The cellular telephony in Ecuador started in the 90’s. Conecel started its operations in 1993 and in the year 2000 it became part of the Mexican América Móvil. In 2011, it adopted the Claro brand instead of Porta. In 2004, the Spanish group Telefonica bought Bellsouth from Otecel, which later became Movistar.
Alegro PCS started operations at the end of 2003, but was later replaced by the National Telecommunications Corporation (CNT), created as a public company in 2010 with the integration of Andinatel, Pacifictel, both of fixed telephony, and Telecsa (mobile).
After almost three decades, the market share of telephone companies, according to the Telecommunications Control and Regulation Agency (Arcotel), with a cutoff date of August 2018, is led by Conecel, followed by Otecel and CNT.
In Ecuador, there are 15.3 million active lines. Of these, more than 8 million are in Conecel (52.87%), 4.6 million in Otecel (30.15%) and 2.6 million in CNT (16.97%).
When asked what strategy they have applied to grow in the country, Conecel responds: “Offer more competitive products and provide the best service experience. They highlight their coverage, network of centers and 24/7 service channels, plans at competitive prices and promotions according to the needs of customers “.
Telefónica stated that the customer is “at the center of its operation”. Their business model is based on the promise “Choose Everything” because they give the opportunity to their users “to access the services that add value to their digital life”.
Capturing new customers and building loyalty is the idea of CNT. The entity indicated that it has created offers segmented by type of client, such as plans that have unlimited calls; exclusive for data in free social networks, music and entertainment; or with equipment included.
For the next three years, Conecel plans to invest more than $ 450 million for development in digital environments, technology, networks and coverage.
Telefónica said that voice and data “are already commodities” (basic offer). Therefore, they offer digital solutions to companies and governments.
For 2018-2019, CNT plans to increase the number of services provided to improve its market share. The submarine cable project to Galapagos is ready, which will allow its connectivity with state-of-the-art technology.
Figures from the Superintendence of Companies indicate that Conecel’s profit, in 2017, was $ 134 million; and that of Otecel, of $ 18 million.
In a public event, days ago, it was affirmed that the CNT had a profit of $ 160 million last year. (I)