Colombia’s fixed internet market continued to expand during the first quarter of 2026, reaching 10.49 million accesses in March, approximately 950,000 more than a year earlier, according to the latest Boletín Trimestral del Sector TIC (Quarterly ICT Sector Bulletin) published by Colombia’s Ministry of Information and Communications Technologies (MinTIC).

The bulletin, which covers January through March, also recorded 10 million 5G accesses during the quarter, representing 7.7% growth from the previous quarter. The figures point to continued expansion of higher-capacity connectivity even as traditional fixed-line telephony continues to decline. The full bulletin is available through the Colombia TIC statistics portal.

“This figure confirms the advance in the expansion of network coverage and capacity.” – MinTIC, in its Quarterly ICT Sector Bulletin

Fiber drives fixed internet growth

Average fixed internet download speeds reached 255.2 Mbps nationally in March, an increase of 17.5 Mbps from a year earlier. Fiber optic connections continued to account for the largest share of fixed internet access, with 6.2 million accesses recorded during the quarter.

Fixed internet penetration reached 19 accesses per 100 inhabitants, continuing the growth trend reported since 2023.

Bogotá recorded the country’s highest fixed internet penetration, at 31 accesses per 100 inhabitants. Antioquia recorded the highest average residential download speeds, exceeding 335 Mbps.

The latest figures reinforce the expansion of fixed broadband infrastructure as Colombia moves toward higher-capacity networks.

5G adoption reaches 10 million

Mobile internet access remained comparatively stable during the first quarter, with 49.6 million accesses recorded nationally. Mobile internet penetration stood at 93 accesses per 100 inhabitants.

4G remained the country’s dominant mobile technology, with 36.5 million accesses. At the same time, 5G adoption continued to accelerate, reaching 10 million accesses, a 7.7% increase from the previous quarter.

Despite that growth, 5G coverage remains geographically limited. MinTIC reported that the technology was available in approximately 12% of Colombia’s municipalities during the quarter.

The expansion follows continued investment in next-generation mobile infrastructure. Finance Colombia previously reported on operators beginning 5G network trials in Colombia while continuing to expand 4G coverage.

Mobile telephony widens its lead over fixed lines

The country’s reliance on mobile communications was also reflected in the latest telephony figures. Colombia had 94.6 million mobile phone lines during the quarter, substantially exceeding the number of fixed lines.

Fixed-line telephony continued its long-term decline. Active fixed lines fell by approximately 760,000 from a year earlier, reaching 5.35 million.

The contrasting trends highlight the changing structure of Colombia’s telecommunications market. Fixed broadband and fiber networks are expanding while mobile connectivity continues to dominate communications and traditional fixed telephony contracts.

The Q1 bulletin provides the latest official snapshot of Colombia’s digital infrastructure as operators continue expanding fiber and 5G networks. Subsequent quarterly data will show whether the pace of 5G adoption and fixed broadband growth continues through the remainder of 2026.

Headline Photo: A man with his phone and beside a 5G pole. (Photo provided by Mintic)

Colombia’s Ministry of Information and Communications Technologies (MinTIC) has fined Telecall Colombia more than COP $7.4 billion for failing to meet two administrative obligations linked to its 5G spectrum assignment, while maintaining the company’s commitments to expand connectivity across the country.

Telecall was one of the winners of Colombia’s December 2023 5G spectrum auction. Through the process established under Resolution 3947 of 2023, the company secured an 80 MHz block in the 3500 MHz band, a key frequency for next-generation mobile networks, after submitting a bid of COP $318.3 billion.

The spectrum permit, granted through Resolution 498 of February 23, 2024, authorized Telecall to use the assigned spectrum for 20 years. As part of the agreement, the company accepted a series of investment and coverage obligations designed to support Colombia’s digital inclusion goals.

These commitments include deploying mobile infrastructure along road corridors, providing fiber-optic connectivity to 343 educational institutions, and expanding mobile infrastructure progressively in capital cities and municipalities with populations exceeding 200,000 people.

“The decision does not modify the essential conditions of the spectrum assignment nor reduce the obligations the operator assumed.” – Ministry of Information and Communications Technologies (MinTIC)

MinTIC identified two breaches during its compliance monitoring process: the delayed payment of the first installment of the economic consideration associated with the spectrum assignment and the failure to submit required performance and third-party civil liability guarantees.

The ministry initiated administrative proceedings through Resolutions 05035 and 05033 of 2024. After initial decisions issued in January 2025, Telecall filed requests for reconsideration and appeals.

Following the appeals process, MinTIC determined that any potential termination of the permit would need to follow the formal sanctioning procedure established under Colombia’s Administrative Procedure and Administrative Litigation Code and Law 1341 of 2009, ensuring the company’s right to due process.

The ministry later opened sanctioning proceeding BDI-11784-2026 through Resolution 107 of March 6, 2026. During the process, Telecall completed the outstanding requirements that had triggered the investigation.

The company paid the pending spectrum consideration installment, representing 13% of the economic obligation and including the applicable adjustment, for approximately COP $46.9 billion on March 25, 2026. It also submitted the required performance and civil liability guarantees on March 27, which were reviewed and approved by MinTIC on May 13.

However, the subsequent compliance did not eliminate responsibility for the earlier delays. After completing the administrative process, the Directorate of Surveillance, Inspection and Control issued Resolution 02044 on May 29, 2026, imposing a fine of COP $7.42 billion. The decision became final on June 11, 2026.

To protect the continuity of the infrastructure rollout, MinTIC later issued Resolution 02199 on June 16, 2026, adjusting the timeline for Telecall’s spectrum performance obligations.

The adjustment does not alter the core terms of the spectrum assignment. According to MinTIC, the permit duration, economic consideration, payment obligations, coverage commitments, school connectivity requirements, mobile infrastructure targets, and digital divide objectives remain unchanged.

Headline image: Mauricio Lizcano announcing the inclusion of 5G in Colombia. (Photo shared by MinTic)

The company’s flagship Jupiter 3 satellite was launched July 29, 2023 and covers north & south America with capacity exceeding 500gbps, and individual streams up to 100mbps bandwidth. The school-bus sized satellite runs off of 14 solar panels and sits perched at a longitude of 95 degrees east. Hughes packages this GEO (Geostationary Earth Orbit) with its managed LEO (Low Earth Orbit) service to provide connectivity without the end client or user having to manage the connections, coordinate, or even be aware of what satellite or network is providing the connectivity. This has allowed Hughes to deploy solutions such as its OneWeb in-flight satellite internet service for aircraft.

Hughes insists that its solutions are not just for the jet-set or big businesses. Locally, Hughes has been deploying its advanced technology in places like Colombia’s remote La Guajira peninsula, rural Huila and 12 other Colombian departments, connecting 12,510 previously isolated households. Rural schools, agriculture, and small, remote communities are all able to benefit from Hughes’ modern satellite technology.

Hughes country manager for Colombia, Roque Lombardo was kind enough to take time out from his dealmaking at ANDICOM to speak with Loren Moss, executive editor of Finance Colombia, and himself a veteran of the early commercial satellite business, to talk about how Hughes is making the latest space technology like Jupiter 3 relevant and accessible for even a grade-school student in Colombia’s La Guajira desert or Chocó rainforest.

Finance Colombia: I’m here with Roque Lombardo, who is the country manager for Hughes Satellite here in Colombia. Thank you very much for your time. It’s an honor to be here talking with you. How’s it going here at ANDICOM?

Roque Lombardo: Well. We have been participating for several years now, truly with great success. I’d say it is the largest telecommunications and technology fair in Latin America, except for some events in Mexico. So, luckily, we are doing very well.

Finance Colombia: Excellent. I want to start by congratulating Hughes because one thing I have seen is that, year after year, you have a long-term commitment here in Colombia. Aside from all the technology that Hughes has developed throughout its history, from World War II, when you made aircraft, to now as a satellite company, you are committed to connecting not only Medellín and Bogotá and Cartagena here, but also rural areas of Colombia. Explain to me how you are applying your technology to bridge that gap.

Roque Lombardo: Satellite technology is, generally speaking, a long-term investment. Since you mention long-term commitment, obviously, there is a long-term commitment, but the business is very long-term because the satellites we launch have a useful life of 20, 25, or 30 years. So any business we can do in satellite connectivity is long-term.

This provides two things: it guarantees sustainability and regional coverage. From there, I would say that satellite communications are basically focused on rural connectivity, or are focused on rural connectivity and backup services; fundamentally, it’s those two. Our strength is in rural areas, but you can also see, even though we don’t compete with fiber optics, you can see our VSAT terminals in urban areas, like I don’t know, at a gas station. What is one of our VSAT terminals doing at a gas station in an urban area? It is a backup service because they cannot be left without communication. When the radio link or fiber optics connection fails, the backup service kicks in.

Now, to answer your question more specifically, there are two things I consider to reduce the digital divide. The first consideration is, obviously, that we are all very committed to reducing the digital divide, especially in the southern hemisphere. I am not talking only about Colombia, but on a global level.

And from there, we need to have a certain level of connectivity, but we also need to have content. Because many advocates for reducing the digital divide say that we have reduced the digital divide if, and only if, we have connected a school to a satellite station. But if you don’t feed that school with relevant content from a satellite station, it’s useless. You know? In other words, a connection alone is one thing, but a connection with relevant content so that people can educate themselves, engage in e-commerce, communicate, carry out e-government procedures, and so on, is another thing entirely.

So, from there, satellite connectivity is very useful, and we are working in that direction to increase connectivity. Because even narrowing the gap is sometimes a fallacy, because there are always more places to connect. In other words, the number of places to connect is growing, and the speed of coverage should grow at the same rate as the need for internet service, right?

Finance Colombia: Yes, it’s quite shocking. I’ve visited parts of Colombia: La Guajira, not far from here, Chocó, in the south, like the Amazon and Vaupés, and those areas where there’s no cell phone service, let alone internet access or anything like that. But I think you have technologies that allow cell phone operators to, like, they don’t have to run fiber optics,  they can install connectivity in remote areas like Leticia, or in Antioquia. There are areas where the only access is by river.

Roque Lombardo: 30 kilometers away from here, there are areas without coverage. We are in Cartagena, and 30 kilometers away, there are areas without coverage. That is another service we are providing called cellular backhaul, which connects cell phones through satellite stations. Why? Because, in a way, it is not profitable for cell phone operators to go to a very isolated location with fiber optics or a radio link. So, since they don’t go there with that, they can do it through a satellite link and achieve 4G or 5G cellular coverage in remote areas.

Finance Colombia: One thing that fascinates me is technological advancement. I’m old enough to remember when people had satellites like C-band antennas in their yards.

Roque Lombardo: 180 cm tall.

Finance Colombia: When you changed the channel, that satellite would move from one game to another.

Roque Lombardo: I am that old as well.

Finance Colombia: And I remember that in the nineties, I had a company that provided services for those things.

Roque Lombardo: C-band.

Finance Colombia: Right, yes. And up north, when it’s cold, the lubricant freezes.

Roque Lombardo: And the antenna wouldn’t move.

We have approximately 10,000 schools connected in Colombia, and we have between 15,000 and 17,000 homes connected – Roque Lombardo

Finance Colombia: It was a money-maker for us, because they called us so they could watch the game, and it was just a matter of cleaning the arm that moves it. But what killed that was the Ku-band. And then the dish satellites arrived, which already had the small things, and changed the industry completely. Now, twenty years later, for example, you have antennas that are like small laptops. The connection and installation are much easier. Before, a technician had compasses and weird things.

Roque Lombardo: Elevation and azimuth.

Finance Colombia: It looked like voodoo, installing that for the consumer. So my question is… You guys are still at the forefront. How do you see and what is your strategy with the advancement of systems, which they say are disruptive, but we already have Low Earth Orbit, which has like satellite constellations? You guys already have it; you’ve been setting the pace with every piece of technology. How is that changing the market, and what is your strategy in response to that?

Roque Lombardo: Yes, let’s see, what changes the market dramatically is the reduction in hardware and service costs, beyond the technology itself. I mean, it can be GEO, or LEO in this case; either one. Now, GEO technology has a specific coverage area, and LEO technology, due to the characteristics of the networks, has global coverage.

What does LEO allow for? It allows you to have connectivity everywhere, absolutely everywhere. GEO has very significant coverage, with extremely high capacity, but in perfectly defined areas, right? So, I believe that fixed Internet connectivity is becoming more democratic, but two paths are also opening up: the residential path, B2C, and the business path, B2B. In the residential sector, with low orbit or stationary GEO, needs can be met without any problem. In the business sector, you have two solutions: a LEO solution, a GEO solution, or a mixed solution.

Finance Colombia: Yes.

Roque Lombardo: In general, the best solutions are mixed ones, in which the provider analyzes your needs and gives you the best solution for each of those needs. There is no single GEO solution or single LEO solution.

Finance Colombia:  Something you guys have is a featured product that provides services to airlines.

Roque Lombardo: Yes, that is LEO.

Finance Colombia: That is LEO, okay. And aside from that, your customers obviously include broadcasters, traditional media outlets that always send their signals that way, and one of your first commercial customers. Apart from that, obviously, cell phone operators, but… there’s something in Colombia and many countries here in Latin America, as well as in Canada and Alaska, there are businesses that are located in very isolated places. And I don’t know if there’s much coverage so far north, but my question is, aside from those traditional clients who have known you for decades, what are the companies, I imagine like we have many readers from the mining and oil sectors, what are the sectors where you see the most growth, where perhaps you have solutions for those industries?

Roque Lombardo: There is a need in all industry verticals. Banking, finance, oil and gas, mining, agriculture and livestock; because in addition to everything we’ve already talked about in these few minutes, you have what is called IoT, which is the famous Internet of Things, with 5G technologies in which everyone can set up their own virtual private network, and from there have all their connectivity needs covered. That demand is infinite, because I’m talking about wanting to connect a television camera, wanting to connect my refrigerator, wanting to connect a drone, wanting to connect a moisture detector to measure agricultural moisture, or wanting to connect livestock to see how it is evolving and to monitor it.

Finance Colombia: The water levels.

Roque Lombardo: Water levels, I mean, the applications are endless. That’s why I say that demand is growing all the time, and all the solutions that are appearing in any type of orbit are going to be necessary to meet all that demand.

Finance Colombia: That’s right. Well, I remember that, I don’t think it was last year, but two years ago, you guys were celebrating, and you invited us to celebrate with you the launch of a satellite. I don’t remember if it was Jupiter 3, off the top of my head.

 Roque Lombardo: Jupiter 3.

Finance Colombia: Is there something we haven’t mentioned that you want to mention, or a question I didn’t ask you, or some successes since then?

Roque Lombardo: No, basically, we have continued to grow. We have approximately 10,000 schools connected in Colombia, and we have between 15,000 and 17,000 homes connected. We have many deals with large companies, and we have cellular backhaul, as I mentioned before. And we are marketing, let’s say, if we’re talking about basic services, we are marketing everything that Hughes offers with geostationary orbit satellites and OneWeb’s service with low orbit satellites, with full coverage.

Finance Colombia: And if there are businesses or school districts that want to learn more, is there a specific section of the website or a contact? What steps can be taken?

Roque Lombardo: Yes, at Hughes.com, you can find all the information there. It’s a very user-friendly site with instructional videos, product lines, services, and more. It’s at Hughes.com.

Finance Colombia: Okay, thank you very much for your time.

Roque Lombardo: Great, thank you.

Finance Colombia: Okay.

Colombia concluded the quarter with over 49.1 million mobile internet accesses, a figure that covers 92% of the population. The data shows that 4G technology remains the dominant mobile network, accounting for 83% of connections. However, 5G technology experienced notable growth, representing 9.6% of total accesses and adding more than 2.5 million new users over the past year.

The adoption of 5G networks saw a quarter-over-quarter increase of 23.7% between the fourth quarter of 2024 and the first quarter of 2025. This growth is attributed to the expansion of 5G infrastructure and the increasing availability of compatible devices. The report highlights that mobile telephony lines reached 92.5 million, a penetration rate of nearly 174%.

Fixed internet also demonstrated growth, with access reaching 9.34 million. This represents an increase of 235,000 connections compared to the same period in the previous year.

Regionally, Bogotá maintained its position as the area with the highest connectivity penetration, with 29 accesses per 100 inhabitants. Antioquia followed with 24 accesses per 100, and Risaralda with 23. Nationwide, the average download speed increased to 236 megabits per second (Mbps), an increase of 10 Mbps over the last year.

For detailed statistics and information, the full Quarterly ICT Bulletin is available on the ICT Sector Statistics Portal.

Mobile internet access. Photo credit: Claudid from Pixabay.

Reyes, accompanied by Acting Deputy Minister of Business Development Lorenzo Castillo Barvo, held meetings with Chinese investors and visited key industrial sites including the headquarters of technology giant Huawei, the automotive company SAIC, and the electric vehicle manufacturer BYD, which has a notable presence in Colombia’s electric bus sector. The trip also included a tour of Yangshan Port, the world’s largest port, renowned for its state-of-the-art automation and zero-emissions operations, which Colombia hopes to emulate to improve its own logistics infrastructure.

These meetings coincide with Colombia’s ongoing efforts to strengthen its participation in China’s Belt and Road Initiative (BRI), which has sparked both interest and concern across the region. China’s BRI is a multi-billion-dollar infrastructure and investment strategy aimed at enhancing global trade links. For Colombia, formal participation could mean increased investment in critical sectors such as energy and transportation. However, the initiative has also raised concerns about increasing Chinese influence in Latin America and the long-term geopolitical implications of deepening ties with the Asian power.

Colombia’s government is focusing on collaboration with Chinese entities in infrastructure, renewable energy, and technology, areas that align with global trends towards sustainable development. At Huawei’s Shanghai facility, Reyes explored advances in artificial intelligence, fiber optics, 3D modelling, and 5G technologies, while discussions with companies like Alibaba, ZTE, and Jinkosolar underscored Colombia’s push to boost its digital and green economy.

During his visit, Reyes also participated in the China International Import Expo (CIIE), a major trade event that draws global participants. Colombian companies including LOK Foods, Madremonte, and Minerva showcased their products to Chinese buyers, hoping to capitalize on the growing demand for Colombian goods in China. Reyes emphasized the importance of international trade for Colombia’s economy but stressed that the benefits should reach all sectors of society, particularly rural communities involved in agriculture.

While the Colombian government appears eager to capitalize on China’s economic potential, critics of the BRI are concerned about its broader geopolitical impact. The initiative, which has been expanding across Latin America and other developing regions, often involves Chinese loans for large-scale infrastructure projects. Critics argue that these loans can increase the indebtedness of participating countries, making them more susceptible to China’s economic and political influence.

In a parallel development, discussions about Colombia’s official participation in the BRI were revisited during a trade event between Colombia and China’s Guangdong-Hong Kong-Macao Greater Bay Area (GBA) in October. Luis Diego Monsalve, former Colombian ambassador to China, indicated that efforts were underway to formalize Colombia’s involvement in the BRI, highlighting the economic benefits but also noting potential risks of growing dependence on Chinese investments.

China’s BRI has sparked concerns about the environmental and financial risks posed by massive infrastructure projects in developing nations. However, Colombia’s government remains focused on harnessing the economic potential of Chinese investment to support its transition to a sustainable economy. This balancing act will be critical as Colombia continues to navigate its relations with China, while ensuring that the long-term benefits of these investments are not overshadowed by the geopolitical risks associated with the Belt and Road Initiative.

As Colombia and China strengthen their commercial relationship, the implications for regional geopolitics and the future of the Belt and Road Initiative will remain a central issue. The growing influence of China in Latin America and the Caribbean is set to redefine trade dynamics and the balance of power in the region in the years to come.

For more details on the BRI and its implications for Latin America, see Guangdong Provincial Development and Reform Commission and Huawei’s Technology Solutions.

Above photo: Luis Carlos Reyes Hernández, Minister of Commerce, Industry, and Tourism (courtesy MinCIT)

Japan, the event’s guest of honor, showcased its technological innovations and contributed speakers who presented the country’s vision in areas such as AI and cybersecurity. A Memorandum of Cooperation was signed between the governments of Japan and Colombia, focusing on enhancing collaboration in cybersecurity, AI, infrastructure development, and promoting connectivity in rural areas.

The event included a pre-conference featuring sessions on AI, smart cities, and blockchain, attended by 450 participants. The primary agenda covered a wide range of topics, including AI, robotics, 5G, cybersecurity, and digital transformation. Colombia’s Ministry of Information and Communications Technology (MinTIC) outlined its progress in advancing the country’s digital capabilities. MinTIC launched the National Observatory of Information and Communications Technologies (Ontic), a platform designed to consolidate key connectivity data for Colombia.

Additionally, Gabriel Jurado, Colombia’s Vice Minister of Connectivity, introduced six key initiatives aimed at expanding internet access nationwide. These included strengthening mobile and fixed access networks, increasing connectivity for educational institutions, improving affordability, and enhancing institutional capacity.

The event also addressed gender inequality in the technology sector, with representatives from various organizations signing a manifesto to promote women’s participation in science, technology, engineering, and mathematics (STEM).

Telecommunications Sector Challenges

A key focus of ANDICOM 2024 was the challenges facing the telecommunications sector. In a panel discussion on future connectivity, industry leaders emphasized the need for robust infrastructure to support AI and smart city initiatives in Colombia. While efforts to close the connectivity gap are underway, panelists called for regulatory attention to issues such as network traffic management, energy costs, and the “fair share” debate, which centers on whether content providers like Netflix and Google should contribute to network infrastructure costs.

The panel on “Innovation and Equity: Exploring Fair Share in Telecom” sparked diverse opinions, with discussions covering governance, spectrum management, and consumer impacts. Panelists largely agreed on the importance of maintaining net neutrality, which they argued could be at risk from potential regulatory intervention.

AI: Present and Future

Executive Director of ANDICOM organizer CINTEL, Manuel Martínez Niño

Artificial intelligence was a recurring theme at ANDICOM 2024. Oracle announced the deployment of Nvidia’s latest generation GPUs in Colombia, which will be used to expand AI capabilities for businesses and government organizations. Marcelo Christianini, Oracle’s VP of AI and Cloud Engineering for Latin America, highlighted the company’s investment in AI infrastructure as a key step toward enabling large-scale AI adoption.

Speakers at the event included Gabriele Mazzini, principal architect of the European Union’s AI Act, who discussed the importance of local considerations in AI regulation. Hiroshi Ishiguro, executive director at AVITA and professor at Osaka University, presented on the use of AI to create avatars aimed at enhancing human physical and cognitive abilities. Ishiguro’s research focuses on using AI to improve quality of life by providing better access to healthcare and education.

AI’s potential in the financial sector was also discussed. Panelists in the session on “Economic Transformation through AI” noted that AI can streamline verification processes and improve decision-making. However, challenges such as technology investment, data sovereignty, and skills development remain barriers to wider AI adoption.

Innovation and Technology for Social Transformation

Innovation and technology were central to ANDICOM’s discussions. Diana Barrero Zalles, head of research and sustainability at the Global Blockchain Business Council, emphasized the role of blockchain in driving innovation and sustainability in the region. She stressed the need for harmonized regulations, particularly regarding tokenization and digital assets, to facilitate global exchanges.

The conference also addressed Colombia’s energy transition with a panel on sustainable energy. Participants from various sectors discussed the barriers and opportunities in transitioning to clean energy, with a focus on user adoption and the environmental impact of new energy technologies.

Andra Keay, director of Silicon Valley Robotics, concluded the event with a presentation on the role of robots in society. Keay argued that while robots are increasingly capable of performing repetitive tasks, ethical considerations must guide the development and implementation of AI and robotics technologies.

Networking and Business Opportunities

In addition to the academic sessions, ANDICOM 2024 provided a platform for business networking. Attendees participated in meetings with technology buyers, including chief technology officers (CTOs) and chief information officers (CIOs), to discuss short- and medium-term investment plans.

CINTEL’s Digital Leaders community hosted workshops on cybersecurity and AI for CIOs from various industries, facilitating discussions on the potential of digital tools in different sectors.

According to CINTEL’s executive director, Manuel Martínez Niño, ANDICOM continues to be a key event for the region’s technology sector. The conference is a space where government, academia, and industry come together to discuss the role of technology in social transformation. Plans for the 40th edition of ANDICOM in 2025 are already underway.

Key Figures from ANDICOM 2024:

• 6,000 participants
• 35 countries represented
• 215 companies in the commercial exhibition
• 2,000 business delegates
• 150 international speakers
• 110 academic sessions
• 250 square meters dedicated to the Japan Pavilion
• 450 pre-conference attendees

The conference will host 14 sessions dedicated to AI, covering its implementation, regulation, ethical considerations, and the role of computing in development. Notable speakers include Gabriele Mazzini, Global Director Enterprise Strategy, who played a key role in drafting the EU’s AI Act; Caroline Yap, Global Managing Director of AI Business and Applied Engineering at Google; and Hiroshi Ishiguro, a prominent robotics expert from Osaka University.

These sessions will feature discussions on how AI can be effectively governed and regulated. Experts will address challenges and best practices to ensure AI development is ethical, transparent, and accountable. The agenda includes input from regulators, academics, and tech industry leaders on establishing effective regulatory frameworks and maintaining public trust in AI applications.

5G technology will also be a major focus. Discussions will explore how businesses can maximize the potential of 5G for improved network speed, capacity, and reliability. Topics will include the impact of 5G on IoT and augmented reality, and how this technology can drive innovation and business growth. The conference will also examine the concept of “Fair Share,” which calls for content providers like Netflix and Google to contribute to infrastructure development. A panel will present perspectives from content creators, telecom companies, civil society, and regulators.

Additionally, the Colombian government will present its integrated connectivity expansion plan. Telecom CEOs will participate in a panel titled “Leading the Future of Connectivity: Innovation, Challenges, and Opportunities,” discussing strategies for advancing faster, more reliable, and accessible connectivity. The panel will also cover investment in new technologies and expanding coverage.

Japan, this year’s invited country, will contribute to the discussion on 5G through Sadayuki Abeta, Chief Open RAN Strategist at OREX SAI, who will discuss the evolution of 5G networks and Open RAN, a network architecture that promotes interoperability.

Overall, ANDICOM 2024 will feature over 150 global speakers who will address how AI, blockchain, digital security, 5G, cloud computing, and analytics are becoming essential tools for sustainable development, generating returns on investment, and fostering new business models across various sectors in Latin America.

Colombia’s mobile market is the most saturated in the Andean region, with over 82 million mobile lines as of 1Q23. The competitive environment has intensified in recent years, spurred by new entrants such as WOM Colombia, as well as high levels of capex related to the renewal of spectrum and network modernization. Examples of the latter include fiber investments and transition spending related to the move to fifth-generation (5G) technology in the coming years from 4G.
Within this rapidly evolving environment where mobile penetration is high, companies are trying to maximize their 4G network by offering bundle services but post-paid subscriber growth is offset by competitive pressures on ARPUs.
Fitch expects already depressed industry cash flows to be pressured as a result of spectrum license renewals. During 2023-2024, Colombia’s four main operators face renewal processes of their spectrum holdings and need to financially prepare for the upcoming 5G spectrum auctions adding more uncertainty about capex allocation.

5G mobile network technology will enable significantly faster data speeds compared to existing cable or ADSL, low latency, and greater capacity. It will also allow for new applications and services in various industries, such as healthcare, transportation and manufacturing. The share of smartphone subscribers reached half of the Colombian market in 2022 driven by the increased availability of low-cost options, as well as lower pricing of voice and data services.

In the Colombian broadband market, Fiber to the home’s (FTTH) deployment is gaining traction, especially in urban areas, as it offers faster speed compared to traditional cable (copper or ADSL) and more reliable internet connections, supporting the increasing demand for data-intensive applications. Telecom providers, including Coltel and Tigo in Colombia, are expanding their FTTH infrastructure to offer higher-speed internet services and capitalize on the growing digital needs of consumers and businesses.

Capitalizing on new technologies are key for future growth; however, the ultimate roll-out cost and investment payback periods remain uncertain due to the weak consumer environment and affordability’s issues for these technologies. Companies are trying to offset the upfront costs by transitioning to less capital-intensive business models; however, the change will take time.

Some actions taken, or under consideration, to move to capital-light operating models include selling and leasing backs passive assets and partially divesting fixed infrastructure. Another example includes entering into partnerships, such as Tigo and Coltel’s recent efforts to explore the possibility of sharing their mobile networks and other network resources. The definitive agreement is subject to approval by the relevant governmental authorities.

The new facilities give exhibitors and attendees up to 70,000 square meters of indoor, air conditioned space to interact around the 2023 theme of “Get into the Digital World” with focii on Artificial Intelligence, Robotics, Virtual and Augmented Reality, Blockchain, 5G and the Internet of Things.

Hotels near the event are filling quickly.

Over three days, conferences and panel discussions will take place on these topics:

• September 6 – “Policies & GovTech Solutions for a connected society”.  In this space, the roadmap in terms of sectoral policy and regulation for the coming years will be discussed and the way in which disruptive trends will impact the  State and the digital citizen in daily life.
• September 7– “Strategies for digital acceleration”.  Digital acceleration strategies for business will be the topic as well as the new challenges, services and applications that have changed the way many tasks are performed.
• September 8 – “Beyond Digital”.  This day will center around the effectiveness of technological trends such as AI, Quantum Computing, Web 3.0, Metaverse, digital platforms and Gaming.

“ANDICOM 2023 is the scenario for all industries to integrate into the digital world, know the effective application of technological trends, and also interact with the protagonists and industry leaders who make social and economic transformation possible through technology,” said Manuel Martínez Niño, Executive Director of CINTEL (Center for Research and Development in Information and Communication Technologies),  organizer of the Congress.

During last year’s event, ANDICOM featured:

• 5,000 attendees
• 1,500 participating companies
• Participants from from 30 countries
• 140 exhibitors
• 70+ academic sessions
• 120 world-class speakers

From Fedesarrollo this week we had two reports:

Firstly, their monthly financial sector for February survey saw a sense of calm. The expectations for 2023 inflation rose slightly (from 8.89%-9.00%) as did the terminal interest rate (13%-13.25%) but growth for the same 2023 fell from 1.5% to 1.1% – although that remains above many other estimates, including the Central Bank (0.3%). In terms of the COLCAP, Ecopetrol and Bancolombia remain the top picks, but amidst a pessimistic view for the overall market.

Briefly on interest rates, the Central Bank head Villar stated on Thursday that Colombia was close to the end of the tightening cycle and that the impact on inflation should come soon.

Also from Fedesarrollo we had the Retail ($29.7%) and Industrial (3.6%) confidence data for January and both came in better than expected and significantly higher than December – a surprise given the poor Consumer Confidence number (-28.6%) for the same month.

Within the construction sector there is something of a confusing picture. There was a 50% drop in new home sales in January and with mortgage rates, which have never been low anyway, rising sharply, that is understandable. That said, anecdotally, at least here in Medellin – prices continue to rise sharply, that is if you can find anything to buy ! On the public side the 4G projects are largely into the home straight but the 5G works will be coming on line towards the back end of 2023 which will compensate and move that sector forward.

Solid news from the oil sector again as Campetrol reported January production of 773k bpd – down slightly on December’s 784k bpd however it was still 4.6% higher YoY and part of a gradual improvement in the trend which began to manifest itself in October.

Sticking with oil – Brent has had a complicated week and this has been reflected in the Peso which has been struggling. DXY has also largely moved against the Peso due to a mix of interest rate concerns and geopolitical events.

Within the equity market, the MSCI Colcap is still playing with a dangerous support level. In the meantime, Grupo Argos has joined Celsia & Cementos Argos in announcing continued buyback programs, between the three entities approvals are sought for US$200mn.

Wishing you all a peaceful weekend.

Roops