Luca Sari: Hey, thanks for having my question. And my question isn’t especially on CapEx, David, you guided us. So where do you see the bulk of investments going to? I know you disclose about 5G and fiber, but especially on fiber? Will you be pursuing more client connections or see the expansion? And could you also give more color out on the division between 5G and fiber? Thank you very much.
Christian Gebara: Hi, Luca, this is Christian I can start and David comment if you wants. Yes, it is in fiber expansion is one of the lines that we are going to increase investment. Here it’s both in connecting customers and expanding network. It’s again, I think our network is already close to 24 million home paths, we said that we would reach the end of 2024 with 29. So there’s 5 million homes to increase our footprint and but most importantly, is to connect customers. And if you’ve been doing that, in a very accelerated pace, being the leading company in that as of the market, now the churn is were reduced, and then being able to capture most of the market, as you could see that almost 1 million new customers in the last year.
So we’re going to continue with this strategy now increasing footprint up to 29 that we already declared by end of 2024. And connecting more customers here is also good to highlight that we’ve been very strong in connecting customers with people to allow our conversion to offer 70% of the new ads come with the Vivo tower offer that also protects our postpaid base. That’s why we have also a very reduced churn as we presented earlier. In the 5G, we are ahead of the obligation of the auction. So apart from the 27 capitals, we already have 26 cities above 500,000 inhabitants. We are going to continue expanding in the cities that we are already there. We need to expand also some other new cities. But that’s not what I’m going to share here. But we’re going to expand a little bit beyond what’s required by the auction.
And we are going to do that in a very intelligent way, following the penetration of 5G smartphones. Today we have 18% of 5G smartphones, our customer base. So we’re going to continue to deploy network where we see that there is a customer base requiring 5G connection. So it’s going to be a very as we did in the past us using big data to be very precise, and we’re going to deploy our CapEx. So that’s the main lines of CapEx. It’s below is going to be below nine. We don’t have the money that we spent to implement 5G to start with the technology and we don’t have also this year, the money that we spent to integrate mobile customers, that is fully integrated in our customer base. And we are now totally on the speed continue growing customer base, both mobile and fiber.
Luca Sari: Thank you very much. That was very clear
Christian Gebara: Thank you, Luca.
Operator: Our next question comes from Marcelo Santos from JPMorgan. Please. Mr. Marcelo, your microphone is open.
Marcelo Santos: Hi, good morning Christians, David and Pedro. Thanks for the question. I have two questions. The first is if you could provide overview of how the competitive environment is in mobile, I saw that you recently raised prices for the at least on the website. And the second question is, regarding Vivo money, your portfolio is growing a lot. Could you share a bit more details about EPRs NPLs how these loans behave? Thank you.
