Perú: Competition intensifying in Mobile sector

Perú’s quartet of mobile telephone operators (Movistar, América Móvil’s Claro, Entel and Bitel) have now begun to prepare for the arrival of the country’s first Virtual Mobile Operator, Virgin Mobile, set to start business this summer.

The arrival of more companies to the sector has been seen as a positive sign by Gonzalo Ruiz Diaz, president of Perú’s Telecommunications regulator, OSIPTEL. The arrival of ever more operators is expected to improve competition, as well as bringing benefits to consumers.

“The dynamics generated by these operators is very important. For example, the arrival of Entel and Viettel (Bitel) helped create disruptive offers that shook up the market. Larger operators, hoping to stem the loss of customers, then matched the lower prices of the new arrivals” said Mr. Díaz. The regulator also signalled his expectation that the arrival of a new major competitor will repeat this lowering of fares, as well as bringing a new jolt to a vital market.

Full Content: Publimetro

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