Conatel Begins Honduras Mobile Auction

Impatient over state-owned incumbent Hondutel's progress in launching Honduras' third mobile service, the country's regulatory body Conatel has now opened an auction to award a mobile licence that will rival existing operators' Millicom International's Tigo and America Movil's Claro. With almost 11 years experience in the Honduran mobile market, Tigo leads the sector with a 68.7% share as of Q107, its subscriber base having risen by 90% over the year. As for Claro, operational in the country for nearly five years, its subscriber base rose by 68.5% y-o-y to 834,000 customers as of March 2007. Together, these operators have brought Honduras' mobile penetration to 35%. With such low rates, Conatel is eager to raise the number of operators in the market in order to encourage greater competition, helping to drive penetration up and deliver a greater variety of services at affordable prices for customers.

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