Executive summary
Puerto Rico has some of the highest rates of teledensity, mobile penetration and Internet usage in Latin America. However, despite being a US territory, Puerto Rico lags well behind the USA in terms of fixed-line and broadband penetration. This is partly because local fixed-line telephony has stagnated in a market largely dominated by the incumbent Puerto Rico Telephone Company (PRTC).
That dominance is unlikely to change in the short term as the PRTC was acquired by the largest wireless company in Latin America, Mexico’s América Móvil. In contrast, with six network operators, the mobile (cellular/wireless) market has been experiencing robust competition and growth.
During 2008 Claro (América Móvil) took the lead from AT&T Mobility in terms of subscriber numbers, although AT&T may regain it in late 2009 if the FCC approves its acquisition of Centennial. In addition, with an emerging VoIP sector, a growing broadband market, and a healthy cable and satellite TV sector, the growth and convergence of digital media looks promising.