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Lex Mundi Latin America and the Caribbean: TMT and Cyber Guide

Honduras

(Latin America) Firm Gufa Law

Contributors Mauricio Villeda Jr.

Updated 04 Nov 2025
1. What is the current state of the telecommunications market in your jurisdiction? Who are the main players in the market?

The market is highly concentrated, with a clear duopoly in mobile and fixed services. The main players include:

  • Tigo (Millicom, dominant in mobile and fixed broadband)
  • Claro (América Móvil, strong presence in mobile and fixed services)
  • Hondutel (State-owned National Telecommunications Company, which primarily holds a majority share in fixed telephony and a smaller stake in mobile): Although it has lost market share, it remains relevant due to its fiber optic network and government agreements.
    Companies focused on fixed connectivity services, dedicated links, and business solutions:
  • Ufinet: Operates an extensive fiber optic network in Honduras and Central America. Provides wholesale infrastructure and data transmission services to other operators (such as Tigo, Claro, and other ISPs).
  • IFX Networks: Regional provider offering connectivity, cloud, security, and private network services for businesses. In Honduras, it mainly operates in the corporate segment.
  • BTS (Business Telecommunications Solutions): provides business internet, dedicated links, and network solutions.
  • Central Cable: Present in several cities, offering cable television and residential internet services.
    These companies are not always visible to consumers but are crucial for network operations:
  • Tower One Wireless / Phoenix Tower International (PTI): International companies dedicated to leasing telecommunications towers and sites. They rent space to mobile operators (such as Tigo and Claro).
  • American Tower Corporation (ATC): Also operates in Honduras, managing passive infrastructure (towers, antennas, etc.).
  • Huawei Technologies / Nokia / Ericsson: Global manufacturers and suppliers of network equipment and mobile technology (involved in 3G, 4G, and 5G deployments).
  • Continental Towers
2. What is the market share for different services (mobile, broadband, Pay TV, etc.)? E.g. level of penetration for mobile services, fixed broadband, 4G, 5G, and fiber deployment.

According to registered information before CONATEL, the mobile density is high, exceeding 80% (around 7.7-7.8 million mobile lines): 

  • Mobile: Dominated by Tigo and Claro.
  • Fixed Broadband: Penetration is low (around 12-15% of households). Tigo and Claro lead this segment, primarily via HFC (Hybrid Fiber-Coaxial) technology. 4G/5G: 4G is the predominant mobile broadband technology. 5G deployment is a key ongoing trend, with operators having acquired spectrum and starting to deploy commercial services in major urban centers.
  • Audiovisual communication services: 5%

Key Operators: Honduras’s telecom market is primarily dominated by two major players: Telecom Honduras and Claro (América Móvil). This market structure follows Telefónica’s sale of its local operations to Telecom in a US$1.245 billion transaction, which is currently under review by the fair-trade regulatory authorities.

Telecoms overview: Fixed broadband reached 11.9 million subscribers (80% household penetration), with fiber optics rising to 40% of connections, replacing cable modem as the dominant technology. The mobile market remains strong, with 64.1 million connections (136% penetration), mostly prepaid, and steady expansion of 4G infrastructure. By contrast, fixed telephony (6.4 million lines) and Pay TV (8.7 million subscribers) continued to decline, with satellite TV showing the sharpest drop.

3. What are the most relevant trends and challenges in the ICT industry? Are there ongoing developments in areas such as 5G deployment, IoT, satellite services, infrastructure investment, or market consolidation?

Trends: 5G Deployment (focus on new licenses/spectrum awards), significant Infrastructure Investment by private operators (fiber backhaul, tower construction), and increasing adoption of Satellite Services (e.g., Starlink) for connectivity in remote areas.

Challenges: High broadband penetration gap, especially in fixed services and rural areas, and the need to promote competition beyond the established duopoly.

4. What are the main laws governing telecommunications in your jurisdiction? Which authority regulates the telecommunications sector?

Main Laws: The Framework Law for the Telecommunications Sector (Decreto Legislativo N° 185-95) ("Framework Law") and its General Regulations.

Regulatory Authority: The National Telecommunications Commission (Comisión Nacional de Telecomunicaciones "CONATEL").

5. Describe the licensing requirements for the provision of the following services:

Services are authorized via three main "Enabling Titles" (Títulos Habilitantes):

  • Concession: (typically for public services using scarce resources like mobile spectrum)
  • Permit or License: (for public services not using scarce resources, like Cable TV)
  • Registration: (for Value-Added services like Internet Access/Data Transmission)

General Requirements include:

  • Legal representation
  • Company registration
  • Economic and technical solvency certifications
  • A sworn declaration of compliance
  • Submission of detailed Technical and Economic-Financial Memory forms for CONATEL analysis
6. Are there any foreign ownership restrictions on telecom operators?

Generally, there are no specific foreign ownership restrictions on telecommunications operators in the Framework Law. The sector operates under the Principle of Free Competition to attract private investment, regardless of nationality.

7. Are service prices regulated or freely determined?

Service prices are generally freely determined by the market under the principle of free competition. However, CONATEL has the authority to regulate tariffs for Public Service Operators where competition is insufficient, or when services are considered essential public utilities, ensuring reasonable rates.

8. Is regulatory approval required for license transfers or corporate control changes? What are the conditions or requirements?

Regulatory approval is required for the transfer of licenses, concessions, and potentially significant changes in corporate control or shares. Any transfer of an Enabling Title must be formally authorized by CONATEL to ensure the new operator meets the original technical, legal, and financial conditions, and is not in violation of competition rules (e.g., spectrum limits).

9. Are there universal service obligations? If so, what are the applicable rules?

Yes, there are universal service obligations implied by the Principle of Service with Equity. CONATEL aims to promote investment to ensure services (especially fixed/mobile broadband) reach all inhabitants, including economically non-profitable areas (rural and border zones), often by maintaining low or symbolic fees for internet service applications to incentivize coverage expansion.

10. What are the interconnection and access obligations? Net neutrality - Are there obligations to block or filter internet content under specific conditions?

Operators of Public Telecommunications Networks have the obligation to interconnect their networks. Agreements must ensure equality of access and neutrality regarding the dominant operator's operations and its competitors. CONATEL regulates the technical and economic conditions of interconnection. Net Neutrality: The inviolability and secrecy of communications are guaranteed by the Framework Law. Content blocking or filtering is generally prohibited, except by judicial order (a constitutional safeguard).

11. How is radio spectrum allocated and managed? What is the process for awarding high-demand mobile frequencies (e.g., auction, tender, on demand)? Is there a secondary market for spectrum (e.g., spectrum trading or leasing)?

CONATEL is responsible for the administration and control of the radio spectrum, guided by the National Frequency Allocation Plan.

Allocation Process: High-demand mobile frequencies are awarded via a Concurso Público (Public Contest/Auction), where the base prices are determined by CONATEL using internationally accepted valuation methodologies. For other services, allocation may be via a written request.

Secondary Market: The legal framework does not currently provide for a robust secondary market (trading or leasing) of spectrum rights between third parties, as the spectrum is considered State property.

12. Are national, regional, or municipal authorizations required for installing telecom infrastructure? What are the rules regarding the use of support structures (e.g., towers, poles; sharing of infraestructure)?

National and municipal authorizations are required for infrastructure installation, particularly regarding public rights of way (e.g., installation of ducts, poles, towers).

Infrastructure Sharing: While encouraged to optimize deployment and reduce costs, specific mandatory rules on passive infrastructure sharing (towers, poles) are typically enforced by CONATEL to promote competition, especially in areas where new infrastructure is difficult to deploy.

13. What regulations apply to the deployment and sharing of passive telecom infrastructure?

Regulations encourage- but do not specify- the deployment and sharing of passive telecom infrastructure to promote efficient market development and minimize environmental and urban impact. CONATEL oversees these arrangements to ensure fair access and pricing, often through specific resolutions. 

14. Are regulatory authorizations required for the landing and operation of submarine cables?

Regulatory authorizations are required from CONATEL for the landing and operation of submarine cables. This requires a formal request, technical project submission (including landing coordinates and necessary infrastructure), and compliance with all legal and environmental requirements.

15. What are the licensing requirements for satellite services (based on the type of constellation)?

The licensing requirements depend on the nature of the service (public/private) and whether it uses earth or space stations. Operators must obtain the corresponding Permit or Concession from CONATEL. Authorization involves presenting technical forms (e.g., Form 500 for satellite links), interference studies, and legal/financial documentation.

16. Are authorizations required for ground stations?

Yes, authorizations are required for the installation and operation of ground stations, as they utilize the radio spectrum. A License for the spectrum use must be obtained from CONATEL, often associated with the main Permit or Concession.

17. Is direct-to-device satellite communication regulated?

While the technical regulations are constantly updated, D2D technology is typically treated as a Mobile Service. Its regulation falls under the general framework, requiring the corresponding Concession and the allocation of the specific frequency bands for its operation.

18. Are telecommunications devices subject to homologation or type approval?

Yes, telecommunications devices are subject to homologation by CONATEL. This ensures that the equipment (transmitters, receivers, terminal equipment) complies with national and international technical standards and does not cause harmful interference. Telecommunications equipment is approved by the ENACOM, and testing should be done locally. The ENACOM controls the quality and technical standards of the equipment used for telecommunications.

19. What is the current state of the audiovisual market in your jurisdiction? Who are the main players? What is the market share of Pay TV, OTT platforms, and traditional broadcasting (radio and free-to-air TV)? What are the main regulatory or...

The audiovisual market is divided between traditional free-to-air broadcasting, dominant Pay TV operators (mainly Tigo and Claro via cable/DTH), and increasing use of OTT platforms.

Main Issue: Regulation of foreign OTT platforms is an ongoing debate, particularly regarding local registration, taxes, and content obligations.

20. What are the main laws applicable to audiovisual communication services? Which authority regulates this sector?

The Framework Law for the Telecommunications Sector and its Regulations cover "Diffusion Services" (Radiodifusión Sonora and Televisión).

Regulatory Authority: CONATEL

21. What types of licenses are available? What is the procedure to apply for a license? What is the duration of audiovisual licenses?

Licenses: Licenses for Diffusion Services (Radio and Free-to-Air TV) and Permits for Subscription Television Services (Cable TV, DTH). 

Procedure: Requires legal, technical, and financial documentation, including a programming table and, critically for Pay TV, a Constancy of Authors' Rights and Related Rights from the Honduran Intellectual Property Institute (IP). 

Duration: Set by CONATEL regulations, often subject to periodic renewal.

22. Is regulatory approval required for license or share transfers? What are the conditions or requirements?

Yes, regulatory approval is required from CONATEL for license or share transfers, similar to telecom services, to ensure continuity, compliance, and prevent market concentration, supervised and regulated also by the Commission for the Defense and Promotion of Competition ("CDPC").

23. Are there restrictions on foreign investment? Are there exceptions? Are there any incompatibilities or cross-ownership restrictions?

There are no explicit restrictive limits on foreign investment, promoting free competition.

Cross-Ownership: Restrictions are generally in place to prevent a single entity from having undue dominance across multiple media/telecom segments (e.g., a mobile operator simultaneously controlling excessive broadcast media).



24. Are there limits to the number of licenses that can be held?

Yes, CONATEL establishes limits to prevent market concentration and maintain pluralism, especially concerning licenses for spectrum-based services (Diffusion).

25. Are audiovisual signals, production companies, and advertising agencies subject to registration?

Yes, operators of audiovisual services (broadcasters, Pay TV) are subject to registration and licensing/permitting by CONATEL. There is no publicly confirmed requirement for separate national registries for production companies and advertising agencies specifically under CONATEL's telecom regulatory framework.

26. Are there obligations to include national or local content; and, original vs. acquired content?

Yes, there are obligations to include national and local content to ensure the promotion of local culture and information. Operators must adhere to minimum quotas (measured for each case) for national content and report their programming tables and technical documentation to CONATEL.

27. Are there any requirements for specific contents (e.g., news, fiction, children’s programming?

Yes, requirements for specific content exist. CONATEL maintains regulatory oversight of programming categories, which typically includes standards and specific technical or genre declarations to protect minors and ensure public interest programming.

28. Are there minimum quotas for national content?

Yes, licensed broadcasters are required to comply with minimum quotas for national content in their programming schedules, as defined by CONATEL's normative resolutions.

29. Are Pay TV operators required to carry certain free-to-air channels? What is the scope of this obligation?

Yes, Pay TV operators are generally subject to Must-Carry Rules. They are required to carry certain free-to-air (local/national) channels, adhering to the Principle of Universal Access to information, although the precise scope is defined by CONATEL's normative resolutions.

30. Are there requirements regarding domestic or foreign advertising production?

There is no explicit, confirmed requirement for mandatory domestic production or reciprocity for foreign advertising. However, all advertising content is subject to general consumer protection laws and must comply with CONATEL's regulatory framework.

31. Are there prohibitions on certain products or audiences (e.g., children)?

Yes, specific prohibitions and restrictions apply. These include bans on tobacco advertising, strict limitations on alcohol advertising (e.g., time slots, not directed at minors), and specific protection measures for children's programming and the advertising directed to them

32. Is there a registry for advertisers or reciprocity obligations?

Broadcasters and audiovisual operators must be registered with CONATEL. There is no specific, separate registry for advertising agencies explicitly managed by CONATEL. Reciprocity obligations for foreign advertising production are not explicitly mandated in the regulatory texts.

33. Are audiovisual services subject to special taxes or levies?

Yes, audiovisual services are subject to fees, levies, and canons set by CONATEL for the operation of the service and the use of the radioelectric spectrum. Payments for the Supervision Service Fee and the FITT Contribution (Investment Fund) for the Audiovisual Service were recently exempted due to reclassification.

34. Are OTT platforms regulated? To what extent? Are there obligations for OTTs to register locally or appoint a legal representative? Are screen quotas applied to OTT and on-demand services? Are there tax obligations applicable to streaming platforms?

OTT platforms are not subject to a comprehensive, dedicated regulatory framework under CONATEL's telecom law and do not require a special license. No mandatory requirement for registration or a local legal representative exists under the current framework. Screen quotas are not currently applied to OTT or On-Demand services. Foreign streaming platforms are generally subject to general tax regulations (e.g., ISV/VAT).

35. Is there any main regulatory framework governing artificial intelligence in your jurisdiction? Are there sector-specific regulations for the use of AI (e.g., in finance, health, education)? Which authorities oversee AI-related matters? Are there...

No, until today, no dedicated regulatory framework governing Artificial Intelligence currently exists. Matters fall under general laws (contracts, IP, consumer protection, privacy). There are no sector-specific AI regulations and no dedicated AI authority. Numerous draft bills are being debated in Congress to establish principles and safeguards, but none have advanced significantly.

36. Please describe if there is any mandatory requirement to provided AI-based services under your jurisdictiction's regulations. Are any AI technologies considered high-risk or prohibited? What best practices are recommended or adopted in your jurisd...

No mandatory requirement to provide AI-based services, and no AI technologies are officially designated as high-risk or prohibited by law. Formal regulatory requirements for algorithm traceability, auditability, user-facing transparency, and mandatory impact assessments do not exist at a national level. Adoption of these principles is currently voluntary, driven by corporate policy and international recommendations

37. Are general regulations applicable to artificial intelligence? In such case, mention the most relevant legislation.

Yes, general regulations apply in the absence of a specific AI law. The most relevant legislation includes the Civil and Commercial Law, Intellectual Property Law, Consumer Protection Law, and existing Data Privacy/Protection frameworks.

38. What is the current legal framework for cybersecurity? Is there a national cybersecurity strategy or action plan in force? Are there any relevant bills or ongoing public consultations?

Honduras has no specific comprehensive cybersecurity law. Key measures include the National Cybersecurity Committee, the Second National Cybersecurity Strategy (2023), and the Criminal Code Provisions for Cyber-Related Offenses. There are pending bills mostly tied to data protection reform, but including incident notification and cybersecurity standards.

39. Are there minimum cybersecurity requirements for companies or service providers (e.g. sectors such as telecom, energy, health, or finance)?

Cybersecurity and data protection rules apply mainly to public agencies and private contractors providing services to the government. These contractors must report incidents and follow sectoral security standards (e.g., Central Bank rules for financial services). Public agencies must develop Information Security Plans, assess risks, and implement mitigation strategies. Private companies outside the public sector are generally not subject to mandatory general cybersecurity laws, but adopting good practices is highly recommended.

40. Are there any relevant jurisdictional cases related to cybersecurity incidents where private or public entities were sanctioned because of an infringement?

As an example, the Data Protection Authority ("DPA") fined a leading Latin American retail group, Cencosud S.A., operating in Honduras in 2021 after a ransomware attack. The sanction was based on insufficient security measures and a lack of proper notification.

41. Are there mandatory incident response plans or reporting obligations?

Yes, mandatory reporting obligations exist for public agencies, which must notify the national incident response center ("CERT") through designated focal points. The financial sector (regulated by the Central Bank) also requires detailed reporting. Although general breach notification to the DPA is not yet mandatory across all sectors, reporting cybersecurity incidents is advised as a good practice.

42. How do companies coordinate with authorities in the event of a cyberattack?

Coordination depends on the sector. Public agencies and their contractors must report incidents through CERT and their designated focal points. Other private companies may report incidents to law enforcement or to the DPA if personal data is affected by the breach.

43. Are there specific provisions for the criminalization of cyber-related offenses?

Yes, the Honduran Criminal Code (as amended by Law No. 26,388) provides criminal sanctions for cyber-related offenses, including unauthorized access, data and system damage or malware distribution, obstruction of communications, and unlawful access, among others.

44. Is your jurisdiction subject or adhered to any international cooperation agreements or treaties with other countries and/or international bodies? Does your jurisdiction participate in global cybersecurity initiatives?

Yes, Honduras is part of several international cooperation frameworks. It has ratified Convention 108+ for the Protection of Individuals with regard to Automatic Processing of Personal Data (and its Additional Protocol regarding supervisory authorities and transborder data flows). It also participates in OAS initiatives that promote cybersecurity capacity building and incident response cooperation across the Americas.

Lex Mundi Latin America and the Caribbean: TMT and Cyber Guide

Honduras

(Latin America) Firm Gufa Law

Contributors Mauricio Villeda Jr.

Updated 04 Nov 2025