MEXICO CITY, MEXICO: Mexican media group Televisa will partner with Spain's Telefonica and Mexican cable television firm Megacable to jointly bid for fiber optic cable capacity set to be auctioned off by Mexico's government.

Televisa in a statement published on Friday said the three companies would hold equal stakes in the joint venture bidding for the fiber optic cable being auctioned by Mexico's state power monopoly.

The auction is designed to increase competition in Mexico's telecommunications sector, which is dominated by tycoon Carlos Slim's Telmex.