Competencia en telefonía móvil en Uruguay: diseño de subastas, contratos y marco institucional
Uruguay began a general regulatory reform in the 90s. Regarding the telecommunication sector, the main aspect of the reform was the opening up of the mobile market to competition. The auction designed followed the basic idea that had been developed in the American mobile auctions (1994), and also incorporated lessons from European 3G auctions in 2000. Although the design decisions were correct, the auction failed: there were no entrants to the market and the collection was tiny. The explanation can’t be found in the design of the auction but in a mix of reasons related to the institutional characteristics of the country and the deep economic crisis that started during the auction process, instead.
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