2017 Chile - Telecoms, Mobile and Broadband - Statistics and Analyses

Chile’s international and terrestrial cable systems set to grow by 2020

Chile’s telecom sector is among the most developed in Latin America, and full competition in all market segments has been encouraged by an effective regulatory regime. The regulator’s work has partly been guided by the Digital Agenda for 2013-2020 program, which set out a roadmap for the long-term development of the country’s ICT sector. Fixed-line teledensity remains below the South American average, despite the country’s relatively high GDP per capita and a positive investment environment. Teledensity peaked in 2001 and has since fallen, a trend which is being pushed by consumer adoption of mobile services for both voice calls and broadband.

The leading fixed-line operator is the incumbent Telefónica Chile, trading as Movistar. Its main competitors are VTR Globalcom (VTR), the GTD Group, Entel, and Claro.

Although Chile has one of the highest mobile penetration rates in the region, the number of subscribers has fallen in recent quarters in line with subscribers ending multiple SIM card use. This downward trend is expected to be halted in 2018 as the availability of LTE networks and services widens. Movistar and Entel remain the market leaders, with a similar market share, while Claro accounts for about a quarter of the market.

Chile’s broadband penetration is relatively high, and in terms of available broadband speeds the country ranks second highest in South and Central America. A number of operators compete in the broadband sector, though Movistar remains the market leader, followed by VTR Globalcom and Claro.

This report provides an overview of Chile’s telecom sector and regulatory environment, accompanied by statistical data and market analyses. It also reviews the broadband market, including profiles of the main players, market statistics, analyses, and forecasts. In addition the report assesses the mobile voice and broadband sectors, including market statistics, profiles of the mobile operators and subscriber forecasts.

Key developments:

• Four bids received for the 4,000km Fibra Optica Austral fibre network project;
• Progress made with the South America Pacific Link (SAPL) submarine cable network;
• Industry lobby group Atelmo proposes $26 billion investment program to 2024 to increase reach of LTE and fibre-based broadband networks;
• Regulator concludes feasibility study on the Sino-Chile Cable system;
• Movistar and Entel extend LTE-A capabilities;
• WOM extends roaming agreement with Entel for LTE services;
• Report includes the regulator’s market update to March 2017, telcos’ operating data to Q2 2017, recent market developments.

Companies mentioned in this report:

Movistar (Telefónica Chile), VTR Globalcom, GTD Group (Telsur, GTD Manquehue, Telesat, Telcoy), Entel Chile, Claro Chile, Nextel, Virgin Mobile, Falabella.