BMI View: Chile is a highly saturated mobile market and one of the most developed in Latin America and offers little scope in terms of organic growth. Number porting and reduction in mobile termination fees has made it easier for customers to switch networks, which has lead to increased competition. BMI believes that additional revenue opportunities will come primarily from added data services in the short to medium term as the regulator reports healthy growth in mobile data usage.
Data from mobile operators show the Chilean mobile market has not rebounded from its subscription loss in Q413, as first two quarters as operators reported total loss of 525,000 subscribers. Total mobile subscriber base was at a similar level as last seen in Q212.
Chile ended Q214 with 7.6mn mobile internet subscribers, an increase of 39.4% year-on-year, according to a report released by the country's telecoms regulator Subsecretaria de Telecomunicaciones (Subtel).Pay-TV growth is also robust, boosted by converged service provision, with total subscriptions up 18.3% year-on-year to 2.556mn at the end of 2013.
Key Trends & Developments
Chilean mobile market contracted in the first two quarters of 2014 primarily due to the reduction in mobile termination rates. This has lead BMI to downgrade its growth forecast for 2014. Although the market is expected to rebound slightly in 2015, BMI does not believe that Chilean mobile market has much scope for organic growth. Instead, operators are aiming to boost revenues from mobile data usage.
Chile's 4G market is developing rapidly with the three leading operators all launching commercial services by March 2013. Claro commercially deployed Chile's first LTE network in the Santiago metropolitan area in June 2013. Movistar followed with the launch of services in November 2013, followed by Entel in March 2014. Although all three offer LTE services, it is Claro that has taken a lead in terms of coverage, claiming it will...
The Chile Telecommunications Report features Business Monitor International (BMI)'s independent industry forecasts on the future strength of Chile's ICT market, covering the fixed-line, mobile and internet segments and analyses latest regulatory developments and corporate news, including investment activity, mergers and acquisitions, joint ventures and partnerships. Leading operators and manufacturers are fully profiled, highlighting their quarterly financial performance, capital expenditure plans and latest contracts.
BMI's Chile Telecommunications Report provides industry professionals and researchers, operators, equipment suppliers and vendors, corporate and financial services analysts and regulatory bodies with independent forecasts and competitive intelligence on the telecoms industry in Chile.
- Benchmark BMI's independent telecoms industry forecasts for Chile to test other views - a key input for successful budgeting and strategic business planning in the Chilean telecoms market.
- Target business opportunities and risks in Chile's telecoms sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in Chile.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).
Summary of BMI's key industry forecasts and views, covering the ICT, fixed-line, mobile (including 3G), internet and broadband markets.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the wireline and wireless sectors and within the broader political, economic and business environment.
Business Environment Ratings
BMI's Telecommunications Business Environment Ratings provides a country-comparative Risk-Reward Ratings index aimed at investors (vendors, operators and suppliers) in the regional telecoms market.
The ratings methodology makes sophisticated use of more than 40 industry, economic and demographic data points.
BMI Industry Forecast Scenario
Historic data series and forecasts to end-2017 for all key industry indicators (see list below) supported by explicit assumptions, plus analysis of key downside risks to the main forecast.
- Fixed-Line Telephony - Telephone lines ('000); telephone lines/100 inhabitants.
- Cellular Telephony - Mobile phone subscribers ('000); mobile phone subscribers/100 inhabitants; mobile phone subscribers/100 fixed line subscribers.
- Internet Markets - Internet users ('000); internet users/100 inhabitants; broadband internet subscribers ('000); broadband internet subscribers/100 inhabitants.
Market Data Analysis
Detailed market analysis of the mobile, mobile content, fixed line and internet segments, broken down into:
- Market Data - Analysis of market size, operator shares, dominant trends, competitive landscape and key quarterly data.
- Technology/Service Rollout - Analysis of rollout/adoption of new technology, such as 3G, WiMAX, IPTV, pay-TV, LTE and value-added handset services (gaming, music, video, apps etc.).
- Mobile Content - The latest trends in content and services available and being introduced by mobile operators. Including a timeline of all the latest major mobile content developments.
- Company Database - A comprehensive breakdown of KPIs of the leading mobile operators, including subscriber figures by type (pre-paid and post-paid); 3G subscriber figures; net additions; market share; ARPU; churn rates; minutes of use; voice and non-voice revenue; financial figures (including operating revenues, net profits and EBITDA).
Details of the regulatory bodies and their responsibilities, as well as a special focus on the rules surrounding competition and interconnection. The latest updates in the market's development and regulatory rulings.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate Company SWOT analyses.
The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.