The Instituto Costarricense de Electricidad's share in the mobile phone market fell to 65%.
At the end of 2012 Instituto Costarricense de Electricidad (ICE) owned a 79% stake in the mobile market, and this was reduced to 65% in September 2013. That portion of the market was taken over by the foreign competitors Claro and Movistar.
According to figures from the Telecommunications regulator mentioned in an article on Nacion.com , "up to September 2013 the ICE had 4,278,183 active lines, which represents an increase of 0.7 % compared to the 4,248,684 lines it had in the last quarter of 2012."
Movistar has invested $15 million in a latest generation fiber optic network which will interconnect overland with Central Mexico.
Movistar, the mobile phone brand of Telefónica, has invested $15 million in a fiber optic network that will cover 3,158 kilometers and will connect to Central America and Mexico by land.
Juan Castroverde manager of Movistar Panama said that "through the Central Telefónica network, companies will have greater capacity, quality, security and reliability of their data. The network will have an initial capacity of 10 Gigabits per second for data transmission, in addition to providing a variety of routes and connection points."
The arrival of new mobile services could be delayed if the uncertainty surrounding the renewal of licenses to mobile operators continues.
A report by the company GSMA, a firm that brings together more than 800 mobile operators in the world, presented a study which analyzes the state of the radio spectrum in Latin America and how the licenses are renewed for use in countries such as Costa Rica, Guatemala and Panama.
With an investment of $1.1 billion it will connect to Brazil, Colombia, the United States, Guatemala, Mexico, Puerto Rico and the Dominican Republic.
The company announced that it has completed the installation of a submarine fiber optic cable which guarantee services. This project will connect Brazil, Colombia, the USA, Guatemala, Mexico, Puerto Rico and the Dominican Republic.
The Instituto Costarricense de Electricidad has consolidated its leading position in the market without having to return frequencies as initially conditioned by the Telecommunications Superintendency.
Nacion.com reports: "... the company specializing in cable television and broadband internet (via cable modem) services became part of Grupo ICE as a subsidiary company." The state run telecommunications company has not yet reported the amount of the commercial transaction.
Claro, Movistar and the Instituto Costarricense de Electricidad are competing for a contract for telecommunications services in isolated communities.
These three operators submitted bids in a contest sponsored by the Superintendency of Telecommunications (Sutel) to provide telecommunications services to residents of the communities of La Lidia, La Curia and Aguas Fría in the district of Roxana de Pococí in Limon.
Five years after the fall of the monopoly, there are more companies, more users and a greater array of services on offer, with growth of 45% in the sector's contribution to GDP.
According to data reported by telecommunications companies to the Superintendency of Telecommunications (Sutel), the sector's contribution to the economy has grown by 45% over the past five years.
The National Telecommunications Fund plans to develop seven projects in the areas of education, social welfare, health and homes, which will feature, for the first time, internet and telephone services.
According to the Telecommunications Superintendency (Sutel), there are a total of 477 schools, 78 colleges, 155 Ebais (health centres), 25 Cecis and 70 CEN- CINAI which will be connected with a speed of 4 megabytes.
The term "white elephant" is used for possessions whose costs are greater than the benefits they bring, or those which, benefiting others, only cause the owner problems.
Radiographic Costarricense (RACSA) is a subsidiary of the state energy and communications company in Costa Rica, the Instituto Costarricense de Electricidad (ICE).
Racsa, created by a law, which means that its closure must be approved by the Legislature in the country, currently has serious financial problems, and as noted in an article in Elfinancierocr.com, has no clear alternatives or specific projects to ensure its economic viability in the short or medium term. Meanwhile, taxpayers are covering the deficit through taxes or through higher rates from its parent company, the ICE.
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.
Pablo Fonseca's article in Nacion.com reports that "Although more changes will come in the short and medium term, it is good to take stock. Many people were clear that the Costa Rican market was no ordinary market and had certain characteristics that needed to be taken into account when dealing with it, such as a thirst for technology, the level of information being handled, the requirements to be able to receive what is being offered and the level of spending willing to be made for a handset “
The obstacles faceed in Costa Rica by the companies Claro and Movistar have already stalled investments of more than $300 million.
According to an article in Elfinancierocr.com George Miley, the resigning president of the Superintendency of Telecommunications (Sutel) warns that "it is urgent that there is a major push by the government to level the playing field in the industry sector, as the country has not received between $300 and $400 million in foreign investment in the last year, due to the problems faced by Claro and Movistar in developing their networks. "
The Banco Popular and the Banco de Desarrollo Comunal in Costa Rica have created a tender for the construction of electricity networks and structured cabling for voice and data.
The contract includes hiring companies that offer design services, labor, materials and equipment for the construction of electricity networks and structured cabling for voice and data in all offices of Banco Popular (consumer demand).
The telephone operators Claro and Movistar are still facing serious bureaucratic obstacles with the municipalities of Costa Rica over the installation of cellular towers.
Some municipalities are delaying, hindering or even prohibiting the installation of infrastructure by the operators Claro and Movistar, an operation which needs to be carried out in order to comply with their contracts.
The multinational computer services company from Costa Rica has received capital investment from Aureos Capital Ltd., Capital Creation and E3 Capital.
A press release ITS InfoCom reads:
ITS InfoCom receives $20 million in investment
• The Funds will be used to boost the multinational infocommunication company
San Jose, November 24, 2011 - The American multinational corporation ITS InfoCom, which operates from Costa Rica in eleven markets in the Americas, has received new capital from Aureos Latin America Fund managed by Aureos Capital Ltd., and capital formation Capital E3, to the tune of $ 20,000,000 (twenty million dollars).
Costa Rica businesses are insisting that they be granted the necessary permits for installation of cell phone towers that will enable quality communication services.
A communication from the Costa Rican Union of Chambers and Associations of Private Business Sector (UCCAEP) reads:
UCCAEP urges authorities to act to make privatisation of telecommunications a reality.