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Colombia: 4G Auction to Boost Competition, Mobile Data Growth and Network Capacity

  • July 2013
  • -
  • GlobalData
  • -
  • 31 pages

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Summary
Colombia stands out as one of the region's most advanced telecom markets. We estimate the market will grow at a 5.2% CAGR over the next five years, with increasing mobile data consumption and an expansion of fixed broadband coverage, thanks to the national broadband plan, Vive Digital. A 4G auction took place in June 2013, ending with the allocation of spectrum in the AWS and 2.5GHz bands among five players.

Key Findings
The Colombian telecom market generated $10.1bn in 2012, and we estimate it will be worth $10.9bn in 2013, a 7.1% increase, as a consequence of solid economic performance and growth in data services. The market will show a CAGR of 5.2% in the next five years, stimulated by increasing mobile data consumption and the widening of fixed broadband coverage, thanks to the national broadband plan Vive Digital. The fastest growing segments will be mobile data, fixed VoIP and broadband Internet. The market has been evolving and converging, as evidenced by Claro and Movistar (the two most important operators in terms of subscribers) integrating their mobile and fixed operations in order to offer quadruple plays to the residential segment and commercializing fixed-mobile convergence offerings to meet the needs of the business segment.

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