TIM absorbed dead rival Oi's mobile business and hit record margins by 2025

Oi, once Brazil's fixed-line monopoly, had been in judicial recovery since 2016 and had sold everything but its mobile business. When that finally went to a court-supervised virtual auction in December 2020, exactly one proposal arrived: R$16.5 billion, jointly from the three remaining national carriers — TIM, Telefônica's Vivo and Claro — who had agreed in advance on how to divide the carcass.

Closing took another two-plus years of gates. Anatel granted prior consent in January 2022, antitrust watchdog Cade followed in February 2022, and each asset transfer needed separate approval while the buyers pressed a R$3 billion indemnity claim against Oi, which meanwhile filed for a fresh judicial recovery. On March 29, 2023, Anatel approved TIM's incorporation of Cozani, the vehicle holding its slice of Oi Móvel — one of the last formal acts, with license unification and public-license fees still to settle inside a 180-day window.

TIM then turned the acquired base into profit. In 2025 it reported net income of R$4.34 billion, up 37.4% on 2024, EBITDA of R$13.6 billion, and a fourth-quarter EBITDA margin of 53.1% — the highest in company history — on revenue of R$26.6 billion. Its postpaid base grew 8.4% to 32.7 million with ARPU of R$54.8, and it became the only Brazilian operator with 5G in more than 1,000 cities.

By 2025 TIM posted records: net profit R$4.3B (+37.4%), EBITDA R$13.6B, a record 53.1% quarterly margin and Brazil's only 1,000-city 5G network

Oi had no alternative buyer and the three carriers had no alternative seller, so the joint bid capped the price at R$16.5 billion for the lot — consolidation without a bidding war.

The absorbed customers fed a premiumization engine: prepaid-to-postpaid and plan-migration movements around 12% lifted ARPU, so the deal's value came from revenue quality, not raw subscriber count.

TIM's 'better network, better service, better offer' program meant the new customers arrived onto a network already being upgraded toward 5G leadership.

The slow court process forced disciplined integration: license unification and market-power limits checked TIM's reach, while Cade's conditions preserved rivalry with Vivo and Claro.

When only one set of buyers exists, an auction produces a carve-up, not a bargain. The winner is whoever turns the acquired customers into higher-margin revenue fastest.

CEO Alberto Griselli stayed through the integration and was still in the seat when the 2025 results landed in February 2026. Free operating cash flow reached R$5.3 billion, up 15.7%, and the B2B unit crossed R$1 billion in signed contracts across agribusiness, logistics and industry. The R$3 billion indemnity fight with Oi remained unresolved, and Oi's remaining shell — minus its mobile business — was navigating yet another judicial recovery.