Telcos ignore government plea to reduce broadband tariffs

19 May 2005

Officials at Chilean telcos Telefónica CTC Chile and Entel have said that they will not follow recent government requests to reduce prices for their broadband internet services, pointing to the fact that they have already doubled connection speeds without raising tariffs. The government and regulator Subtel maintain that the most effective strategy for increasing broadband take-up would be to lower prices, but the operators have answered by setting out alternative plans to invest in broadband network expansion as a solution to increasing household penetration.