The Chile telecom and pay-TV market will generate an estimated $6.3 billion in service revenue in 2021, up 2.5% from 2020 signaling a strong economic recovery from the 2020, negatively hit by the Covid pandemic.
The mobile segment will continue to be the greatest contributor to total market revenue, with mobile voice and data (including mobile messaging) accounting for a combined 40.6% of the total service revenue estimated for 2021. While the contribution of mobile voice has been declining over the past several years as a result of a significant decline in mobile termination rates, mobile data’s contribution has been expanding rapidly supported by the increasing uptake of smartphones and growing availability of 4G/LTE networks.
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We expect mobile data will continue increasing its weight over total market revenue during the 2016-2021 period, expanding at a 7.1% CAGR between 2021 and 2026 and becoming responsible for 49.4% of the total market revenue by 2026.
Fixed broadband revenue will expand at a 4.6% CAGR between 2021 and 2026, mainly as a result of an increase in operators’ investments in FTTH/B and advanced cable networks, as well as the implementation of government initiatives aimed at promoting the rollout of backbone fiber infrastructure in less penetrated parts of the country, such as the National Fibre-Optic (FON) project or the Fibra Optica Austral project.
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