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 Monday, March 23, 2009

Following last week’s decision by Paraguayan regulator Conatel to end Copaco’s monopoly on wholesale internet access, the incumbent telco has announced that it will reduce retail and wholesale internet access tariffs for the second time this year in May, reports abc.com.py. From the beginning of March, Copaco cut certain tariffs by an average of around 23%, with a 64kbps connection falling from USD19 to USD17 per month, and a 128kbps subscription falling from USD25 to USD22 a month. However, Paraguay's prices remain the highest in the Mercosur region, with a 1Mbps ADSL connection costing Copaco customers USD92 per month, 318% more than in Argentina, where the same service is charged at USD22. The monopolistic market and high prices have inhibited growth in the sector; Copaco reportedly finished 2008 with fewer than 15,000 broadband customers, up from an estimated 10,000 at end-2007. Details of the new price list planned for May were not released.

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Source: TeleGeography.