The Government is considering a possible tender for a new radio frequency block that would provide fourth-generation mobile services.
Friday, May 24, 2013
Alejandro Cruz, Minister of Science, Technology and Telecommunications (Micitt), asked the Sutel to define the future of the 70 MHz block not auctioned in 2011, when Telefonica and Claro were awarded frequencies. These companies have shown interest in having more spectrum to expand the supply of fast mobile Internet services.
"Cruz asked the Sutel, in the event that they recommend a new tender, to conduct the required technical and market studies, and make an estimate of the value of this segment of spectrum", reported Nacion.com.
"The executive branch is responsible for establishing and defining if there will be an extra contest, how to do and under what conditions, but, for that, we require the Sutel's technical report, based on which, those decisions can be made," said Rowland Espinosa, Deputy Minister of Telecommunications at the Micitt.
According to Eduardo Castellon, a spokesman for the Telecommunications Superintendency (Sutel), the minister's letter was received last week, and Sutel will take up to six months to prepare the report.
Fabio Masís, executive director of the Chamber of Information and Communication Technology (Infocom), acknowledged that the announcement by the Costa Rican Electricity Institute (ICE) to launch a 4G network in the next few months puts a little pressure on competitors. "With 4G, users will have a higher quality of service on the Internet," he added.
Even though demand continues to grow, operators are not able to grow due to lack of effective competition in the mobile market and delays in the allocation of spectrum.
A portion of customers in the cellular market and other telecommunications services such as internet and cable television are still dissatisfied, but telecommunications companies are not able to increase their services due to the slow rate at which the rules are set and at which infrastructure problems are addressed.
Regulation of mobile telephony tariffs is preventing the development of efficient services and competition between operators.
Removing the tariff regulations on cellular services and improving the availability and access to broadband should be a priority for the new government, say experts in the field.
After one year of competition in mobile communications, the changes that have taken place reveal a market that is different from how many expected.
The market transformation has been swift and contained surprising nuances. Cellular penetration swiftly exceeded 100%, while the use of mobile Internet exceeded forecasts.
The government of Costa Rica does not seem to have much interest in the radio electric spectrum concession which belongs to them. Not only is the state losing money, but opportunities are being lost for society.
Sometime in the not too near future the Costa Rican state will put out to tender a concession for a block of frequencies which was due in 2011.
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6779Government Procurement Opportunities in the region