With the lowest fixed-line teledensity and also the lowest Internet user penetration in South America, Paraguay has a fixed-line market that is still neither privatised nor liberalised. Privatisation attempts have met with strikes and violent demonstrations. The state-owned incumbent, Copaco, is known as being inefficient and overstaffed. The mobile and Internet sectors have been open to competition since 1995, and mobile phones outnumber fixed lines in service by around five to one. All four mobile operators provide GSM/GPRS services. The government is working on plans to privatise and liberalise the telecom market, which has considerable expansion potential, judging by Paraguay’s GDP, which although low, warrants greater telecom development.
Paraguay is covered in our report on The Mercosur Countries (Argentina, Brazil, Paraguay, Uruguay) and Guyana, Suriname and Venezuela.
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