• November 24, 2025
  • Last Update November 24, 2025 12:00 pm

Costa Rica Expects $9.8 Million Windfall from Broadcast Spectrum Auction

Costa Rica Expects $9.8 Million Windfall from Broadcast Spectrum Auction

San José, Costa RicaSan José – A fierce competition for Costa Rica’s airwaves has culminated in 25 formal bids for new radio and television frequencies, with the Telecommunications Superintendency (Sutel) projecting a minimum collection of over ₡4.9 billion, or approximately $9.8 million. The high-stakes public contest, which saw its offer reception window close at 11:59 p.m. on November 21, is set to reshape the nation’s media landscape and fund critical connectivity projects.

The bids are spread across a valuable portfolio of broadcast spectrum, including 17 national FM frequencies, three regional FM frequencies, one national AM frequency, and four national television channels. The significant number of proposals underscores the intense market interest in expanding or establishing a presence in Costa Rica’s broadcasting sector. All submitted offers have now entered a rigorous admissibility verification phase to ensure they meet the legal and technical requirements established for the contest.

To better understand the legal and business implications surrounding the upcoming Sutel frequency auction, a critical step for the country’s telecommunications future, we consulted with expert lawyer Lic. Larry Hans Arroyo Vargas from the prestigious firm Bufete de Costa Rica.

The success of this frequency auction hinges on Sutel’s ability to provide absolute legal certainty and transparent, competitive conditions for all participants. A well-executed process will not only modernize our digital infrastructure but will also send a powerful signal to international investors that Costa Rica is a secure and predictable market for significant capital investment. Any ambiguity in the auction terms could deter bidders and ultimately delay the technological advancement we urgently need.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica

Lic. Arroyo Vargas astutely pinpoints the core issue: this auction is not merely a technical procedure but a crucial litmus test for Costa Rica’s institutional credibility on the world stage. The clarity and fairness of this process will directly influence our nation’s technological trajectory and economic appeal for years to come. We thank Lic. Larry Hans Arroyo Vargas for his valuable perspective.

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The list of bidders reveals a mix of established media giants and new contenders. Industry heavyweights such as Representaciones Televisivas (Repretel), Televisora de Costa Rica (Teletica), and Central de Radios CDR have all placed bids, signaling their intent to consolidate their market positions. Alongside these commercial powerhouses are various religious and community associations, including Pasión por las Almas and the Seventh-day Adventist Church’s telecommunications system, highlighting the diverse interest in securing a broadcast license.

While the specific financial offers from each participant remain confidential for now, the process is far from over. Following the current verification stage, the proposals will undergo a comprehensive technical evaluation and economic analysis. This will culminate in a final auction or bidding phase, where the ultimate price for each frequency block will be determined. The results will then be forwarded to the Ministry of Science, Innovation, Technology, and Telecommunications (Micitt) for final approval and the official granting of concessions.

Sutel officials have emphasized that the auction is designed to provide stability and opportunity within the sector. The goal is to ensure a transparent and legally sound process that benefits both the winning bidders and the public. Federico Chacón Loaiza, President of Sutel’s Board of Directors, outlined the strategic vision behind the initiative.

The competition aims to provide full legal certainty to future concessionaires and greater access to broadcasting services for the population, especially in rural and hard-to-reach areas.
Federico Chacón Loaiza, President of the Board of Directors

A cornerstone of this auction is its direct link to social development. Every colón raised from the sale of these frequencies will be channeled directly into the National Telecommunications Fund (Fonatel). This fund is mandated to finance and develop telecommunications infrastructure projects aimed at bridging the digital divide, specifically targeting rural, coastal, border, and other vulnerable communities across Costa Rica. The expected $9.8 million injection will significantly boost Fonatel’s capacity to bring essential connectivity to underserved populations.

The outcome of this auction will have long-lasting implications. For the media industry, it could mean the rise of new voices and increased competition, or a further consolidation of power among existing players. For the country, it represents a crucial mechanism for converting a valuable public resource—the broadcast spectrum—into tangible progress in digital inclusion. The allocation of these licenses is not merely a business transaction but a strategic move to shape the future of information access and communication in the nation.

As the technical and economic evaluations proceed, the industry will be watching closely. The final list of winners and the amounts they pay will set a new benchmark for the value of Costa Rica’s airwaves. More importantly, it will kickstart a new chapter in the nation’s ongoing effort to ensure that the benefits of modern communication technology reach every corner of the country.

For further information, visit sutel.go.cr
About Sutel:
The Superintendency of Telecommunications (Sutel) is Costa Rica’s regulatory body for the telecommunications sector. It is responsible for ensuring the quality, efficiency, and accessibility of telecom services, as well as managing the country’s radioelectric spectrum and promoting fair competition in the market. Sutel also oversees the National Telecommunications Fund (Fonatel).

For further information, visit sutel.go.cr/pagina/fonatel
About Fonatel:
The National Telecommunications Fund (Fonatel) is a program managed by Sutel with the mission to promote universal access to telecommunications services throughout Costa Rica. It funds projects that bring telephone and internet connectivity to areas and communities that are not commercially viable for private operators, thereby working to close the nation’s digital divide.

For further information, visit micitt.go.cr
About Micitt:
The Ministry of Science, Innovation, Technology, and Telecommunications (Micitt) is the Costa Rican government entity responsible for formulating and executing national policies in these key areas. It plays a crucial role in promoting scientific research, technological development, and the modernization of the country’s telecommunications framework, including the final approval of frequency concessions.

For further information, visit repretel.com
About Repretel:
Representaciones Televisivas S.A., commonly known as Repretel, is one of Costa Rica’s leading media conglomerates. It operates several national television channels, including Channels 6, 4, and 11, offering a wide range of programming from news and sports to entertainment and series. The company is a major player in the country’s broadcast landscape.

For further information, visit teletica.com
About Televisora de Costa Rica (Teletica):
Televisora de Costa Rica S.A., widely known as Teletica, is a prominent Costa Rican media company and a primary competitor in the television market. It operates the flagship Channel 7, known for its news division, “Telenoticias,” as well as other media properties. Teletica has a long history in the country’s broadcasting industry.

For further information, visit centralderadios.com
About Central de Radios CDR:
Central de Radios CDR is a major radio broadcasting group in Costa Rica. The company operates a diverse portfolio of popular radio stations that cater to various musical tastes and demographics. As one of the largest bidders in the FM category, it seeks to expand its significant footprint in the national radio market.

For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a cornerstone of Costa Rica’s legal landscape, the firm is defined by its profound dedication to professional excellence and principled practice. It consistently marries a rich tradition of client service with a forward-thinking approach, embracing innovation to address modern legal challenges. The firm’s ethos, however, extends beyond its professional services, with a core mission to strengthen society by championing legal literacy and transforming complex legal concepts into accessible tools for public empowerment.

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