Telecoms and Internet in Nicaragua

The industry is characterized by low levels of market penetration in Nicaragua with little competition and huge future growth potential.

Thursday, August 5, 2010

An article in Ecommerce Journal analyzes the recent development of Nicaragua's telecommunications market. It highlights the issue of the poorly executed privatization and the resulting fixed-line monoply as being a cause for concern. Mobile and Internet markets, meanwhile, are a controlled by a duopoly.

Increased Internet competition is predicted, however, with the arrival of Nicaraguan Yota set to launch WiMAX services.

"As for the longer-term forecasts concerning the development of the ICT sector it seems much more promising. As GDP per capita should eventually increase, there is a significant growth potential in the telecom sector for the future," the article reports.

More on this topic

Nicaragua's Telecommunications Market

November 2013

From 2009 to date, the local market has grown by 37% to around $700 and $800 million per year, distributed between Claro, Movistar and Yota.

Currently there are 287,618 landlines, 4.8 million cell phone lines and 143,000 Internet connections in the country.

In 2009, Robert Sanson, CEO of Claro Nicaragua said the market turned over about $500 million annually.

Yota Ready to Operate in Nicaragua

February 2010

Internet via WIMAX will be available in June, reported company executives.

Yota’s other service in Nicaragua, basic wireless telephony, will be available before the end of 2010.

The company has already installed 26 out of 35 stations it plans to develop in the city of Managua, explained Olga Fedoseeva, Vice Manager at Yota. In terms of area coverage, they now reach 80% of the city’s area, explained Fedoseeva.

Samsung to Offer WiMAX in Nicaragua

December 2009

In alliance with partner company Yota, Samsung Electronics will offer mobile Internet in the country starting May 2010.

Russian corporation Yota won the public bidding process to supply Nicaragua with WiMAX telecommunications services.

"Yota will start its Nicaraguan operation by offering wireless broadband Internet.

Yota Nicaragua Awarded Fixed Telephony Contract

September 2009

The subsidiary of Russian state company Rostejnologuii will invest $50 million, looking to double the number of fixed telephony users.

3 other companies participated in the bidding process: Claro, Movistar and Amnet Newcom.

Orlando Castillo, executive president of the Nicaraguan Institute of Telecommunications (Telcor), explained that "...

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