Synopsis
Peru’s fixed-line teledensity has been stagnating since 2009 although it is the third-lowest in South America after Bolivia and Paraguay. About 63% of the country’s fixed lines are in Lima and Callao, where teledensity is 19.7%. By contrast, in the mountainous region of Huancavelica teledensity is a mere 0.9%. Obstacles to fixed-line growth include widespread poverty, fixed-to-mobile substitution, expensive telephone services, and geographical inaccessibility in the Andean mountains and lowland Amazon jungles. An additional problem in the fixed-line industry is the theft of copper cables, which often leaves hundreds of subscribers without telephone service. Due to Peru’s rugged territory, VSAT satellite networks have been used extensively to provide rural telecom coverage. CDMA 450 is also being deployed in rural and urban low-teledensity areas.
The incumbent operator, Telefónica del Perú, has adopted the group’s mobile brand name, Movistar, to market all of its fixed-line services. Similarly, Telmex Perú and Claro Perú, previously sister companies, have been consolidated at the shareholder level and use the same brand name, Claro, for all services – whether fixed or mobile.
This report provides an overview of Peru’s telecom infrastructure, together with profiles of major fixed-line operators, accompanied by relevant statistics, analyses, and fixed-line scenario forecasts for the years 2015 and 2020.
Key developments:
Movistar’s long-distance revenues fall 20% and its pay TV sales climb 19%; Movistar’s fixed lines in service shrink while Claro’s post double-digit growth rates; copper cable thefts shoot up 158% year-on-year; the national fibre-optic network continues to grow, reaching about 33,000km.
Companies covered in this report include:
Telefónica del Perú (trading as Movistar), Telmex Perú and Claro Perú (both trading as Claro), Americatel Perú, Gamacon, IDT, Convergia, Gilat To Home Perú, Rural Telecom, Gamacom, Valtron, and Nextel del Perú.