Tag Archives: ICE

New Mobile Operators in Costa Rica disrupt ICE

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The two new mobile networks in Costa Rica have signed up around 500,000 customers since they launched last December.

According to Inside Costa Rica, Telefonica’s Movistar has some 300,000 customers, while America Movil’s Claro network has the remaining 200,000 customers.

It was not clear yet if these are customers closing their account with the former incumbent network, ICE or if they are holding dual SIM cards.

Both Telefonica and America Movil were granted licenses last January to break the monopoly held by ICE. The two companies paid US$95 million and US$77 million respectively for their licenses.

The government was obliged to open up the market to competition as a condition of entry into the Central American Free-Trade Agreement.

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Canal 7 set to launch Costa Rica's first MVNO

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Costa Rican TV channel Canal 7 is close to signing an agreement with state-owned oprator ICE to launch the country’s first MVNO, La Nacion reports. The two companies’ presidents told the newspaper that they expect to conclude the deal during the week of 8 November. Canal 7 said it would use mobiles as a third TV screen, after TV sets and computers. The new operator could be up and running by the end of the year or in early 2011. ICE is also reported to be in talks with local companies to launch two or three more MVNOs, one of which would be a joint venture with retail chain Monge.

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América Móvil – Costa Rica Cellular Bids

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América Móvil (Claro) is the only company that has confirmed its effective participation in the spectrum bidding, out of five that have expressed their interest in taking part in the process.

Cable & Wireless and Millicom are studying how the process was developing, while Digicel and Telefonica would not comment on the matter. Last week, the Costa Rican treasury controller’s office requested that telecommunications regulator Sutel amend and make corrections by 21 October to the tender that will open Costa Rica’s mobile phone market to competition. The licensing of three new mobile operators aims to break the monopoly held by state-owned Instituto Costarricense de Electricidad (ICE). The controller’s office was reacting to complaints filed by Cable & Wireless, Claro Costa Rica and Centennial Towers.

The reception of the bids is scheduled by November 5.

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See the  America Movil, Millicom, Cable & Wireless, Digicel and Telefónica, S.A. records in Latin Target.

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Cable & Wireless and Millicom told the newspaper that they were studying how the process was developing, while Digicel and Telefonica would not comment on the matter. Last week, the Costa Rican treasury controller’s office requested that telecommunications regulator Sutel amend and make corrections by 21 October to the tender that will open Costa Rica’s mobile phone market to competition. The licensing of three new mobile operators aims to break the monopoly held by state-owned Instituto Costarricense de Electricidad (ICE). The controller’s office was reacting to complaints filed by Cable & Wireless, Claro Costa Rica and Centennial Towers.

ICE Files Bribery Case in Miami Against Alcatel-Lucent

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­Costa Rica’s telecommunications provider, I.C.E. (Instituto Costarricense de Electricidad) has filed a complaint in Miami, Florida, against Alcatel-Lucent relating to bribery allegations affecting a former mobile network contract. The complaint asserts claims for violations of civil racketeering and other laws of Florida in connection with Alcatel Lucent’s bribery and corruption of Costa Rican officials to secure telecommunications contracts with ICE.

If successful, the lawsuit will allow ICE to recover three times the amount of its damages.

The complaint alleges that Alcatel Lucent’s bribery and corruption in Costa Rica was partially directed from Miami, Florida, and was part of a broader world-wide scheme. Earlier this year, Alcatel Lucent announced that it had reached agreement with the U.S. Department of Justice and the U.S. Securities and Exchange Commission whereby it would admit to violations of the U.S. Foreign Corrupt Practices Act (generally prohibits bribing foreign officials) and pay criminal fines and disgorge profits in an amount over US$137 million in order to avoid criminal prosecution and an SEC enforcement action in connection with its actions in Costa Rica and in other countries. Alcatel Lucent also announced that, as part of that agreement, certain of its subsidiaries would plead guilty to violations of that Act.

“Alcatel Lucent’s unlawful conduct significantly impacted ICE and affected Costa Rica’s telecommunications system, and has caused a tremendous amount of damage to both the company and the system,” said ICE’s executive director, Don Pedro Pablo Quieros. “Alcatel Lucent acted criminally, tried to take advantage of ICE and Costa Rica, and although it has taken a step in the right direction by admitting its criminal behavior, it must pay for the significant damages it has caused to ICE.”

The lawsuit in Florida is significant because U.S. laws offer victims of racketeering enterprises, like Alcatel Lucent’s, three times the amount of damages they have suffered.

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See the I.C.E. (Instituto Costarricense de Electricidad) record in Latin Target.

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Days are numbered for TDMA cellphone users in Costa Rica

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­Costa Rica’s I.C.E. (Instituto Costarricense de Electricidad) is planning to finally shut-down its older TDMA based phone network by the end of this year, and has asked the remaining users to switch over to its GSM or 3G networks as soon as possible.

See the I.C.E. (Instituto Costarricense de Electricidad) record in Latin Target.

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