It doesn't surprise me. Private companies won't invest in infrastructure if they do not expect a reasonable economic return from such investment. Argentina, for the past 10-12 years is known for being a source of problems to foreign companies and investors. Be it telecom, banking, energy, infrastructure or even Government issued securities.

Foreign companies in Argentina have been wary of capital investments in the region primarily due to high barriers to dividend repatriation, currency volatility and political uncertainty.

And DSL speed tops 1Mb outside Buenos Aires (only 30km away)