Claro Surpasses Movistar to Become the Leading Mobile Service Provider in Peru

Claro surpasses Movistar to become the new leader in the Peruvian mobile service market, driven by intense competition and regulatory measures.

Highlights

  • Claro captures a market share of 29.99 percent while Movistar secures 29.45 percent.
  • Claro's market share rises to 37.52 percent when considering only the lines in service for the past three months.
  • Entel gains ground over Movistar, while Bitel and MVNOs also play a significant role.

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Claro Surpasses Movistar to Become the Leading Mobile Service Provider in Peru

Claro has emerged as the new leader in a significant shift in the Peruvian mobile service market landscape, surpassing Movistar for the first time since its entry into the country. According to the latest report from the Organismo Supervisor de Inversion Privada en Telecomunicaciones (OSIPTEL), Claro captured a market share of 29.99 percent with 12,391,504 mobile lines, while Movistar secured a 29.45 percent share with 12,170,007 lines.




Also Read: Peru Implements Additional Security for Mobile Services

A Narrowing Gap and Increased Competition

When considering only the mobile lines in service for the past three months, Claro's market share rises to 37.52 percent, marking a substantial 13.11 percentage-point lead over Movistar, as reported by an IT portal quoted by OSIPTEL.

The telecom regulator, OSIPTEL, attributes the intense competitive dynamics in the mobile market to regulatory measures such as number portability and the entry of new operators.

Entel Gains Ground, Bitel and MVNOs in the Mix

According to the statement, The gap in market share between Movistar and Claro has been narrowing each year due to increased competition. Meanwhile, Entel, positioned in third place with a 22.96 percent market share and 9,487,957 mobile lines, has been gaining ground over Movistar.

Bitel holds a 17.11 percent market share (7,071,689 lines), and virtual mobile operators (VMO) Flash Mobile, Guinea Mobile, Suma Movil, and Dolphin collectively represent 0.48 percent of the market.

Also Read: Entel Announces Over a Million 5G Users in First Year of Launch

Market Share for the last 3 Months

According to the report, the number of mobile lines in service for the past three months, OSIPTEL's Regulatory Policies and Competition Directorate reports a total of 32.8 million lines in March 2023. Claro leads with a 37.52 percent market share, followed by Movistar with 24.41 percent and Entel with 23.44 percent. Bitel holds a 14.36 percent market share, while MVNOs account for 0.27 percent.

Prepaid and Postpaid Segment

In terms of prepaid and postpaid segments, Movistar dominates the prepaid market, while Claro leads in the postpaid segment. As per the information provided by the operators to OSIPTEL, Peru had a total of 41,319,013 mobile lines at the end of the first quarter of 2023, representing a slight 1.0 percent decline compared to the same period last year.

Also Read: Claro and Nokia Deploy Private 4.9G Network in Colombian Port

Among the total mobile lines, the contract segment (postpaid and control) holds a greater share, accounting for 41.7 percent of the mobile market in March 2023, up from 39.6 percent in March 2022.

Claro claims the top spot in the contract market segment with 5,970,588 lines (34.6 percent market share), while Movistar dominates the prepaid market with 7,456,367 lines (31.0 percent market share).

Also Read: Claro Colombia Extends 4G Connectivity to Rural Areas in Meta

The Changing Landscape and Future Expectations

The changing landscape of the Peruvian mobile service market reflects the intense competition and evolving preferences of consumers.

As Claro solidifies its position as the leading provider, the market dynamics are expected to continue shifting in the coming months, prompting further innovation and improved services from the operators.

Reported By

Telecom Analyst

Passionately following the Indian #Telecom Industry for over a decade from Business, Consumer and a Technical perspective. My primary focus area is Consumer & Digital Experience.

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