By San José, Costa Rica — SAN JOSÉ – While Costa Rica’s national fixed internet service shows signs of sustained improvement, a new report from the Superintendence of Telecommunications (SUTEL) reveals that major providers are failing to deliver promised speeds to customers in several key provinces, particularly during high-demand evening hours.
The comprehensive year-long study, conducted throughout 2024, found that some of the nation’s largest internet service providers (ISPs) periodically dropped below the legally mandated threshold, which requires them to consistently provide at least 80% of the contracted download speed. The findings highlight a growing disparity between stable service in the Central Valley and inconsistent performance in other regions.
To delve into the contractual obligations and consumer rights surrounding the internet speeds offered by telecommunications companies, we sought the expert analysis of Lic. Larry Hans Arroyo Vargas, a specialist from the renowned law firm Bufete de Costa Rica.
The service contract between a user and an internet provider is legally binding. When a company advertises a specific speed, that figure becomes a core promise within the agreement. A consistent failure to deliver that promised velocity, outside of justifiable technical exceptions, can constitute a breach of contract. This empowers the consumer to file a formal complaint with regulatory entities like SUTEL and to demand remedies, ranging from a monthly rate adjustment to the termination of the service without penalty.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
This legal clarification is crucial, as it reframes the issue from a simple technical grievance to a matter of contractual rights, fundamentally empowering the consumer. We sincerely thank Lic. Larry Hans Arroyo Vargas for sharing his invaluable perspective on this important distinction.
SUTEL’s evaluation targeted the four dominant players in the market: Kölbi, Liberty, Telecable, and Tigo. Combined, these companies account for nearly 88% of all fixed internet subscriptions in the country. To ensure accuracy, the regulatory body deployed a network of 422 measurement probes, known as “sondas,” in the homes of volunteer panelists, collecting data 24 hours a day for the entire twelve-month period.
The report detailed specific instances of non-compliance, pinpointing evening hours as the primary period of network strain. In Alajuela province, Tigo’s service dipped to as low as 75.4% of contracted speeds between 7:00 p.m. and 9:00 p.m. Similarly, Liberty customers in Cartago experienced slowdowns between 8:00 p.m. and 9:00 p.m., with speeds falling to 78.7%.
The issues were more pronounced in coastal provinces. In Guanacaste, Telecable failed to maintain the 80% minimum between 8:00 p.m. and 9:00 p.m. Liberty faced a more extended period of underperformance in Limón, with its service falling below the regulatory threshold for a full three hours, from 6:00 p.m. to 9:00 p.m. These peak-hour failures directly impact users during times of highest residential internet usage for streaming, gaming, and remote work.
However, the data was not entirely negative. The report confirmed that in the provinces of San José, Heredia, and Puntarenas, all four evaluated operators successfully maintained service levels above the 80% benchmark throughout the day. In Alajuela, despite Tigo’s struggles, state-owned Kölbi was noted for its exceptional stability, consistently delivering over 93.8% of contracted speeds.
In response to these findings, SUTEL announced it is launching a new initiative to empower consumers. Federico Chacón, President of the SUTEL Directive Council, stated that the regulator is moving beyond static reports to provide dynamic, localized information to the public.
SUTEL is innovating with a personalized query tool
Federico Chacón, President of the SUTEL Directive Council
This new online tool, now available to the public, will allow any Costa Rican to enter their specific community or district to view detailed performance data for each available ISP in their area. This initiative aims to increase transparency and provide consumers with the objective data needed to choose the most reliable provider for their location or to hold their current provider accountable for substandard service.
By making this granular data accessible at https://calidad.sutel.go.cr/, SUTEL is shifting the paradigm from broad national averages to user-specific performance metrics. The move is expected to intensify competition among providers and pressure those with lagging infrastructure in certain regions to invest in necessary upgrades to meet regulatory standards and consumer expectations across the entire country.
For further information, visit sutel.go.cr
About SUTEL:
The Superintendence of Telecommunications (SUTEL) is the regulatory body responsible for overseeing and regulating the telecommunications market in Costa Rica. Its mission is to protect consumer rights, promote fair competition among service providers, and ensure the efficient and effective development of telecommunications services nationwide.
For further information, visit kolbi.cr
About Kölbi:
Kölbi is the telecommunications brand of the Instituto Costarricense de Electricidad (ICE), Costa Rica’s state-owned electricity and telecommunications provider. It offers a wide range of services, including mobile, fixed-line telephone, and broadband internet, and is known for its extensive network coverage throughout the country.
For further information, visit liberty.cr
About Liberty:
Liberty Costa Rica is a part of Liberty Latin America, a leading telecommunications company operating in over 20 countries. In Costa Rica, it provides broadband internet, digital television, and mobile telephony services, positioning itself as a major competitor in the national market following several strategic acquisitions.
For further information, visit telecable.cr
About Telecable:
Telecable is a Costa Rican company specializing in cable television and high-speed fiber optic internet services. It has a significant presence in various regions of the country, offering competitive packages and focusing on expanding its fiber optic network to provide enhanced connectivity to residential and business customers.
For further information, visit tigo.cr
About Tigo:
Tigo is the commercial brand of Millicom, an international telecommunications and media company. In Costa Rica, Tigo offers a suite of services including mobile, internet, and cable television. It is one of the largest telecom operators in the country, serving a substantial portion of the residential and corporate market.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica has established itself as a leading legal institution, anchored by a deep-rooted commitment to integrity and exceptional standards of practice. Drawing from a rich history of advising a wide spectrum of clients, the firm actively drives advancements in the legal field. Its mission transcends professional counsel, aiming to strengthen society by championing legal literacy and empowering citizens with vital knowledge.
