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3G Mobile Policy: the Cases of Chile and Venezuela

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3G Mobile Policy: the Cases of Chile and Venezuela 3G MOBILE POLICY: THE CASES OF CHILE & VENEZUELA 1 Chile - Venezuela 3G Case Study This case has been prepared by Ben A. Petrazzini <[email protected]>of the Strategy and Policy Unit of the ITU, and Martin Hilbert <[email protected]> of the UN Economic Commission for Latin America (ECLAC). The preparation of the study has been possible thanks to the valuable contributions of Jesus Rivera of CONATEL, Venezuela; and Gabriel Bernal of the ITU Area Office in Santiago, Chile. 3G Mobile Policy: The Cases of Chile and Venezuela is part of a series of Telecommunication Case Studies produced under the New Initiatives program of the Office of the Secretary General of the International Telecommunication Union (ITU). The New Initiatives program is directed by Tim Kelly <[email protected]>. The Case Studies Program is managed by Lara Srivastava <[email protected]>. Other country case studies on 3G, including China, Hong Kong SAR, Ghana, Japan and Sweden, can be found at <http://www.itu.int/3g>. The opinions expressed in this study are those of the authors and do not necessarily reflect the views of the International Telecommunication Union, its membership or the Governments of Chile and Venezuela. 2 Chile - Venezuela 3G Case Study TABLE OF CONTENTS 1 Introduction and the mobile market in Latin America............................................................................... 5 Chile ........................................................................................................................................................ 9 2 Telecommunications in Chile .................................................................................................................. 10 2.1 The Mobile Market in Chile .............................................................................................................. 12 2.2 Moving towards 3G ........................................................................................................................... 17 2.3 The Rise of Third Generation Mobile (3G) ....................................................................................... 18 2.3.1 Licensing........................................................................................................................................ 18 2.3.2 License requirements ..................................................................................................................... 19 2.3.3 Spectrum allocation ....................................................................................................................... 20 2.4 Forthcoming market and policy issues............................................................................................... 22 2.4.1 Timing of 3G licenses.................................................................................................................... 22 2.4.2 Potential 3G operators.................................................................................................................... 23 2.4.3 Technology .................................................................................................................................... 24 2.4.4 Services.......................................................................................................................................... 24 Venezuela ...................................................................................................................................................... 25 3 Telecommunications in Venezuela.......................................................................................................... 25 3.1 The mobile market ............................................................................................................................. 27 3.2 Moving towards 3G ........................................................................................................................... 29 3.3 The rise of 3G in Venezuela .............................................................................................................. 30 3.4 Licensing............................................................................................................................................ 33 3.4.1 License features and requirements................................................................................................. 33 3.5 Spectrum allocation ........................................................................................................................... 34 3.6 Forthcoming market and policy issues............................................................................................... 35 3.6.1 Timing of the license ..................................................................................................................... 36 3.6.2 Potential 3G operators.................................................................................................................... 36 3.6.3 Technology and infrastructure ....................................................................................................... 37 3.6.4 Services.......................................................................................................................................... 37 3.7 Conclusion ......................................................................................................................................... 38 ANNEX A Fija norma tecnica para el servicio publico de telefonia movil digital avanzado República de Chile Ministerio de Transportes y Telecomunicaciones Subsecretaría de Telecomunicaciones..................................................................................................................... 41 ANNEX B The Introduction of 3G in Venezuela A public consultation document....................................... 43 ANNEX C Links to Related Websites............................................................................................................ 54 ANNEX D Interviews, Chile- Venezuela....................................................................................................... 55 3 Chile - Venezuela 3G Case Study LIST OF FIGURES Figure 1.1: Deep and wide................................................................................................................................ 6 Figure 1.2: Latin mobile in the global context.................................................................................................. 7 Figure 1.3: The standards dilemma................................................................................................................... 8 Figure 2.1: Investing in growth....................................................................................................................... 13 Figure 2.2: Taking a slice of the pie ............................................................................................................... 14 Figure 2.3: Confidence in mobile communications........................................................................................ 17 Figure 2.4: Lots of not very profitable customers........................................................................................... 24 Figure 3.1: Substituting fixed ......................................................................................................................... 28 Figure 3.2: A small slice of the pie................................................................................................................. 30 LIST OF TABLES Table 1.1: Growing fast .................................................................................................................................... 6 Table 2.1: Going mobile ................................................................................................................................. 12 Table 2.2: The Chilean mobile players........................................................................................................... 14 Table 2.3: Connected from abroad.................................................................................................................. 16 Table 2.4: A piece for each............................................................................................................................. 21 Table 3.1: Fascination with mobile communications ..................................................................................... 27 Table 3.2: Telecommunication start performers............................................................................................. 29 Table 3.3: Air pieces for advanced communication services.......................................................................... 35 LIST OF BOX Box 2.1: Consulting with Industry.................................................................................................................. 11 Box 2.2: Digital government........................................................................................................................... 12 Box 2.3: Fighting for air ................................................................................................................................. 15 Box 2.4: A pending matter.............................................................................................................................. 22 Box 3.1: The Venezuelan regulator ................................................................................................................ 26 Box 3.2: Seeking public opinion....................................................................................................................
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