A New Internet and Phone Service Providers?

Is ICE procrastinating on Internet and Phone Services?

Back in June, 2009 the government did something somewhat unbecoming, they gave approval, or should I say, offered the rights to six companies to provide Internet and voice-over-Internet telephone services.

Until then, the Instituto Costarricense de Electricidad (ICE) a government run monopoly controlled just about every form of communications in Costa Rica, among other things like electricity.  One of the reasons why the government caved in, The Free Trade Treaty with the United States required Costa Rica to open its telecom and insurance markets to competition. Which as all Costa Ricans know, has been a very long debated wait.

The six companies offered an array of services, some very minor and some very major, and regardless, has it or will it happen and if so, When?

Dodona SRL is now doing business as Amnet offers cable Internet connections and wants to provide transmission of data, voice-over-Internet, access to information webs, and value-added services like video conferencing and television by subscription.

Intertel Worldwide S.A. wants to provide prepaid public telephone service using the Internet.

R&H International Telecom Services S.A. wants to provide voice-over-Internet services for homes and businesses.

Worldcom de Costa Rica S.A., wants to provide wireless Internet connections and by land line, voice-over-Internet and corporate networks;

Callmyway NY S.A., wants to provide many types of communication services, what type is unknown by us.

Redes Inalámbricas de Costa Rica S.A. wants to provide corporate and small business networks with wireless technology.

However, before these companies can pass the saving to the public, they have to meet some demanding technical, financial and legal conditions that HAD a ridged deadline in June, 2009. I guess you can say, they were force to provide all this documentation before they could pave the way for other competition and attract more outside  investment at a time where the economy is not at its best, and very necessary for the country.

WE have to remember, back when; Intertel Worldwide had established phone booths in many areas of the Central Valley that offered voice-over-Internet calls at a rate MUCH lower than ICE. And that was when ICE  really did not exist and the market was wide open. Naturally ICE objected and got control, forcing a higher price. And with a deadline, a Internet cafe and the Junta Admistradora de Servicio Eléctrico Municipal de Cartago, who wanted to provide cable television and Internet, could not.

After the deadline, ICE was criticized for requiring the same kind of paperwork from Internet cafe owners as it did from large telecom companies. The agency seemed to agree and reduced the requirements for these small businesses.

Obviously, ICE is procrastinating big time, since no contract have been let out, nor has there been any time set when these companies will enter the market and begin offering lower services to Costa Ricans.

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