5G In Paraguay Takes Off: US$35 Million Investment For Rollout In Asunción And Beyond

Paraguay has entered the fifth-generation (5G) telecommunications era following a competitive bidding process. The tender process is managed by the Ministry of Information and Communication Technologies and the National Telecommunications Commission. The regulatory framework awarded spectrum rights to two operators, Claro and Nubicom, opening the market to multiple service providers.

These actions are complemented by the arrival of the 5G network in the final months of 2025 by Claro, the company that already started providing the service, which allows for higher speeds, lower latency, and new opportunities for strategic sectors. Claro has begun initial deployments across strategic metropolitan areas, with additional tenders planned in the coming months.

The path to 5G in Paraguay

Paraguay adopted a carefully structured regulatory approach to encourage competition in its 5G rollout. The competitive bidding process assigned spectrum rights in the 3.5 gigahertz band to Claro and Nubicom, with each company receiving 200 megahertz divided into four sub-bands.

The regulatory framework implemented strict eligibility rules designed to ensure technological security and reciprocal trade principles. Paraguay excluded providers from countries without established commercial reciprocity agreements, reflecting broader geopolitical considerations in global telecommunications infrastructure deployment.

5G in Paraguay deployment

Claro has begun deploying 5G services across twelve key metropolitan areas in Paraguay, with an initial investment of US$35 million. These locations include Greater Asunción (the capital metropolitan region), Ciudad del Este in Alto Paraná department, Encarnación in Itapúa department, Coronel Oviedo, and Pedro Juan Caballero. The phased approach prioritises urban centres with higher population density and economic activity.

Nubicom, the second-awarded bidder, received identical spectrum allocation but has not yet announced comparable deployment timelines or investment figures. The dual-operator model creates a framework for service competition once both companies establish operational networks.

Technical capabilities and economic opportunities

The advantages of fifth-generation technology are measurable and significant. The technology enables substantially higher data transmission speeds, reduces response time between devices and networks (known as latency), and opens new possibilities for sectors including healthcare, education, manufacturing, and agriculture. Paraguay’s telecommunication minister, Gustavo Villate, stated that mobile internet speeds in the country will change markedly due to the technology rollout. He explained that available frequencies and the deployed technology determine speed.

Market expansion: Additional tender planned

Minister Villate confirmed that the government is preparing an additional spectrum tender to be launched in the coming months. This new process will permit other companies beyond Claro and Nubicom to offer 5G Paraguay services. The move reflects Paraguay’s commitment to expanding service options and encouraging sustained competition. Increased competition typically correlates with improvements in service quality and pricing, benefiting consumers across the nation.

Looking ahead

Paraguay’s entry into the 5G era represents a significant milestone in the nation’s digital infrastructure development. With Claro already deploying services and regulators advancing plans for market expansion, the country is positioned to benefit from faster, more reliable mobile connectivity. The challenge ahead lies in extending this technology beyond major urban centres to reach secondary cities and rural communities. Therefore, this approach would ensure that the advantages of 5G in Paraguay are distributed equitably across the population.

The success of this regulatory framework will depend on continued government oversight, operator investment, and the effectiveness of competitive mechanisms in driving service improvements across the market.