No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveCosta Rica to OK mobile providers by September

Costa Rica to OK mobile providers by September

The sluggish opening of the cellular phone market in Costa Rica continues to be prolonged, but it appears an official plan of action is now in place. If all goes according to the timeline laid out by the Superintendent of Telecommunications (SUTEL) on Monday, three new cell phone competitors will enter the market, offering service plans and coverage, by the first quarter of 2011.

SUTEL officials announced the timetable and explained how new providers can gain entry to the market and begin operations during a public forum held at the Hotel Real Intercontinental in Escazú, west of San José.

Companies such as Digicel, Millicom, Telefónica, Cable & Wireless and América Móvil are interested in bidding to offer cell phone service, according to SUTEL.

A host of potential competitors have been vying for entry in since last January, when Costa Rica entered the Central American Free Trade Agreement with the U.S. (CAFTA), breaking up the long-standing monopoly to offer telecommunications services held by the Costa Rican Electricity Institute (ICE).

In February, SUTEL was created to serve as the regulatory body, tasked with setting up appropriate guidelines to usher in the new era for the Costa Rican mobile industry.

International mobile providers continued to pose one question to SUTEL: “When can we enter the market?”

It appears that question was finally answered Monday.

“This is the beginning of the process of granting approval into the mobile telephone market in the country,” said George Miley, the president of SUTEL. “We believe that in September we will be giving approval to the country´s new operators.”

Miley went on to detail the timeline for entry, starting Feb. 5, when SUTEL will begin accepting bids. Using what Miley referred to as a “hybrid auction,” for three months SUTEL will review the technical and financial plans of the companies vying to compete. On April 20, SUTEL will send a list of three approved companies to the Executive Branch for review. If approved, Costa Rican President Oscar Arias will sign the agreement on May 5, three days before the conclusion of his presidential term on May 8.

SUTEL said only four companies, ICE included, will provide cellular coverage in Costa Rica, at least in the early years of the open market. Once approved, the other three companies will gain access to Costa Rica´s air waves for 15 years.

See the Jan. 22 print or digital edition of The Tico Times for more on this story.

Trending Now

Budget Travel Options Expand with Frontier’s Houston to Central America Flights

Frontier Airlines has launched new nonstop flights from Houston to key Central American cities, offering lower fares for U.S. travelers and stronger links across...

Lowest Hotel Occupancy Outlook in Costa Rica Since 2022

Hotels across the country project an average occupancy rate of 77% for the end of 2025 and the beginning of 2026, based on a...

Costa Rica Named Key Drug Hub by European People’s Party Assembly

Members of the European Parliament's Partido Popular Europeo (EPP) have voiced serious worries about Costa Rica's increasing position as a key hub for drug...

US Forces Seize Second Oil Tanker Amid Tightened Blockade on Venezuela

United States forces intercepted a second oil tanker in international waters off Venezuela's coast on Saturday, escalating tensions in the Caribbean as President Donald...

US Halts Diversity Visa Program Following Deadly Campus Attacks

The United States government has stopped its diversity visa program in response to recent shootings at two top universities. Officials point to the suspect's...

Costa Rica’s Mighty Baird’s Tapir is the Quiet Giant of the Forest

Today we discuss a creature that’s very close to my heart, the Baird’s tapir. It’s an enormous, elephant-nosed, whistling, puddle-pooper. What’s not to love?...
Avatar
Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Travel

Latest News from Costa Rica