Including: Telecommunications Market Privatized; Privatization of Management; Wireless Local Loop; State Monopoly Strengthened; Competition in Data Transmission; New Regulations; New Competitor for Local Fixed Telephony; International Long-Distance Calls.
Telecsa SA recently became Ecuador’s third mobile telephony operator. It is owned by state telecoms company Andinatel SA. Instead of opening up the telecommunications market, the move is expected to strengthen the state’s monopoly and is unlikely to reduce prices for consumers.
The concept of a dominant telecommunications operator is relatively new in Ecuador. Operators which the telecommunications regulatory authority declares to be dominant are required to give undertakings with regard to price, equal treatment, efficient connection and access to information. However, no operator has yet been identified as dominant.
The Constitutional Court has issued an important decision with respect to the equal treatment applicable by regulators to the bidding processes of the telecommunications market. The court upheld a claim of the incumbent mobile telephony operators, Porta and Bellsouth, that they should benefit from the right to equal treatment.
Among recent news in the telecommunications sector is the initiation of a process to issue licences for wireless local services under wireless local loop technology, and one of the state telecommunications provider's search for an international operator.