Colombian telecommunications services market revenues will reach $14.97 billion in 2019 from $11.40 billion in 2013, said Frost & Sullivan.
Demand for mobile data services compels Capex in third generation, long-term evolution, Gigabit Ethernet, and fiber to the home networks. The launch of pay TV service operations as well as the integration of fixed and mobile operations will add to market revenues.
Frost & Sullivan Information and Communication Technologies Industry Analyst Gina Sanchez, said: “Growth will gather momentum as competition to provide triple, quadruple and quintuple play bundles heats up.”
Commoditization is the key challenge facing service providers in the Colombian telecommunications services market. The research report said the emergence of services such as voice over Internet Protocol (VoIP) accelerates commoditization and decreases margins.
Frost & Sullivan suggests that telecom operators must offer value-added services (VAS), IT integration, and managed services to fight the commoditization trend.
The report said the entry of more participants will also lower prices and force operators to deliver additional content, VAS, and revolutionary technologies to retain users.
“Customer relationships, proximity, and support will likely be key differentiators, especially as small and medium businesses become more demanding customers in the Colombian telecommunications domain,” Sanchez said.
editor@telecomlead.com
