866-997-4948(US-Canada Toll Free)

Chile - Telecoms, Mobile, Broadband and Forecasts

Published By :

BuddeComm

Published Date : Sep 2012

Category :

Broadband

No. of Pages : 75 Pages


Chile stands out in Latin America for its openness to innovation, and this is particularly true in telecommunications. Solid economic growth and a progressive regulatory system have contributed to make Chile’s telecom market one of the most dynamic in the region. The government takes a proactive role in promoting telecom competition and places no restriction on foreign investment. As a result, the country’s telecom sector is a popular target with both national and international investors.

Competition is hotting up in 2012 thanks to the introduction of fixed and mobile number portability as well as the launch of four new mobile market players, with a fifth one expected to begin operations by early 2013. The four are Nextel, VTR, GTD, and Virgin Mobile. Nextel and VTR have launched 3G networks, while GTD and Virgin Mobile are offering Mobile Virtual Network Operator (MVNO) services. The fifth, local retail giant Falabella, is also preparing to enter the MVNO market. Hitherto, the MVNO model has been largely unsuccessful in Latin America, but 2011 marked a turning point, with several operations launched in a number of countries. In Chile, the government is actively supporting MVNOs through licence clauses and regulatory requirements.

Teledensity in Chile is only slightly higher than average for Latin America. This compares poorly with the country’s other economic indicators such as GDP per capita, which is the highest in South and Central America. Chile’s mobile penetration, on the other hand, is one of the region’s highest, though still lagging behind Panama, Uruguay, and Argentina.

In terms of broadband penetration, Chile ranks second in the region after Uruguay, but the latter’s download speeds are considerably slower. In fact, in terms of broadband speed, Chile is the regional leader, well ahead of any other Latin American country.

More than one Chilean household out of three subscribes to pay TV services, and the pay television market is one of the most mature in the region, with penetration ranking third in South America after Argentina and Uruguay.

In the fixed-line market, the leading operator is the incumbent Telefónica Chile, which trades as Movistar. Its main competitors are VTR Globalcom (VTR), the GTD group, Almendral’s Entel, and América Móvil’s Claro. VTR is the leading provider of cable TV and cable modem broadband, and the second largest provider of local telephony. The GTD Group operates through seven subsidiaries, including GTD Manquehue and Telsur. Entel offers fixed-line services primarily to the wholesale and corporate segments.

In the mobile market, Chile’s major operators are Entel, Movistar, and Claro. Entel and Movistar are in the lead, followed by Claro. Chile’s telecom regulator, Subtel, has completed a public auction for frequencies in the 2.5GHz band, to be used for 4G LTE services. Having each won a block of spectrum, Entel, Movistar, and Claro are required to launch an LTE network by mid-2013.

Several operators provide broadband access; Movistar is the leader, closely followed by VTR. Claro, in third place, has a small but fast-growing market share. Competition in the broadband market is livelier in Chile than in most other Latin American markets; nevertheless, it remains weak by international standards, and is largely limited to competition across technologies (ie ADSL versus cable modem).

Strong demand for telecom products is expected to continue in Chile. The country has a technology-hungry consumer base; to keep up with consumer expectations, operators must improve and invest or lose out to competition. We can expect substantial investments in 2012 and 2013 as Entel, Movistar, and Claro roll out their LTE networks.
Table of Contents

1. Key Statistics
1.1 Country overview
1.1.1 Outlook

2. Telecommunications Market
2.1 Overview of Chile’s telecom market
2.2 Market analysis – 2012

3. Regulatory Environment
3.1 Background
3.2 Regulatory authorities
3.2.1 Subtel
3.2.2 Superintendency of Telecommunications
3.3 Telecommunications Development Fund
3.4 Foreign investment
3.5 Tariffs
3.6 Number portability
3.7 Interconnect
3.8 Access
3.9 Network neutrality

4. Fixed Network Market
4.1 Overview of operators
4.1.1 Local operators
4.1.2 Long-distance operators
4.2 Movistar (Telefónica Chile)
4.3 VTR Globalcom
4.4 GTD Group
4.4.1 Telefónica del Sur (Telsur)
4.5 Entel Chile
4.6 Claro Chile (former Telmex)

5. Telecommunications Infrastructure
5.1 National telecom network
5.1.1 Fixed-line statistics
5.1.2 Public payphones
5.2 International infrastructure
5.2.1 Submarine cable networks
5.2.2 Satellite networks
5.3 Infrastructure developments
5.3.1 IP and voice over internet protocol (VoIP)
5.4 Wholesale

6. Broadband Market
6.1 Overview
6.1.1 Fixed broadband statistics
6.1.2 Broadband market analysis
6.2 Regulatory issues
6.2.1 Network Neutrality Law
6.3 Broadband players
6.3.1 Overview
6.3.2 Movistar (Speedy)
6.3.3 VTR Banda Ancha
6.3.4 Claro
6.3.5 GTD/Telsur/Telcoy
6.4 Cable modems
6.5 Asymmetric digital subscriber line (ADSL)
6.6 Fibre-to-the-home (FttH) networks
6.7 Wireless broadband
6.7.1 WiMAX
6.8 Media convergence
6.8.1 Overview of media convergence
6.8.2 Triple play models
6.8.3 Broadband TV (IPTV and TVoIP)

7. Digital Media / Digital Economy
7.1 E-government
7.2 E-commerce
7.3 Digital media

8. Mobile Communications
8.1 Overview of Chile’s mobile market
8.1.1 Mobile statistics
8.2 Regulatory issues
8.2.1 3G spectrum auctions
8.2.2 4G spectrum auctions
8.2.3 Mobile number portability
8.2.4 Mobile towers
8.3 Mobile technologies
8.3.1 Overview
8.3.2 Second Generation (2G) mobile
8.3.3 Third Generation (3G) mobile
8.3.4 Long-term evolution (LTE)
8.3.5 Mobile handsets/smartphones
8.4 Mobile network operators
8.4.1 Entel PCS
8.4.2 Movistar (Telefónica Móviles Chile)
8.4.3 Claro Chile (América Móvil)
8.4.4 Nextel Chile
8.4.5 VTR
8.5 Mobile Virtual Network Operators (MVNOs)
8.5.1 Overview
8.5.2 GTD Móvil
8.5.3 Virgin Mobile Chile
8.5.4 Falabella Móvil
8.6 Mobile voice services
8.6.1 Prepaid
8.7 Mobile messaging
8.7.1 Short message service (SMS)
8.8 Mobile broadband
8.9 Mobile satellite

9. Forecasts
9.1 Fixed-line market – 2015; 2020
9.1.1 Scenario 1 – higher fixed-line growth
9.1.2 Scenario 2 – lower fixed-line growth
9.2 Fixed broadband market – 2015; 2020
9.2.1 Scenario 1 – higher broadband growth
9.2.2 Scenario 2 – lower broadband growth
9.3 Mobile market – 2015; 2020
9.3.1 Scenario 1 – higher mobile market growth
9.3.2 Scenario 2 – lower mobile market growth
9.4 Notes on scenario forecasts

10. Glossary of Abbreviations

List of Table


Table 1 – Country statistics – 2012
Table 2 – Telephone network statistics – 2012
Table 3 – Internet user statistics – 2012
Table 4 – Broadband statistics – 2012
Table 5 – Mobile statistics – 2012
Table 6 – National telecommunications authority
Table 7 – Evolution of GDP in Chile – 2000 - 2013
Table 8 – Fixed and mobile market share – 1997 - 2012
Table 9 – Communications GDP – 2000 - 2012
Table 10 – Telecom investments by major operators – 2006 - 2011
Table 11 – Fixed lines in service – operators’ market share – 2000 - 2012
Table 12 – Entel and Movistar – market share of ILD and DLD traffic – 2003 - 2012
Table 13 – Movistar – fixed lines in service – 1999 - 2012
Table 14 – VTR – fixed lines in service – 2000 - 2012
Table 15 – GTD Group – fixed lines in service – 2000 - 2012
Table 16 – Entel – fixed lines in service – 2000 - 2012
Table 17 – Fixed lines in service and teledensity – 1995 - 2012
Table 18 – Public phones – 1996 - 2012
Table 19 – Movistar wholesale accesses – 2004 - 2012
Table 20 – Internet users and user penetration – 1996 - 2012
Table 21 – Fixed broadband subscribers and penetration rates – 2001 - 2012
Table 22 – Fixed broadband technologies - market share – 2001 - 2012
Table 23 – Fixed broadband operators’ market share – 2007 - 2012
Table 24 – Movistar – broadband subscribers – 2001 - 2012
Table 25 – VTR – broadband subscribers – 2001 - 2012
Table 26 – Claro – broadband subscribers – 2007 - 2012
Table 27 – GTD group – broadband subscribers – 2001 - 2012
Table 28 – Cable modem subscribers and penetration rates – 2001 - 2012
Table 29 – ADSL subscribers and penetration rates – 2001 - 2012
Table 30 – Volume of e-commerce – 2001 - 2012
Table 31 – Mobile subscribers and penetration rate – 1995 - 2012
Table 32 – Mobile ARPU in Chile – major operators – 2008 - 2011
Table 33 – 3G subscribers and penetration – 2006 - 2012
Table 34 – Operators’ 3G market share – 2009 - 2012
Table 35 – Mobile operators’ market share– 1999 - 2012
Table 36 – Entel PCS – mobile subscribers – 1999 - 2012
Table 37 – Movistar – mobile subscribers – 1999 - 2012
Table 38 – Claro – mobile subscribers – 1999 - 2012
Table 39 – Mobile prepaid/postpaid ratio – 1999 - 2012
Table 40 – SMS messages sent – 2003 - 2011
Table 41 – Mobile broadband connections and penetration – 2009 - 2012
Table 42 – Share of mobile versus fixed broadband connections – 2009 - 2012
Table 43 – Forecast fixed lines – higher growth scenario – 2015; 2020
Table 44 – Forecast fixed lines – lower growth scenario – 2015; 2020
Table 45 – Forecast broadband subscribers – higher growth scenario – 2015; 2020
Table 46 – Forecast broadband subscribers – lower growth scenario – 2015; 2020
Table 47 – Forecast mobile subscribers – higher growth scenario – 2015; 2020
Table 48 – Forecast mobile subscribers – lower growth scenario – 2015; 2020

List of Chart


Chart 1 – Fixed and mobile subscribers in Chile – 1997 - 2012
Chart 2 – Fixed and mobile subscribers in Chile by market share – 1997 - 2012
Chart 3 – Evolution of communications GDP in Chile – 2003 - 2012
Chart 4 – Fixed line market share at a glance – 2012
Chart 5 – Evolution of fixed lines in service – 2003 - 2012
Chart 6 – Fixed broadband technologies - market share at a glance – 2001 - 2012
Chart 7 – Fixed broadband market share at a glance – 2007 - 2012
Chart 8 – Mobile subscribers – market evolution at a glance – 2002 - 2012
Chart 9 – Evolution of mobile ARPU – 2008 - 2011
Chart 10 – 3G market share at a glance – March 2012
Chart 11 – Mobile market share at a glance – March 2012

Exhibit 1 – Map of Chile
Exhibit 2 – Regions and primary zones in Chile
Exhibit 3 – Local telephony operators – number of zones of operation – March 2012
Exhibit 4 – Telefónica Chile at a glance
Exhibit 5 – VTR Globalcom at a glance
Exhibit 6 – GTD Group at a glance
Exhibit 7 – Entel Chile at a glance
Exhibit 8 – Claro at a glance
Exhibit 9 – Entel PCS at a glance
Exhibit 10 – Telefónica Móviles Chile at a glance
Exhibit 11 – Claro Chile at a glance

Make an enquiry before buying this Report

Please fill the enquiry form below.

  • Full Name *
  • Your Email *
  • Job Title *
  • Company *
  • Phone No. * (Pls. Affix Country Code)
  • Message
  • Security Code *