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Internet and pay TV are more expensive now, but there is a reason – .

January 23, 2021 | 5:00 am

The drop in prices, mainly in both mobile and fixed telephony services, as a result of the 2013 Telecommunications and Broadcasting reform, was one of the main favorable effects for consumers.

Just over five years away, mobile telephony prices have fallen by more than 40% and telephony prices were practically diluted with the offer of plans that include the service as a free add-on.

However, there are telecommunications services that, especially during the pandemic, have been essential, such as the internet and pay TV, which instead of reducing their prices over time, have risen, but there is a reason for being .

The balance of the evolution of the telecommunications and broadcasting sectors carried out by the Federal Telecommunications Institute (IFT) reveals an increase of 4.4% in the fixed internet service in the comparison of the second quarter of 2013 to the fourth quarter of 2019.

Meanwhile, in the same period, pay TV has risen 18%, but both cases have an explanation.

The offer

In recent years, in Mexico there have been a greater number of offers as well as a greater number of suppliers to contract one or more services in the same plan. In the case of the internet, there are not only more plans, but also new technologies and higher speeds.

These plans offer different benefits to users, both in terms of speed and technology, and also many of them with added values ​​given the accelerated evolution of audiovisual consumption.

It is likely that in recent years, a user has migrated from a coaxial cable internet service to a fiber optic one, or even a new user has considered another offer under another technology, such as satellite.

Pay TV, meanwhile, is another story. To a large extent, the costs of restricted television content are in dollars, which naturally adjust over time.

In addition, the offer of restricted television plans with more channels has also been on the rise, which is reflected in the number of offers and also in the prices of the packages.

The pay TV market, despite not being exempt from the effects of the economic recession and the diversion of preferences for other entertainment alternatives such as streaming, maintains a dynamic growth rate.

In an analysis, The Competitive Intelligence Unit (CIU) noted that the social and economic conditions caused by the pandemic have resulted in a ‘digital push’.

This, due to the acceleration in the adoption and use of connectivity from the confinement and the pandemic, to give continuity to productive activities, resulting in a catalyst for connectivity.