16.1 The Concession Holder shall give the Ministry notice of the
intention of any parties interested in subscribing or transferring shares of
stock or partnership interests of the Concession Holder's capital stock,
attaching thereto information on the potential buyers of the shares of stock or
partnership interests;

     1.16.2 The Ministry shall be entitled to disapprove the transaction in
question within ninety (90) calendar days following receipt of the notice, by
giving written notice of its disapproval and providing all reasons therefor; and

     1.16.3 If not disapproved by the Ministry upon expiration of the
above-mentioned 90-day term, the transaction shall be deemed approved.

Only those transactions that shall have not been disapproved by the Ministry may
be recorded in the stock transfer book of the Concession Holder, regardless of
any other approvals that must be obtained from other government authorities
pursuant to the applicable legal, regulatory and administrative provisions. The
notice referred to in clause 1.16.1 above shall not be required when the
subscription or transfer involves shares of stock or partnership interests
representing neutral investment pursuant to the terms of the Mexican Foreign
Investment Law, or when a capital increase is subscribed by the same
shareholders, provided that in this latter event each shareholder maintains the
same percentage of interest in the corporation's capital stock.

<PAGE>
                                       6

If the party interested in subscribing or acquiring the shares of stock or
partnership interests is a corporation, then the notice referred to in clause
1.16.1 above shall include all information needed for the Ministry to know the
identity of all individuals having an interest above 10% in the corporation's
capital stock.

This condition shall be included in the bylaws of the Concession Holder and in
all share certificates issued by it.

1.17 Training and Technological Development. The Concession Holder shall develop
training programs for its employees, and shall also conduct research and
development activities in Mexico in coordination, at its sole discretion, with
the Commission or any Mexican technological research and development
institutions.

1.18 Designation of Person Responsible for Technical Issues. The Concession
Holder shall designate a person who shall be responsible to the Commission for
the technical operation of the Network. Said person shall have all powers of
administration that may be needed to assume obligations to the Commission on
behalf of the Concession Holder with respect to the technical operation of the
Network.

1.19 Designation of Legal Representative. The Concession Holder shall, at all
times during the term of the Concession, have a legal representative with
general powers for litigation and collection and for acts of administration, in
accordance with article 2554 of the Civil Code for the Federal District in
matters of local jurisdiction and for the United Mexican States in matters of
federal jurisdiction, and with all related articles of the civil codes of the
other states of Mexico, who must be duly accredited before the Ministry and the
Commission, without prejudice of the Concession Holder's right to designate any
other legal representatives that may represent it before the Ministry and the
Commission.

                                 Second Chapter
                      Provisions Applicable to the Services

2.1 Quality of the Services. The Concession Holder shall provide all services
covered by this Concession in an efficient and uninterrupted fashion, and shall
guarantee the interoperability and interconnection at all times, according to
the applicable laws, the technical characteristics set forth in the exhibit(s)
to this Concession, and all applicable administrative provisions.

Further, the Concession Holder shall, within three hundred and sixty (360)
calendar days following the date the Concession is granted, instrument all
mechanisms that may be needed to repair the Network or any service failure
within eight (8) business hours following receipt of the failure report.

The Concession Holder shall ensure that all services covered by this Concession
be provided under the best pricing, diversity and quality conditions to the
benefit of all users, so as to promote the efficient development of
telecommunications. To this end, the Concession Holder shall submit to the
Commission, within one hundred and twenty (120) calendar days following the date
the Concession is granted, the minimum quality standards for the services,
regardless of the Commission's right to issue general application rules to that
effect.

2.2 Interconnection. Pursuant to the provisions of articles 41, 42 and 43 of the
Law, the Concession Holder shall execute interconnection agreements with any
other authorized concessionaire of public telecommunication networks that so
requests.

<PAGE>
                                       7

The Concession Holder shall, upon request and according to all applicable laws,
regulations, rules, master plans and all other general administrative
provisions, interconnect its Network to other networks authorized by the
Ministry, on a non-discriminatory basis. In case no agreement is reached in any
interconnection negotiations, the Commission shall make the pertinent decision.

2.3 Interruption of the Services. If the provision of any service is interrupted
for more than seventy two (72) consecutive hours following the time set forth in
the pertinent report, the Concession Holder shall credit to the users that
portion of the rate corresponding to the duration of the interruption.

2.4 Service and Repair Calls. The Concession Holder shall instrument a system to
receive service and repair calls.

The Concession Holder shall prepare a monthly report on the occurrence of
failures per type of failure, all corrective actions adopted and all credits
made to the users, for submission to the Commission upon request.

The Commission may make the above information available to the public, jointly
with information from any other concessionaires that provide similar services in
Mexico or in the same region.

2.5 Measurement and Quality Control Equipment. The Concession Holder shall, on
the date of commencement of the operation and exploitation of the Network, take
all actions needed to ensure the accuracy and reliability of all equipment used
to measure the quality of and bill the services. To this end, the Concession
Holder shall make calibration tests to its equipment and provide to the
Commission on a quarterly basis, upon request, the results of the tests and all
documents proving that the pertinent adjustments, if any, have been made.

Further, the Concession Holder shall keep all resulting information in such
records for the measurement equipment as may be determined by the Commission.

2.6 Trade Practices Code. The Concession Holder shall, within one hundred and
eighty (180) calendar days following the date the Concession is granted and
pursuant to any general application rules that may be issued by the Commission
therefor, develop a trade practices code to clearly and briefly describe therein
all services to be provided by it and the method to be used for application of
the pertinent rates. The Concession Holder shall, after development of the code
and subject to the Commission's prior approval, make an excerpt of the code
available to the public at its commercial offices and publish the excerpt in one
of the newspapers having wide circulation throughout Mexico.

2.7 Emergency Services. The Concession Holder shall, on the date of commencement
of the operation and exploitation of the Network, make available to the
Commission an action plan to prevent the interruption of the services and to
provide emergency services in case of occurrence of an act of God or force
majeure.

In case of occurrence of an emergency situation within the area covered by the
Concession Holder, the Concession Holder shall provide, free of charge, all
basic services ordered by the Ministry, only for the period of time and to the
extent required by the emergency situation.

The Concession Holder shall inform the Commission of any event that may have a
general and material impact on the operation of the Network.

<PAGE>
                                       8

                                  Third Chapter
                                      Rates

3.1 Improper Charging of Rates. Should the Concession Holder charge its users
any rates other than its registered rates or the rates, if any, established
pursuant to the provisions of articles 61 and 63 of the Law, then the Concession
Holder shall reimburse its users the amount charged in excess of the registered
or established rates.

The above reimbursement will be made without prejudice of any penalties that may
be imposed on the Concession Holder pursuant to the Law and all other applicable
legal, regulatory and administrative provisions.

3.2 No Crossed Subsidies. The Commission shall be entitled to ensure at any time
that the registered rates do not constitute crossed subsidies pursuant to the
provisions of article 62 of the Law, for which purpose the Concession Holder
shall provide all pertinent information within sixty (60) calendar days
following the date of receipt of the Commission's request.

3.3 Billing. All billing systems of the Concession Holder are subject to the
approval of the Commission before their instrumentation.

                                 Fourth Chapter
                          Confirmation and Information

4.1 Without prejudice of the Commission's power to request the Concession Holder
to provide any other information, pursuant to the terms of article 68 of the
Law, the Concession Holder shall provide the following to the Commission within
one hundred and fifty (150) calendar days following the closing of each fiscal
year of the Concession Holder:

     4.1.1 Audited financial statements, itemized per service and, if pertinent,
per geographic area;

     4.1.2 A description of the main fixed assets of the Concession Holder that
form the Network, according to the forms established by the Commission therefor;
and

     4.1.3 A report on all actions taken with respect to the training programs
for the Concession Holder's employees, and on all research and development
activities conducted in Mexico, as set forth in clause 1.17 of this Concession.

4.2 The Concession Holder shall submit quarterly reports to the Commission on
the progress of the expansion program for the Network.

4.3 The Concession Holder shall submit to the Commission, upon request,
statistical information on traffic, routing, occupation, performance and other
operating parameters of the Network, in accordance with the general provisions
that may be issued by the Commission therefor. Further, the Concession Holder
shall provide accounting information per service, region, function and component
of the Network, subject to the prior approval by the Commission of the pertinent
methods and dates therefor.

<PAGE>
                                       9

                                  Fifth Chapter
                               Registered Address

5. The Concession Holder hereby designates Idaho No. 14, Col. Napoles, 03810
Mexico, D.F. as its registered address for the service of process.

In case of change of registered address, the Concession Holder shall inform of
such change to the Commission within the following fifteen (15 days).

                                  Sixth Chapter
                                Performance Bonds

6. The Concession Holder shall place, to the satisfaction of the Ministry, all
bonds that may be required to guarantee the performance of the Concession
Holder's obligations under this Concession, in the form and terms set forth in
the Exhibit(s) to the Concession.

                                 Seventh Chapter
                                Competent Courts

7. Competent courts. For resolution of any matter related to the interpretation
and enforcement of this Concession Certificate, other than any issue reserved
for resolution by the Ministry or the Commission under an administrative
resolution, the Concession Holder agrees to submit to the jurisdiction of the
federal courts of Mexico City, Mexico, waiving any other jurisdiction that might
correspond to it by reason of its present or future domicile.

                      Mexico City, Mexico, October 7, 1998.

                THE MINISTRY OF COMMUNICATIONS AND TRANSPORTATION

                                  By: [signed]
                              CARLOS RUIZ SACRISTAN
                                    MINISTER

                              THE CONCESSION HOLDER
                  TELEFONIA INALAMBRICA DEL NORTE, S.A. DE C.V.

                                  By: [signed]
                            CARLOS ESCALANTE GONZALEZ
                              LEGAL REPRESENTATIVE

<PAGE>

                                                 Spanish Version of Exhibit 10.3

[COMPANY LOGO]

                               TITULO DE CONCESION
                      DE RED PUBLICA DE TELECOMUNICACIONES
                     PARA LAS REGIONES 1,2,3,4,5,6,7,8 Y 9.

                  Telefonia Inalambrica del Norte, S.A. de C.V.

<PAGE>

    SECRETARIA DE COMUNICACIONES
                  Y
             TRANSPORTES

Concesion para instalar, operar y explotar una red publica de
telecomunicaciones, que otorga el Gobierno Federal por conducto de la Secretaria
de Comunicaciones y Transportes, en lo sucesivo la Secretaria, en favor de
Telefonia Inalambrica del Norte, S.A. de C.V., en lo sucesivo el Concesionario,
con domicilio para oir y recibir notificaciones en Idaho No. 14, Col. Napoles,
03810 Mexico, D.F., al tenor de los siguientes antecedentes y condiciones.

                                  ANTECEDENTES

I.   El Concesionario presento solicitud ante la Comision Federal de
     Telecomunicaciones, en lo sucesivo la Comision, con fecha 18 de junio de
     1997, para participar en la licitacion para el otorgamiento de concesiones
     para el uso, aprovechamiento y explotacion de bandas de frecuencias del
     espectro radio-electrico para la prestacion del servicio de provision de
     enlaces de microondas punto a multipunto de conformidad con la Convocatoria
     publicada en el Diario Oficial de la Federacion el dia 30 de abril de 1997,
     en lo sucesivo la Convocatoria, asi como de las bases de licitacion
     respectivas, publicadas en el Diario Oficial de la Federacion el dia 14 de
     mayo de 1997 y sus modiflicaciones publicadas en el Diario Oficial de la
     Federacion el dia 10 de junio de 1997 en lo sucesivo las Bases. Dicha
     solicitud se presento tambien con efectos de obtener una concesion para
     instalar, operar y explotar una red publica de telecomunicaciones, de
     conformidad con lo establecido por los articulos 18, ultimo parrafo y 24 de
     la Ley Federal de Telecomunicaciones.

II.      El Pleno de la Comision Federal de Competencia resolvio en sesion
         celebrada el 10 de julio de 1997, no objetar ni condicionar la
         participacion del Concesionario en la licitacion anteriormente
         senalada, siendo notificado el Concesionario con Oficio numero
         3-101-(777)-97-274 de fecha 10 de julio de 1997.

III.     La Secretaria, por conducto de la Comision, analizo y dictamino la
         documentacion de la solicitud del Concesionario y de acuerdo a las
         etapas del procedimiento de licitacion previsto en la Convocatoria y en
         los articulos 14, 15, 16, 17 y demas relativos de la Ley Federal de
         Telecomunicaciones, resoivio mediante oficio No. CFT.-209 de fecha 14
         de julio de 1997, otorgar al Concesionario la Constancia de
         Calificacion por estar debidamente integrada y haber satisfecho los
         requisitos para tal efecto exigidos.

IV.      La Comision con Oficio No. CFT.-246 de fecha 23 de julio de 1997,
         resolvio otorgar la Constancia de Participacion al Concesionario, en
         virtud de que con fecha 17 de julio de 1997, presento la Garantia de
         Seriedad correspondiente, proporcionandole en el mismo acto la clave de
         confidencialidad para participar en el proceso de licitacion. El Pleno
         de la Comision emitio fallo a favor del Concesionario, mediante acta
         fechada el 3 de octubre de 1997, adjudicandole los concursos 36PAM10-1,
         37PAM10-2, 38PAM10-3, 39PAM10-4, 40PAM10-5, 41PAM10-6, 42PAM10-7,
         43PAM10-8 y 44PAM10-9, de conformidad con las Bases.

V.       La Secretaria, a traves de la Comision, analizo y evaluo la
         documentacion correspondiente a la solicitud del Concesionario,
         resolviendo que la misma cumplio a satisfaccion con los requisitos
         exigidos por la Ley Federal de Telecomunicaciones y demas disposiciones
         aplicables. Por lo que, con fundamento en los articulos 36, fraccion
         III de la Ley Organica de la Administracion Publica Federal; 11,
         fraccion II, 12, 18, 24, 25, 26, 27 y demas relativos de la Ley Federal
         de Telecomunicaciones, la Secretaria otorga al Concesionario la
         presente concesion para instalar, operar y explotar una red publica de
         telecomunicaciones, la que quedara sujeta a las siguientes.

<PAGE>
                                      -2-

                                   CONDICIONES

                                Capitulo Primero
                             Disposiciones Generales

1.1.     Definicion de terminos. En adicion a las definiciones contenidas en la
         Ley Federal de Telecomunicaciones, para los efectos de la presente
         concesion se entendera por:

1.1.1.   Comision: la Comision Federal de Telecomunicaciones;

1.1.2.   Concesion: la contenida en el presente Titulo para instalar, operar y
         explotar una red publica de telecomunicaciones;

1.1.3.   Ley: la Ley Federal de Telecomunicaciones, y

1.1.4.   Red: la red publica de telecomunicaciones objeto de la Concesion.

1.2.     Servicios. El Concesionario se obliga a instalar, operar y explotar la
         Red y a prestar los servicios a que se refieren los anexos de la
         Concesion, en los terminos y condiciones ahi indicados. De igual forma,
         el Concesionario se obliga a someter a la aprobacion de la Comision,
         previo a su aplicacion, los contratos tipo a ser celebrados con los
         usuarios, con relacion a la prestacion de los servicios a que se
         refieren los anexos de la Concesion, de conformidad con las
         disposiciones legates, reglamentarias y administrativas aplicables.

         El Concesionario podra prestar servicios adicionales a los comprendidos
         en los anexos de la Concesion previa autorizacion de la Secretaria. Al
         efecto, el Concesionario debera presentar solicitud a satisfaccion de
         la Secretaria, que cumpla con los requisitos del articulo 24 de la Ley
         y demas disposiciones que resulten aplicables, sin perjuicio de que, de
         requerir concesiones sobre bandas de frecuencias del espectro
         radioelectrico, estas se otorgaran mediante el procedimiento de
         licitacion publica previsto por el articulo 14, asi como por los demas
         aplicables de la Ley.

         Para obtener la autorizacion o concesion mencionadas en el parrafo
         anterior, el Concesionario debera estar al corriente en el cumplimiento
         de las obligaciones derivadas de la presente Concesion.

         En los terminos del articulo 33 de la Ley, el Concesionario podra
         prestar servicios de valor agregado, bastando que previamente los
         registre ante la Comision.

1.3.     Modificacion de cobertura. Para que el Concesionario pueda modificar el
         area de cobertura de la Red, requerira de la autorizacion previa de la
         Comision, salvo en el caso de modificaciones a la cobertura sobre
         bandas del espectro radioelectrico, las cuales, en su caso, deberan ser
         autorizadas por la Secretaria.

         La Comision o la Secretaria, segun sea el caso, resolvera sobre la
         solicitud para la modificacion de la cobertura de la Red del
         Concesionario en un plazo no mayor a 120 dias naturales contados a
         partir de la

<PAGE>
                                      -3-

          recepcion de la solicitud, siempre que el Concesionario se encuentre
          al corriente en el cumplimiento de las obligaciones derivadas de la
          Concesion.

1.4.     Vigencia. La vigencia de esta Concesion sera de 20 anos contados a
         partir de la fecha de su firma y podra ser prorrogada de acuerdo con lo
         senalado por el articulo 27 de la Ley.

1.5.     Legislacion aplicable. La instalacion, operacion y explotacion de la
         Red y de los servicios comprendidos en la Concesion, debera sujetarse a
         la Constitucion Politica de los Estados Unidos Mexicanos, la Ley y las
         Leyes supletorias senaladas en el articulo 8 del citado ordenamiento
         legal, asi como a los tratados internacionales, leyes, reglamentos,
         decretos, normas oficiales mexicanas, resoluciones, acuerdos,
         circutares y demas disposiciones administrativas que expida la
         Secretaria o la Comision, asi como a las condiciones establecidas en
         esta Concesion.

         El Concesionario acepta que si los preceptos legales y las
         disposiciones administrativas a que se refiere el parrafo anterior y a
         las cuales queda sujeta esta Concesion, fueren derogados, modificados o
         adicionados, el Concesionario quedara sujeto a la nueva legislacion y
         disposiciones administrativas, a partir de su entrada en vigor.

1.6.     Otras Concesiones. La Concesion no confiere derechos de exclusividad al
         Concesionario, por lo que la Secretaria, dentro de la misma area
         geografica, podra otorgar otras concesiones a favor de terceras
         personas para instalar, operar y explotar una o mas redes publicas de
         telecomunicaciones, para que se presten servicios identicos o similares
         a los comprendidos en esta Concesion.

1.7.     Cesion de derechos. El Concesionario podra ceder parcial o totalmente
         los derechos y obligaciones establecidos en la Concesion, en los
         terminos del articulo 35 de la Ley y demas disposiciones legales,
         reglamentarias y administrativas aplicables.

1.8.     Prestacion de los servicios a traves de filiales o subsidiarias. Previa
         autorizacion de la Secretaria, el Concesionario podra prestar los
         servicios comprendidos en esta Concesion a traves de empresas filiales
         o subsidiarias, siempre que acredite a satisfaccion de esta, que dichas
         empresas cuentan con la capacidad financiera necesaria para la
         prestacion de los servicios en cuestion. No obstante lo anterior, en
         todo momento, el Concesionario sera el unico responsable ante la
         Secretaria, la Comision y cualquier autoridad competente, por el
         estricto cumplimiento de las obligaciones derivadas de la Concesion.

1.9.     Poderes o mandatos. En ningun caso el Concesionario podra otorgar
         poderes o mandatos generales para actos de administracion o de dominio
         con caracter de irrevocables, que tengan por objeto o hagan posible al
         apoderado o mandatario el ejercicio de los derechos y obligaciones
         contemplados en la Concesion.

1.10.    Gravamenes. Cuando et Concesionario constituya algun gravamen sobre la
         Concesion o los derechos derivados de ella, debera efectuar el registro
         a que se refiere el articulo 64 de la Ley, dentro de los 30 dias
         naturales siguientes a la fecha de su constitucion.

         El documento en que conste la garantia otorgada debera establecer,
         expresamente, que la ejecucion de la misma en ningun caso otorgara el
         caracter de concesionario al acreedor.

<PAGE>
                                      -4-

         Para que la Concesion le sea adjudicada al acreedor o a un tercero, se
         requerira que la Secretaria autorice la cesion de derechos en los
         terminos del articulo 35 de la Ley o bien, que obtenga concesion de
         conformidad con el articulo 24 del mismo ordenamiento, sin que en este
         ultimo caso se encuentren comprendidas bandas de frecuencias del
         espectro radioelectrico.

1.11.    Nacionalidad. El Concesionario no tendra en relacion con esta Concesion
         mas derechos que los que las leyes mexicanas conceden a los mexicanos
         y, por consiguiente, la sociedad y sus socios extranjeros, en su caso,
         se comprometen a no pedir ni aceptar la intervencion diplomatica de
         algun pais extranjero, bajo la pena de perder, en beneficio de la
         nacion mexicana, todos los bienes y derechos que hubiesen adquirido
         para instalar, operar y explotar la Red.

1.12.    Inversion neutra. En terminos del Titulo Quinto de la Ley de Inversion
         Extranjera, la inversion neutra no se computara para determinar el
         porcentaje de inversion extranjera en el capital social del
         Concesionario.

1.13.    Empresas con participacion estatal de paises extranjeros. No se
         considerara como participacion accionaria de un gobierno o estado
         extranjero, la que realicen empresas con participacion estatal de
         paises extranjeros que no sean consideradas como autoridades por la
         legislacion interna del pais de origen, y que tengan personalidad
         juridica y patrimonio propios.

1.14.    Suscripcion y enajenacion de acciones o partes sociales. El
         Concesionario se obliga a presentar a la Secretaria y a la Comision, a
         mas tardar el 30 de abril de cada ano, una relacion de sus diez
         principales accionistas y sus respectivos porcentajes de participacion,
         a la que acompanara la informacion que determine la Comision.

         En caso de cualquier supuesto de suscripcion o enajenacion de acciones
         o partes sociales en un acto o sucesion de actos, que represente el
         diez por ciento o mas del monto del capital social de la sociedad, el
         Concesionario se obliga a observar el regimen siguiente:

1.14.1.           El Concesionario debera dar aviso a la Secretaria de la
                  intencion de los interesados en realizar la suscripcion o
                  enajenacion de las acciones o partes sociales, debiendo
                  acompanar el aviso con la informacion de las personas
                  interesadas en adquirir las acciones o partes sociales;

1.14.2.           La Secretaria tendra un plazo de 90 dias naturales, contados a
                  partir de la presentacion del aviso, para objetar por escrito
                  y por causa justificada la operacion de que se trate, y

1.14.3.           Transcurrido dicho plazo sin que la operacion hubiere sido
                  objetada por la Secretaria, se entendera por aprobada.

         Solo las operaciones que no hubieren sido objetadas por la Secretaria
         podran, en su caso, inscribirse en el libro de registro de accionistas
         o socios de la persona moral, sin perjuicio de las autorizaciones que
         se requieran de otras autoridades conforme a las disposiciones
         aplicables. No se requerira presentar el aviso a que se refiere el
         numeral 1.14.1. anterior, cuando la suscripcion o enajenacion se
         refiera a acciones o partes sociales representativas de inversion
         neutra en terminos de la Ley de Inversion Extranjera, o cuando se trate
         de aumentos de capital que sean suscritos por los mismos accionistas,
         siempre que en este ultimo caso no se modifique la proporcion de la
         participacion de cada uno de ellos en el capital social.

<PAGE>
                                      -5-

         En caso de que el interesado en suscribir o adquirir las aciones o
         partes sociales sea una persona moral, en el aviso al que se refiere la
         condicion 1.14.1. anterior, debera presentarse la informacion necesaria
         para que la Secretaria conozca la identidad de las personas fisicas que
         tengan intereses patrimoniales mayores al diez por ciento del capital
         de dicha persona moral.

         Esta condicion debera incluirse en los estatutos sociales, asi como en
         los titulos o certificados que emita el Concesionario.

1.15.    Capacitacion y desarrollo tecnologico. El Concesionario desarrollara
         programas de adiestramiento y capacitacion de su personal. Asimismo, el
         Concesionario debera llevar a cabo labores de investigacion y
         desarrollo en el pais.

1.16.    Designacion de responsable tecnico. El Concesionario se obliga a
         designar ante la Comision un responsable del funcionamiento tecnico de
         la Red, quien contara con las facultades de administracion necesarias
         para obligar al Concesionario ante la Comision con respecto a la
         operacion tecnica de la misma Red.

                                Capitulo Segundo.
                    Disposiciones aplicables a los servicios.

2.1.     Calidad de los servicios. El Concesionario se obliga a prestar los
         servicios comprendidos en esta Concesion en forma continua y eficiente,
         de conformidad con la legislacion aplicable y las caracteristicas
         tecnicas establecidas en la Concesion y sus anexos.

         Asimismo, el Concesionario se obliga a instrumentar los mecanismos
         necesarios para poder llevar a cabo las reparaciones de la Red o las
         fallas en los servicios, dentro de las ocho horas siguientes a la
         recepcion del reporte.

         El Concesionario buscara que los servicios comprendidos en la
         Concesion, se presten con las mejores condiciones de precio, diversidad
         y calidad en beneficio de los usuarios, a fin de promover un desarrollo
         eficiente de las telecomunicaciones. Para ello, debera enviar a la
         Comision, dentro de los ciento veinte dias naturales siguientes a la
         fecha de firma de esta Concesion, los estandares minimos de calidad de
         los servicios, sin perjuicio de que la Comision expida al efecto reglas
         de caracter general.

2.2.     Interrupcion de los servicios. En el supuesto de que se interrumpa la
         prestacion de alguno de los servicios durante un periodo mayor a 72
         horas consecutivas, contado a partir de la fecha establecida en el
         reporte respectivo, el Concesionario bonificara a los usuarios la parte
         de la cuota correspondiente al tiempo que dure la interrupcion.

2.3.     Sistema de quejas y reparaciones. El Concesionario debera establecer un
         sistema para la recepcion de quejas y la reparacion de fallas.

         Mensualmente, el Concesionario debera elaborar un reporte que incluira
         la incidencia de fallas por tipo, las acciones correctivas adoptadas y
         las bonificaciones realizadas, mismo que estara a disposicion de la
         Comision.

<PAGE>
                                      -6-

         La Comision podra hacer del conocimiento publico dicha informacion
         conjuntamente con la de otros concesionarios que presten servicios
         similares en el pais o en la misma region.

2.4.     Equipo de medicion y control de calidad. El Concesionario se obliga a
         tomar las medidas necesarias para asegurar la precision y confiabilidad
         de los equipos que utilice para la medicion de la calidad y para la
         facturacion de los servicios. Para estos efectos, el Concesionario
         debera efectuar pruebas de calibracion a sus equipos y proporcionar a
         la Comision, cuando esta lo requiera, los resultados de las mismas por
         trimestre calendario y, en su caso, los documentos donde conste que se
         han realizado los ajustes correspondientes.

         Asimismo, el Concesionario debera mantener los registros de los
         equipos de medicion que la Comision determine.

2.5.     Codigo de practicas comerciales. El Concesionario debera integrar, de
         conformidad con las reglas de caracter general que al efecto expida la
         Comision, un codigo de practicas comerciales en el que describira, en
         forma clara y concisa, los diferentes servicios que proporcione y la
         metodologia para la aplicacion de las tarifas correspondientes. Una vez
         integrado dicho codigo y previa autorizacion de la Comision, el
         Concesionario debera tenerlo disponible al publico en sus oficinas
         comerciales y publicar un extracto del mismo en uno de los diarios de
         mayor circulacion a nivel nacional.

2.6.     Servicios de emergencia. El Concesionario debera poner a disposicion de
         la Comision, dentro de los seis meses siguientes a la expedicion de la
         Concesion, un plan de acciones para prevenir la interrupcion de los
         servicios, asi como para proporcionar servicios de emergencia, en casos
         fortuitos o de fuerza mayor.

         En la eventualidad de una emergencia y dentro de su area de cobertura,
         el Concesionario proporcionara los servicios indispensables que indique
         la Comision en forma gratuita solo por el tiempo y en la proporcion que
         amerite la emergencia.

         El Concesionario debera dar aviso a la Secretaria y a la Comision de
         cualquier evento que repercuta en forma generalizada o significativa en
         el funcionamiento de la Red.

                                Capitulo Tercero.
                                    Tarifas.

3.1.     Cobro indebido de tarifas. Si el Concesionario llegare a cobrar a los
         usuarios tarifas no registradas o distintas de las establecidas, en su
         caso, conforme a los articulos 61 y 63 de la Ley, debera reembolsar a
         los mismos la diferencia con respecto a las tarifas registradas o
         establecidas.

         Lo anterior, sin perjuicio de las sanciones que se impongan de
         conformidad con la Ley y demas disposiciones legales, reglamentarias y
         administrativas aplicables.

3.2.     Prohibicion de subsidios cruzados. La Comision podra verificar en todo
         momento que las tarifas registradas no constituyan subsidios cruzados
         en terminos del articulo 62 de la Ley, para cuyo efecto, el
         Concesionario debera proporcionar la informacion correspondiente dentro
         de los sesenta dias naturales siguientes a la fecha en que reciba la
         solicitud de la Comision.

<PAGE>
                                      -7-

3.3.     Facturacion. Los sistemas de facturacion del Concesionario deberan ser
         previamente aprobados por la Comision.

                                Capitulo Cuarto.
                           Verificacion e Informacion.

4.1.     Sin perjuicio de las facultades de la Comision de requerir otra
         informacion al Concesionario en terminos del articulo 68 de la Ley,
         este debera entregar a la Comision. dentro de Ios ciento cincuenta dias
         naturales siguientes al cierre del ejercicio correspondiente:

4.1.1.   Los estados financieros auditados de su empresa desglosados por
         servicio y, en su caso, por area geografica;

4.1.2.   Una descripcion de los principales activos fijos del Concesionario quo
         comprende la Red, de conformidad con los formatos que establezca la
         Comision, y

4.1.3.   Un informe sobre las acciones llevadas a cabo respecto de los programas
         de adiestramiento y capacitacion de su personal, asi coma de las
         labores de investigacion y desarrollo en el pais, segun se establece en
         la condicion 1.15 de esta Concesion.

4.2.     El Concesionario debera informar trimestralmente a la Comision sobre el
         avance del programa de expansion de la Red.

4.3.     El Concesionario debera poner a disposicion de la Comision la
         informacion estadistica de trafico, enrutamiento, ocupacion,
         rendimiento u otros parametros de operacion generada por la Red, de
         conformidad con las disposiciones de caracter general que al efecto
         expida la Comision. Asimismo, debera proporcionar informacion contable
         por servicio, region, funcion y componentes de la Red, previa
         aprobacion por parte de la Comision de la metodologia y periodicidad
         correspondientes.

                                Capitulo Quinto.
                                   Garantias.

5.       El Concesionario establecera, a satisfaccion de la Secretaria, las
         garantias relativas al cumplimiento de las obligaciones derivadas de
         esta Concesion, en la forma y terminos establecidos en los anexos de la
         Concesion.

                                 Capitulo Sexto.
                           Jurisdiccion y competencia.

6.       Para todo lo relativo a la interpretacion y cumplimiento de la
         Concesion, salvo lo que administrativamente corresponda resolver a la
         Secretaria o a la Comision, el Concesionario conviene en someterse a la
         jurisdiccion de los Tribunales Federales de la Ciudad de Mexico,
         Distrito Federal, renunciando al fuero que pudiere corresponderle en
         razon de su domicilio presente o futuro.

<PAGE>
                                      -8-

                  Mexico, Distrito Federal, 1 de abril de 1998.

                   SECRETARIA DE COMMUNICACIONES Y TRANSPORTES
                                  EL SECRETARIO

                              CARLOS RUIZ SACRISTAN

                                EL CONCESIONARIO
                  TELEFONIA INALAMBRICA DEL NORTE, S.A. DE C.V.

                               TOMAS MILMO SANTOS
                               REPRESENTANTE LEGAL

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