Sur; Andalucía; Málaga
Location of affected unit(s)
Manufacture Of Computer, Electrical Electronic And Optical Products
Manufacture Of Computer, Electronic And Optical Products
26 - Manufacture of computer, electronic and optical products
New offshoring locations

400 jobs
Number of planned job losses
Job loss
Announcement Date
2 March 2007
Employment effect (start)
Foreseen end date


Vitelcom, the Spanish manufacturer of mobile phones for the international corporation Telefonica, is about to close its factory in Malaga. The main reason given by the company’s spokesperson is the cut in orders from Telefonica, which pushed Vitelcom to negotiate a deal with the US telecommunications corporation Sentex in February 2007 to prevent from closing down because of its large debts. Sentex was interested in buying Vitelcom, but no agreement was reached. Telefonica has recently signed a contract with the Chinese company TZE, which represents the offshoring of the production of their mobile phones. The factory in Malaga is being closed and all of its employees are to be dismissed if no action is taken by the government of the region. Furthermore, Vitelcom’s CEO is trying to negotiate with Telefonica new workloads that could help the Malaga plant to remain open.


  • 6 March 2007: Cinco Días
  • 4 March 2007: Diario Sur
  • 2 March 2007: Cinco Días
  • 5 March 2007: El País


Eurofound (2007), Vitelcom, Offshoring/Delocalisation in Spain, factsheet number 65087, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/65087.