- Language: English
- Published: November 2013
- Region: Africa, South Africa
Paraguay - Telecoms, Mobile, Broadband and Forecasts
- Published: December 2012
- Region: Paraguay
- 28 Pages
- Paul Budde Communication Pty Ltd
Mobile broadband outnumbers fixed broadband by three to one in Paraguay
BuddeComm's yearly update of Paraguay - Telecoms, Mobile, Broadband, and Forecasts provides a comprehensive overview of the trends and developments in the telecommunications market of Paraguay, including the regulator's market data for the first half of 2012, operator and other industry data, and expected market developments in the coming years.
The year 2012 has been a tough one for Paraguay, amidst political instability and a shrinking economy. The outlook for 2013 is uncertain, but is generally expected to bring about improvements in both the political and economic environments.
Almost half of Paraguay's population live below the poverty line, and GDP per capita is the seventh lowest in the region. Corruption is rife, as are drug smuggling and money laundering. Nevertheless, the country has enormous potential for growth. Foreign investors are welcome, and are accorded national treatment.
Exclusivity and competition
The state-owned incumbent, Corporación Paraguaya de Comunicaciones (Copaco), has a monopoly over all fixed-line voice services, including local telephony, international long distance telephony, and VoIP. In the mobile market, however, there has been competition since 1998. The internet market is also open to competition, and there are over a dozen ISPs offering services. Copaco lost its monopoly over the international backbone for internet connectivity in early 2009.
Fixed line infrastructure
Unlike Uruguay's state monopoly Antel, or Costa Rica's ICE, Copaco has not managed to lift Paraguay's teledensity from a level that remains abysmally low. For the development of Paraguay's telecom market, the operator needs to be radically restructured.
Another major drawback for Copaco and for Paraguay's telecommunications generally is the country's landlocked position, which makes it dependant on neighbouring nations for interconnection with submarine cable networks. This has driven up the price of telecom services, particularly broadband.
Paraguay's fixed broadband penetration is among the lowest in the region, but the market is growing rapidly, primarily in Asunción and other major urban centres. Available technologies include ADSL, cable modem, FttH, and WiMAX. Copaco has a near-monopoly in the ADSL market. ADSL is the main fixed broadband technology, but it is unavailable in much of the country due to low teledensity.
Copaco's main competitor in the fixed broadband market is Millicom's Tigo, which offers broadband via cable modem under the brand name Tigo Hogar. The service is available in Asunción and neighbouring towns over a Hybrid Fibre-Coaxial (HFC) network. Tigo also provides broadband using WiMAX and FttH technologies.
Paraguay's mobile market is served by four operators: Millicom's Tigo (the market leader), Telecom Argentina's Personal, América Móvil's Claro, and Copaco's Vox.
The inadequacy of the country's fixed-line infrastructure has been a bonanza for mobile telephone companies. There are almost 18 mobile phones in Paraguay for every fixed line in service. This is the greatest difference between fixed and mobile in Latin America.
The shortcomings of the fixed broadband sector have helped boost the uptake of mobile broadband, which is available in Paraguay through all four mobile operators using USB modems. As in other Latin American countries, it has become the fastest growing telecom sector. At end-2011, there were three mobile broadband accounts for every fixed broadband connection in Paraguay. Strong growth is expected to continue in this market, which looks set to follow a similar pattern to voice services.
Mobile number portability was formally launched in November 2012.
Conatel plans to auction spectrum in the 1.7GHz band paired with the 2.1GHz band to be used for mobile voice and data services.
Copaco launched IPTV services in December 2012, one year behind schedule, together with a triple play solution that comprises IPTV, telephony, and ADSL broadband.
Paraguay's leading mobile operator, Tigo, has become also the country's leading pay TV operator since it acquired CableVisión in July 2012.
Claro TV, DirecTV, and TuVes HD have launched satellite TV services in Paraguay, increasing competition and driving down prices – as a result, the number of pay TV subscribers has surged.
Copaco's mobile subsidiary Vox launched a 3G network in May 2012, four years after its rivals, but thanks to competitive plans, it managed to attract 6,000 customers in its first month of service.Paraguay is an interesting albeit challenging market for prospective telecom investors, with considerable long-term growth potential especially in the fixed and mobile broadband sectors. The report covers trends and developments in the fixed-line, mobile, broadband, and pay TV markets.
Market and industry analyses, trends and developments;
Facts, figures, and statistics;
Government policies and regulatory issues;
Major players (fixed, mobile, and broadband);
Fixed-line market and infrastructure;
Broadband market (including ADSL, cable modem, WiMAX, and FttH);
Broadcasting (including cable TV, satellite TV, and digital terrestrial TV);
Mobile market (including 3G and mobile broadband);
Convergence and triple play solutions;
Internet, VoIP, IPTV;
Scenario forecasts for the fixed-line, mobile, and broadband markets for the years 2015 and 2020.
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1. Executive summary
2. Key statistics
3. Country overview
3.1 Economic background
4. Telecommunications market
4.1 Overview of Paraguay's telecom market
4.2 Market analysis – 2012
5. Regulatory environment
5.2 Regulatory authority
5.2.1 Comision Nacional de Telecomunicaciones (Conatel)
5.3 Number Portability
5.4 Universal Service Fund
5.5 Foreign investment
6. Fixed network operators in Paraguay
7. Telecommunications infrastructure
7.1 National telecom network
7.1.1 Fixed-line statistics
7.1.2 Forecasts – fixed-line market – 2015; 2020
7.1.3 Public payphones
7.2 International infrastructure
7.3 Infrastructure developments
7.3.1 Wireless Local Loop (WLL)
7.3.2 IP and Voice over Internet Protocol (VoIP)
9. Fixed broadband access market
9.1.1 Broadband statistics
9.1.2 Forecasts – fixed broadband market – 2015; 2020
11.1 Pay TV
11.2 Digital terrestrial TV
12. Mobile communications
12.1 Overview of Paraguay's mobile market
12.1.1 Mobile statistics
12.1.2 Forecasts – mobile market – 2015; 2020
12.2 Regulatory issues
12.2.1 Spectrum allocations and spectrum auctions
12.3 Mobile technologies
12.3.2 Third generation (3G) mobile
12.4 Major mobile operators
12.4.1 Tigo (Millicom International Cellular)
12.4.2 Personal (Núcleo/Telecom Argentina)
12.4.3 Claro (América Móvil)
12.4.4 Vox (Hola Paraguay/Copaco)
12.5 Mobile Messaging
12.5.1 Short Message Service (SMS)
12.5.2 Multimedia Messaging Service (MMS)
12.6 Mobile broadband
12.7 Mobile satellite
13. Related reports
Table 1 – Country statistics – 2012 (e)
Table 2 – Telephone network statistics – 2012 (e)
Table 3 – Internet user statistics – 2012 (e)
Table 4 – Broadband statistics – 2012 (e)
Table 5 – Mobile statistics – 2012 (e)
Table 6 – National telecommunications authority
Table 7 – Evolution of GDP in Paraguay – 2000 - 2013
Table 8 – Fixed and mobile market share – 1998 - 2012
Table 9 – Fixed lines in service and teledensity – 1997 - 2012
Table 10 – Forecast fixed-line subscribers – higher growth scenario – 2015; 2020
Table 11 – Forecast fixed-line subscribers – lower growth scenario – 2015; 2020
Table 12 – Internet users and user penetration – 1998 - 2012
Table 13 – Broadband subscribers, annual change and penetration – 2000 - 2012
Table 14 – Fixed internet subscribers by access speed – 2011 - 2012
Table 15 – Forecast fixed broadband subscribers – higher growth scenario – 2015; 2020
Table 16 – Forecast broadband subscribers – lower growth scenario – 2015; 2020
Table 17 – Mobile subscribers and penetration rate – 1997 - 2012
Table 18 – Mobile operators' market share – 2002 - 2012
Table 19 – Forecast mobile subscribers – higher growth scenario – 2015; 2020
Table 20 – Forecast mobile subscribers – lower growth scenario – 2015; 2020
Table 21 – Mobile spectrum distribution
Table 22 – Tigo - mobile subscribers – 2002 - 2012
Table 23 – Personal - mobile subscribers – 2002 - 2012
Table 24 – Mobile broadband subscribers and penetration rate – 2009 - 2012
Chart 1 – Fixed and mobile subscribers in Paraguay – 1998 - 2012
Chart 2 – Evolution of fixed access speed at a glance – 2011 - 2012
Chart 3 – Mobile operators' market share – 2012
Exhibit 1 – Map of Paraguay