No Connectivity, No Development

The lack of proper infrastructure and the lack of allocation of radio spectrum are some of the reasons why it is difficult for telecommunications companies to improve Internet connection or lower prices for services.

Thursday, March 28, 2019

Internet operators in Costa Rica face adversities to improve service and provide better prices to consumers, including the deficit of appropriate infrastructure.

Regarding the causes that prevent the advance of broadband Internet connections in Costa Rica, Eduardo Palacios, country manager of the firm Ufinet, explained to that "... the determining factor is the lack of proper infrastructure in Costa Rica for telecommunications. Not only are the problems in the road works or in the centers of cities and neighborhoods, nor the negativity of some municipalities. They are also the difficulties to take a fiber optic link inside condominiums or shopping centers."

See "Good Outlook for Mobile Telephony"

Palacios added that "... The problem is not the ability of companies to deploy networks. That's out of the question. The bottleneck is the infrastructure, because in many condominiums there is no place to take the optical fiber to the houses. In many shopping malls you have to lay the pipe to take a link to a customer'."

Costa Rica is not the only country in the region where obstacles to the development of Internet connection are reported, given that in Guatemala the assignment of the radio electric spectrum is a pending matter.

You may be interested in "Telecom: Regional Market Transformed"

José Otero, director of 5G Americas for Latin America and the Caribbean, told at the end of 2018 that "... It is important that mobile broadband connections reach a larger percentage of the Guatemalan population. To achieve this goal, it is necessary that enough radio spectrum be allocated to the different market players, in order to encourage investment in the deployment, expansion and adoption of new mobile technologies."

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More on this topic

Good Outlook for Mobile Telephony

November 2018

Because of the increase in mobile phone access, the monthly demand for mobile data per user in Guatemala is expected to grow from 0.4 GB to 2.45 GB between 2018 and 2023.

According to GlobalData forecasts, it is estimated that in the next five years the country will report an increase in the number of LTE (high-speed Internet) lines, rising from 1.7 million in 2018 to 5.6 million in 2023.

Tender: Spectrum for Mobile Telephony and Internet

December 2016

A tender is being launched in Costa Rica for seven generic blocks (2 x 5 MHz) in the bands of 1800 MHz and 1900/2100 MHz of the radio spectrum for mobile telephony and Internet.

Government Purchase No. 354-2015 Costa Rica-TEL-MICITT:

"The Superintendency of Telecommunications (Sutel), is putting out to tender by means of a Public Act seven generic blocks (2 x 5 MHz) in the bands of 1800 MHz and 1900/2100 MHz for mobile telephony and internet services.

Costa Rica: Telecoms Moving Slowly

January 2015

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.

Urgent Need to Assign Radio Spectrum in Costa Rica

September 2013

A recommendation has been given to accelerate the launch of new tenders for frequencies in order to develop next-generation services such as 4G LTE networks.

A study by the company Signals Telecom Consulting reveals that telephone companies must have more space in the spectrum in order to adjust their operations to accommodate smartphones and meet the demand for fast speeds for mobile internet browsing.