El Salvador, Central America's smallest country, is densely populated with over six million people predominantly residing in urban areas, including the capital, San Salvador. Its mountainous terrain, with the Pacific coast to the south, poses challenges for technology infrastructure, specifically telecommunications. Even so, El Salvador has made significant strides in digital connectivity, with one of the highest mobile phone penetration rates in Latin America. However, fixed broadband services are less developed due to the high costs associated with their expansion into remote and rural regions. In the energy sector, El Salvador has shifted towards renewable sources, particularly hydro and geothermal energy, due to its significant volcanic activity. Their commitment to sustainable solutions is evident in the operation of the Ahuachapán and Berlín geothermal fields, which contribute significantly to the country's electricity supply. Nonetheless, El Salvador's susceptibility to natural disasters, such as earthquakes and hurricanes, requires robust and resilient technological and energy infrastructures.
Mobile Network Operators
The are 4 companies operating mobile networks in this region.
Claro is the second largest mobile network operating in El Salvador. The company was founded in 1999 as CTE Telecom, launching a mobile network under the brand Personal. In 2009 the company was acquired by America Movil and subsequently rebranding to Claro as part of América Móvil's consistent branding strategy. Claro El Salvador is a subsidiary of América Móvil S.A.B. de C.V, an international telecommunications group with operations in a range of countries throughout South America.
Digicel is the smallest mobile network operating in El Salvador. Operations began in September 2006 under the brand El Nuevo Digicel after the acquisition of (unrelated) mobile network operator Digicel Holdings Limited (DHL). Digicel Holdings Limited has a history dating back to the privatisation of telecommunications services in 1998.
Movistar is a mobile network operating in El Salvador. The company was formed in 1997 as a subsidiary of international telecommunications giant Telefónica, via its Central American unit Telefónica Centroamérica Inversiones, S.L. Telefónica Móviles El Salvador was wholly acquired by América Móvil in January 2019, following Telefónica Centroamérica Inversiones' divestment of its Guatemalan and El Salvadorian business units.
Tigo is the largest mobile carrier operating in El Salvador. The company was founded in 1992 as Telemovil S.A., becoming Tigo in 2003 following the rebranding strategy initiated by its parent, Millicom International Cellular S.A. Today Tigo remains a fully owned subsidiary of Millicom, a NASDAQ listed mobile operator specialising in emerging markets.