Speedy Online Service in Chile

in #escapeamericanow7 years ago (edited)

I never thought I would see the day when email would show signs of becoming a dinosaur, but it seems like other social media and certain cell-phone-based applications are becoming the preferred mediums for general communications and business around the world. Most of the world uses WhatsApp now--at least outside of the USA (SnapChat, etc.) and China (WeChat). In Chile, businesses advertise their WhatApp numbers as preferred means of contact. Supposedly ultra-private Signal has been making great inroads, too, eating away at WhatsApp's market share a little, further cementing this category of communication's phenomenal rise.

For the first time in decades my regular monthly cell phone bill has dropped to USD$11. I am just not using the thing to make many voice calls any longer, and I do not use that much data away from Wi-Fi zones or at home. I barely speak 100 minutes per month on the cell phone outside my home. I do make other calls from my landline, since I mostly work from home now. I spend a few extra bucks a month for my internet provider (VTR) to give me a cell-phone-enabled landline, which is cheaper and more convenient than using cell phones at home.
My cell service (Virgin Mobile) gives me unlimited WhatsApp use (non-voice) with my cheap "antiplan" and I find that the overwhelming majority of my daily communication for business, church, friends and other contacts is done via WhatsApp. Sure, I still use email, but it is no longer the most important communication medium for me.
The internet itself is the only consumable that has increased more than WhatsApp in my life. I now generate even more of my income from internet-based activity than ever before. Whether it is IT, crypto-currencies, day trading, blogging, editing/proofreading, or teaching English online, more people than ever are generating portable, tax-advantaged incomes over the internet. Who would have thought that such a world would have existed in the mid-1990s when I first left the Land of the Free?
Speaking of the internet, I thought it would be worthwhile mentioning how extremely pleased I have been with internet speeds in Chile, a country which has had fiber optics installed everywhere for over three decades. So long as the service is connected correctly, we can easily attain plans that feature 160mbps to 320mbps download, and 8mbps to 15mbps upload, in any of Chile's major population centers. The monthly cost is usually somewhere between USD$55 and USD$65, which includes the aforementioned landline phone. Basically, all newcomers to either Santiago or Viña del Mar (which is probably 98% of them) can enjoy fantastic, reliable internet connectivity. Data services on cell phones, and the hot spots they can create are also decent and often very good.
Admittedly, I have not been in the United States (thank God) for going on ten years. So I may not really be able to "feel" the difference in connectivity speeds between here and there. But as far as I can remember, Internet service speeds and quality have been better in Chile than the Land of the Free since the end of the Twentieth Century. Newcomers and more recent clients that I have interviewed on the subject confirm that the same is still true. In fact many cannot believe that I get speedtest.net download numbers around 180mbps. I could pay another ten bucks a month and get over 320mbps, but why? I will just use the savings to pay my ever-declining cell phone bill. For what I use the internet for, I probably would never notice the difference between 180mbps and 320mbps anyway.
When it comes to Europe, especially Italy, which I seem to visit once or twice a year, I have had more recent comparative data for internet speeds. I also have experience from my occasional visits to Germany, Spain, Switzerland, France and other parts of Europe. Maybe it is just bad luck, but wherever I stay up there I am lucky to get between 2mbps and 10mbps (download or upload). Indeed, my internet connection in Chile is vastly superior. Now, I am sure that if I had been staying longer term in Milan or Munich I would find great access to the internet somewhere, but it is simply does not seem to be as widespread as it is in Chile. I hear from others that China and Japan also have generally better connectivity speeds than southern/central Europe or North America. Perhaps they do.
Nonetheless, I was looking at Speedtest's global rankings of 131 countries for internet download speeds by either fixed or mobile services and was actually surprised that Chile is ranked as low as it is: 47th (fixed broadband) and 66th (mobile data). The United States is 9th/45th. Italy is 51st/35th. Germany is 24th/43rd. China is 22nd/24th. Hong Kong is 2nd/26th. Japan is 14th/55th. I guess my travel experience, that of the family in the USA and clients and newcomers I know, is not indicative of general reality elsewhere.
However, I think a more plausible explanation is that Chileans opt for lower broadband speeds for economic reasons. Although Chile is a lower-end OECD country (30th out of 35), not everyone here is willing to pay US$60 per month for internet service. For people in Hong Kong, Singapore, Switzerland, Sweden and Norway, that cost is a minuscule part of average monthly income. I am sure the opposite is true in smaller cities in Italy, where many people "squeak by" on monthly incomes under 1,500 Euros, and perhaps the same holds for block apartment dwellers its larger cities there. Does the same dynamic likewise prevail in America and Canada, where so many North Americas live on less than US$2,000 per month? Maybe massive use by businesses and big city dwellers skew the statistics in those places? My guess is that per capita GDP is highly correlated with average sustained internet speeds. Unlike America or Italy, Chile only has one big city that generates business-related internet usage.
Accordingly, Chile's internet speed rankings are plausibly lower on account of consumer choice rather than technological limitations or barriers in the country. Therefore, the upper classes, not to mention nearly all immigrants from "First Word" countries, will have no problem whatsoever attaining Hong Kong-level performance in Chile's larger cities. As a result, newcomers who depend on the internet need not worry that they will have difficulty getting connected in Chile.

Until next time,
John Cobin

Escape America Now

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