The Superintendency of Telecommunications (Sutel) did not authorize the merger between Tigo and Telecable, without disclosing in detail the reasons for this decision.
The Superintendency of Telecommunications (Sutel) did not authorize the merger between Tigo and Telecable, without disclosing in detail the reasons for this decision.
The Superintendency of Telecommunications (Sutel) has ruled against the merger which the the two companies intended to undergo. An article in Nacion.com reports that Norman Chaves, Corporate Affairs Manager of Tigo, said that "... the risk posed by the alliance between the two companies affecting competition in some sectors of the country was questioned." He added that "... We will review the decision of the Sutel and follow proper administrative channels to continue this process. We firmly believe that this integration would benefit consumers, and industry and contribute to bridge the digital divide in Costa Rica. "
In Costa Rica the growing business is led by Tigo which has a 78% market share, Callmyway with 16%, Telecable with 5% and other companies with just 1%.
Recent studies by the Sutel show that the use of internet telephony has been making great strides. "While in the fourth quarter of 2010 there were 10 VoIP connections, two years later there were 18,144 such connections," explains Pablo Fonseca in Nacion.com.
CallMyWay, a Costa Rican company, lanched an Internet Telephony Service (IP).
Local calls to landlines or cell phones will keep the same rate as the Instituto Costarricense de Electricidad, but international calls will have lower rates and calls between the company's customers are free.
IP telephone service "... it is a service which includes a phone number in Costa Rica, allowing customers to make or receive calls from any terminal," reported Nacion.com.
Costa Rica’s state-owned electricity and telecommunications provider has interfaced its network with Ticom and CallMyWay, two telecom companies offering VOIP services.
The two companies are the first to be interfaced after presenting their requests to the Costa Rica's Telecommunications Regulator (SUTEL).
Elfinancierocr.com reports that ICE stated that, “the linking of the networks has been carried out under protest in order to comply with the SUTEL instruction. ICE considers that the regulator has resorted to procedural illegalities in order to force the interfacing of these two companies”.
These two companies, along with WorldCom, are the first three to request authorization from Sutel to offer telecommunications services.
Mercedes Aguero writes in an article on Nacion.com: "According to the new law which regulates the telecommunications sector, any company that offers services for which they receive payment must have the approval of Sutel.