The telecommunications market in Nicaragua is dominated by mobile telephony and mobile internet, with limited fixed broadband penetration. Claro Nicaragua and Tigo Nicaragua are the main players, while smaller providers like CooTel, Yota, Alfanumeric and IBW serve niche areas. Growth is driven by mobile data usage and digital services, though rural connectivity gaps and limited infrastructure remain challenges.

Officially published information from the Nicaraguan Institute of Telecommunications and Postal Services ("TELCOR") does not provide market share data by operator. However, TELCOR reports the following figures for 2025:

• Fiber optic network: 45,337 km deployed.
• Pay TV subscriptions: 597,179 households.
• Fixed-line users: 250,330.
• Mobile lines: 7,454,031.

The Nicaraguan ICT sector is experiencing gradual growth and modernization, with increased focus on broadband expansion, mobile network upgrades, and infrastructure investment. Operators are gradually exploring 4G expansion and the potential for 5G deployment, while services like IoT and satellite connectivity are emerging, particularly for enterprise and rural applications. Key challenges include:

• Limited infrastructure coverage in rural and remote areas.
• High investment costs for advanced networks and technologies.
• Ensuring affordable access and quality of service for all users.
• Market concentration, as a few operators dominate mobile, internet, and Pay TV services, can limit competition.
• Regulatory adaptation to new technologies such as 5G, IoT, and satellite-based services.
  Overall, the market is gradually modernizing, but connectivity gaps and investment needs remain the main challenges.

The telecommunications sector in Nicaragua is primarily governed by the General Law of Convergent Telecommunications (Law No. 1223/2024), which establishes the legal framework for licensing, spectrum management, market competition, and the deployment of new technologies such as 5G, IoT, and satellite services. In addition, there are special laws that regulate specific aspects of telecommunications infrastructure, such as Law No. 843, which governs the location, construction, and installation of support structures for telecommunications equipment using the radio spectrum.

Additional regulations issued under these laws cover interconnection, technical standards, tariffs, and consumer protection. The sector is regulated by the Nicaraguan Institute of Telecommunications and Postal Services ("TELCOR"), which oversees licensing, infrastructure development, spectrum allocation, service quality, and market monitoring.

According to the provisions of Articles 16–26 of the law, all providers of public telecommunications services must obtain a Telecommunications Public Services License from TELCOR. This license grants the right to install, operate, and exploit networks and infrastructure required for the provision of the services, subject to the obligations and conditions of the law and TELCOR regulations. Requirements for License Applications include:

Individuals:

• Full name and identity document of the applicant or representative.
• Tax Identification Number ("RUC").
• Description of the requested service(s) and public resources needed.
• Legal and permanent address in Nicaragua.
• Declaration of compliance with the regulatory framework.

Legal Entities:

• Company name and legal representative with identity documents.
• Proof of legal existence and capacity.
• Tax Identification Number ("RUC").
• Description of the requested service(s) and public resources needed.
• Legal and permanent address in Nicaragua.
• Declaration of compliance with the regulatory framework.

Additional Key Provisions:

• Transfer or Assignment (Art. 23): Licenses may be transferred or assigned with TELCOR authorization, following applicable fees and, if linked to economic concentration, additional payments.
• Guarantee for New Operators (Art. 24): New entrants must provide a guarantee, bond, or bank deposit equal to 10% of projected average monthly gross revenue for the first 12 months, to secure compliance with network installation and expansion.
• License Duration (Art. 25): Licenses are valid for 10–20 years and are renewable. Renewal requires filing with TELCOR 2 years prior to expiration and compliance with regulatory obligations.

Under Article 16 of the law, foreign ownership restrictions in Nicaragua apply specifically to audiovisual communications services. Open television and radio broadcasting (AM/FM) may only be provided by Nicaraguan natural or legal persons, and in the case of legal entities, at least 51% of the company’s share capital must belong to Nicaraguan nationals. For other telecommunications services, such as mobile telephony, internet access, data transmission, and MVNOs, the law does not impose explicit foreign ownership limits, although all providers must comply with TELCOR licensing and regulatory requirements.

Telecommunications service prices in Nicaragua are generally freely set by providers, although TELCOR can regulate certain fees (e.g., interconnection or spectrum use) to ensure fair competition and consumer protection.

Yes, regulatory approval from TELCOR is required for the transfer or assignment of licenses, including Public Telecommunications Services Licenses, Audiovisual Communications Services Licenses, and Rights to Use the Radio Spectrum Licenses. The transfer must comply with the terms and validity of the existing license, and TELCOR must authorize the assignment before it becomes effective.

Conditions and Requirements:

• Submit a formal request with all supporting documentation and information required by TELCOR.
• Compliance with the terms, conditions, and validity of the original license.
• Payment of the applicable administrative fee for the transfer or assignment.
• In cases of economic concentration, payment of the additional amount calculated under the law’s provisions on economic concentration.

Telecommunications operators in Nicaragua are required to ensure that users receive services in optimal conditions of quality and continuity, as part of their universal service obligations. Under Article 95, users are guaranteed rights that include:

Key Rights of Users:

• Receive the contracted service with quality and continuity.
• Be clearly informed about contractual terms, pricing, plans, and conditions.
• Freely choose or change operators, including number portability.
• Access and keep a signed copy of the service contract.
• Submit complaints or requests and receive timely responses with proof of the process.
• Protection of personal data and the privacy of communications.
• Receive accurate billing in advance, reflecting agreed terms.
• Contract services individually without being forced to buy additional services.
• Rescind contracts at any time without penalties and pay only for services received.
• Be informed in advance of scheduled interruptions and receive compensation for service failures or damages caused by provider operations.

TELCOR oversees compliance with these obligations and can enforce universal service rules to ensure connectivity, fairness, and protection of users across the country, including rural and underserved areas.

In Nicaragua, telecommunications operators must allow interconnection and access to their networks and essential facilities under fair, transparent, and cost-based conditions, including connections to foreign networks and users’ terminal equipment that meets technical standards. Operators with Significant Market Power ("SMP") must submit Reference Offers to TELCOR specifying technical, legal, commercial, and pricing terms. TELCOR may adjust access and interconnection prices annually. Net neutrality is generally upheld, and content may only be blocked or filtered when required by law or a competent authority.

The radio spectrum in Nicaragua is managed by TELCOR, and operators must obtain a license to use it. High-demand frequencies can be awarded through auctions, public tenders, or procedures set by TELCOR. Spectrum licenses can be transferred or assigned with TELCOR approval, following the terms of the original license and any applicable fees.

Yes, authorizations are required to install telecommunications infrastructure in Nicaragua. Law No. 843, Law Regulating the Location, Construction, and Installation of Support Structures for Telecommunications Equipment Using the Radio Spectrum, regulates the location, construction, installation, use, and maintenance of support structures such as towers, antennas, masts, and monopoles, with a single-window system under TELCOR for processing requests. Decree 15-2014 sets specific procedures, requirements, and timelines, while Law No. 1223 provides the overarching framework for operators’ rights, obligations, legal certainty, and connectivity. Infrastructure sharing is encouraged under TELCOR’s rules to optimize the use of the existing structure

According to Article 85 of Law No. 1223/2024, operators of public telecommunications services and audiovisual communications providers have the freedom to negotiate access to and shared use of non-essential infrastructure owned by other operators. The technical and economic terms of such sharing must be recorded in a sharing contract, which must be registered with TELCOR. All contracts must comply with the principles of equal treatment and the rules established in the law and its regulations.

Law No. 1223 (Chapter III – Satellite and Submarine Cable Landings, Arts. 56–58) establishes that the landing and operation of submarine cables are subject to authorization by TELCOR, Nicaragua’s telecommunications regulator. Operators must obtain prior approval for both landing rights and operational use.

Satellite communications are covered under the law’s general framework for telecommunications services. Any operator providing satellite capacity or communication services in Nicaragua must hold a concession or authorization from TELCOR.

Law 1223 does not yet distinguish between LEO, MEO, or GEO constellations, so all types are treated as satellite communication services requiring authorization or registration under TELCOR’s oversight.

Ground stations (earth stations, teleports, VSAT networks, etc.) must obtain a specific authorization or license from TELCOR to install and operate.

This requirement continues from previous regulations and remains under Law 1223, which maintains TELCOR’s exclusive authority to approve any station transmitting or receiving satellite signals within Nicaraguan territory.

Law 1223 does not specifically mention “direct-to-device” ("D2D") satellite communications. However, since it defines telecommunications services broadly, covering any service that transmits, emits, or receives signals through electromagnetic systems, D2D satellite connectivity would fall under TELCOR’s regulatory scope if offered commercially in Nicaragua.

Law 1223 (Title VI, Chapter I – Equipment Homologation, Arts. 59–66) mandates that all telecommunications equipment connecting directly or indirectly to public networks must be homologated (type-approved) by TELCOR.

Manufacturers or importers must ensure compliance and labeling before the equipment can be marketed or operated in Nicaragua.

The audiovisual market in Nicaragua presents a landscape marked by a strong presence of traditional media (television and radio), evolving regulatory control, and a growing importance of digital platforms for the consumption of news and content.

The telecommunications giants that offer telephone, internet, and television (cable/satellite) services and own the network infrastructure are Claro, Tigo, IBW, and CooTel.

Claro is the dominant leader in the telecommunications sector and the Pay TV market. It owns most of the fiber optic infrastructure.

The landscape of free-to-air television is marked by a strong influence from state-run media and a regional group with a significant presence. Notable channels include Channel 2, Channel 4, Nicaraguan Channel 6, TN8, Channel 9, Viva Nicaragua, Channel 15, and Channel 10.

The most significant and recent regulatory issue revolves around the General Law on Convergent Telecommunications (Law No. 1223), passed at the end of 2024. The new law grants TELCOR the power to require operating licenses from channels and content creators who use the internet for audiovisual distribution. This extends state control beyond traditional media (radio and broadcast TV) to encompass digital platforms, Over-The-Top ("OTT") services, and user-generated content.

The legal framework applicable to audiovisual communication services in Nicaragua is the General Law on Convergent Telecommunications ("Law No.1223"), whose main objective is to regulate, plan, supervise, oversee, and develop the telecommunications sector, as well as establish the rights and obligations of Users, Operators, and Providers under conditions of quality, equity, security, equality, and free competition. It also promotes and encourages investment in the sector, innovation, and the efficient use of telecommunications networks and services within a convergent environment for the development of Information and Communication Technologies (ICTs).

The main regulatory authority for audiovisual communication services (including radio, open television, subscription TV and, more recently, digital services) is the Nicaraguan Institute of Telecommunications and Postal Services ("TELCOR").

Public Telecommunications Service Licenses, Audiovisual Communication Services Licenses, and Radio Spectrum Usage Licenses may be assigned or transferred only with prior authorization from TELCOR, in accordance with the license’s validity period and other terms and conditions. Requirements and Procedure:

• The assignee must submit an authorization request to TELCOR, including all supporting information and documentation as required by the applicable regulations and procedures.
• Upon approval, TELCOR will issue the corresponding license to the assignee operator or service provider, subject to the payment of the applicable administrative fee.
• If the assignment or transfer occurs in the context of an Economic Concentration, the assignee must also pay the amount determined by the percentage established in the relevant Economic Concentration provisions of the law.

This ensures that all transfers comply with regulatory oversight and the integrity of licensed services is maintained.

Companies with foreign capital are permitted to operate in Nicaragua under the Foreign Investment Law. However, in the audiovisual and broadcasting sector, at least 51% of a company’s share capital must belong to Nicaraguan nationals, and there are no exceptions to this requirement. While the law does not expressly prohibit cross-ownership, it establishes that TELCOR supervises the participation of Telecommunications Operators and Service Providers in the market and may take corrective measures as necessary to ensure that market participation occurs under homogeneous conditions, in a free and fair competitive environment, and without undue influence from forces other than normal market dynamics.

There is no provision on this regard.

Radio and television signals that use the radio spectrum are subject to a licensing and registration system with TELCOR.

Any foreign natural or legal person who carries out any type of audiovisual or cinematographic production in any format must register with the National Film Archive (Cinemateca Nacional). (Law no. 723, Law on Cinematography and Audiovisual Arts).

Advertising agencies may be subject to specific registrations if they carry out activities regulated by TELCOR (such as the use of telecommunications equipment) or the Cinematheque (such as the production of audiovisual spots).

The primary obligation to include national content is established in the Law of Cinematography and Audiovisual Arts (Law No. 723). This law sets a screen quota requiring audiovisual media to broadcast material produced in Nicaragua. Specifically, it mandates that twenty percent (20%) of audiovisual advertising works shown in movie theaters, on television, or via cable television must be national productions.

This 20% quota applies specifically to audiovisual advertising and represents the clearest mechanism for enforcing the national content requirement. The law does not establish any quotas or percentages regarding original content versus acquired content.

Law No. 1042, the Special Law on Cybercrimes, penalizes the dissemination of “fake news”, or content that “incites hatred or puts at risk economic stability, public health, sovereignty or the legal order, through Information and Communication Technologies.

Nicaragua does not have specific regulations detailing permitted hours, age classifications, or strict regulations for children's programming, fiction, or advertising in the media (specifically radio and television).

However, the General Law of Convergent Telecommunications allows TELCOR to have broader control over the content that is broadcast, including on the internet, but specific regulations derived from this law that define age classification or time slots have not yet been published.

The law stipulates that twenty percent (20%) of audiovisual advertising works shown in movie theaters, on television, or via cable television must be national productions. This requirement applies exclusively to advertisements.”

Yes, but these obligations focus primarily on the retransmission of national broadcasts and not necessarily on permanently offering a basic lineup of free channels.

The scope of the obligation centers on guaranteeing the dissemination of high-priority government messages through all cable and subscription television operators.

They must retransmit the message in its entirety across their entire channel lineup, without cuts, alterations, or modifications of any kind, at the designated time and date.

During the national broadcast, operators must refrain from introducing programming or content other than that required by the situation.

The law stipulates that twenty percent (20%) of advertising audiovisual works exhibited or broadcast in movie theaters, on television, or via cable television must be national productions.

Law No. 842, Law for the Protection of the Rights of Consumers and Users, prohibits abusive advertising or advertising that uses deceptive techniques, placing special emphasis on the protection of minors.

The Law for Tobacco Control (Law No. 727) establishes very strict and almost total prohibitions on the advertising, promotion, and sponsorship of tobacco products, following the guidelines of the WHO Framework Convention. The advertising or promotion of tobacco products through mass media such as newspapers, radio, and television, as well as through signs or billboards, among other means, is strictly prohibited.

Although there isn't as strict an advertising ban as there is for tobacco, alcoholic beverages are subject to significant restrictions. Advertising must not target or depict minors consuming the product. Advertising must be responsible and must not suggest that alcohol consumption is essential for success, health, or social life.
The Ministry of Health ("MINSA") also strictly regulates health products. Advertising prescription medications through any mass media is completely prohibited, as is the promotion of psychotropic drugs and narcotics to the general public.

In Nicaragua, there is no single, mandatory registry for advertisers (companies that purchase advertising) or advertising agencies. However, registration and compliance with general commercial and tax obligations are mandatory for any entity engaged in commercial activities.

The law stipulates that twenty percent (20%) of advertising audiovisual works exhibited or broadcast in movie theaters, on television, or via cable television must be national productions.

While there is no large-scale "audiovisual" special tax as in other countries, the sector is taxed by the general tax regime and by the specific rates of the Cinemateca Nacional that regulate permits and production activities.

The legal framework that could potentially affect the operation of OTT platforms and online content services is the General Law of Convergent Telecommunications (Law No. 1223).

Although the original focus of the Telecommunications Law is infrastructure, its broad wording could be interpreted to require licenses for online content creators and, potentially, for international OTT platforms that provide audiovisual communications services to users in Nicaragua.

Although the registration and legal representation requirements are clearly stipulated in the law to obtain the license, the specific application of these requirements to large global OTT platforms that operate solely through the internet (without local infrastructure) will depend on the Regulation that TELCOR must issue to detail the process, deadlines and obligations of these new regulated entities.

Nicaragua's General Law on Convergent Telecommunications (Law No. 1223) does not establish specific screen quotas for OTT services; however, the fact that TELCOR now has regulatory power over the content of convergent audiovisual services implies that it could establish such quotas in the Regulations or in future administrative regulations.

Yes, there are tax obligations applicable to streaming platforms (non-resident digital services) in Nicaragua, primarily through indirect taxes and withholdings.

Nicaraguan tax law includes mechanisms for taxing digital services provided by foreign entities to local consumers, although the specific mechanism may vary depending on the tax category.

There is currently no specific regulatory framework governing artificial intelligence (AI) in Nicaragua. At this time, the country has not enacted any AI-specific legislation or issued sector-specific regulations applicable to the use of AI in areas such as finance, health, or education.

Nevertheless, certain existing legal instruments may be applied analogously to the development and use of AI systems, particularly those related to personal data protection, consumer protection laws and the Cybercrime Law (Ley de Ciberdelitos), which establishes obligations and sanctions regarding the misuse of information and communication technologies and may indirectly apply to AI-related activities.

There is no designated authority exclusively responsible for AI oversight. However, depending on the specific context, matters involving AI could fall under the jurisdiction of various entities such as the Institute for Telecommunications and Postal Services ("TELCOR"), the Consumer Protection Authority ("DIPRODEC"), or the Attorney General’s Office.

As of today, there are no known draft bills or public consultations specifically addressing AI regulation in Nicaragua.

There are no mandatory requirements specifically applicable to the provision of AI-based services under Nicaraguan law. The country has not yet classified any AI technologies as high-risk or prohibited, nor has it established a formal regulatory or compliance framework for their development, deployment, or commercialization.

However, general legal principles and existing sectoral regulations may apply by analogy, particularly in relation to:

• Data protection and privacy, where entities processing personal data through AI systems are expected to comply with confidentiality and security obligations.
• Consumer protection requires providers to ensure accuracy, fairness, and transparency in the information offered to users.
• Cybercrime prevention to avoid misuse of technologies that could result in harm or unauthorized access to information.

Currently, there are no express legal requirements in Nicaragua regarding algorithm traceability, auditability, user transparency, or disclosure obligations. Likewise, AI systems are not subject to mandatory impact assessments or risk classification procedures.

In the absence of specific regulation, international best practices are recommended, including:

• Conducting voluntary impact assessments on data protection and ethical implications;
• Implementing algorithmic transparency and documentation measures; and
• Adopting governance policies consistent with international standards, such as those proposed by the OECD or UNESCO on trustworthy and responsible AI.

Since Nicaragua has not yet enacted any specific regulation on artificial intelligence, the most relevant generally applicable legislation includes:

• Special Law on Cybercrimes (Ley Especial de Ciberdelitos), which establishes provisions related to the responsible use of information and communication technologies;
• Law on the Protection of Personal Data (Ley de Protección de Datos Personales), which governs the processing and safeguarding of personal information that may be handled by AI systems; and
• General Law on Convergent Telecommunications (Ley General de Telecomunicaciones Convergentes), which provides the overall regulatory framework for digital and technological services in the country.

These instruments may be applied analogously to certain aspects of AI use and development, particularly regarding privacy, data security, and technological accountability.

To date, there are no draft bills or ongoing public consultations specifically addressing cybersecurity in Nicaragua.

The main legal instruments currently in force include:

• Law No. 1042 – Special Law on Cybercrimes, approved on October 27, 2020, and published in The Official Gazette No. 201 of October 30, 2020, which establishes criminal sanctions for unlawful acts committed through information and communication technologies;
• Presidential Decree No. 24-2020 – National Cybersecurity Strategy 2020–2025, approved on September 24, 2020, and published in The Official Gazette No. 178 of September 29, 2020, which sets forth the government’s policy framework for ensuring a sovereign, secure, and reliable cyberspace;
• Law No. 1223 – General Law on Convergent Telecommunications, approved on October 31, 2024, and published in The Official Gazette No. 204 of November 6, 2024, which modernizes the regulation of telecommunications and digital infrastructure; and
• Law No. 787 – Personal Data Protection Law, approved on March 21, 2012, and published in The Official Gazette No. 61 of March 29, 2012, which provides general principles on the processing and protection of personal data.

The National Cybersecurity Strategy 2020–2025 remains in force. It mandates the Ministry of Foreign Affairs and the Nicaraguan Institute of Telecommunications and Postal Services ("TELCOR") to develop and implement an Action Plan aimed at promoting a secure and reliable use of cyberspace and strengthening the country’s cybersecurity capabilities.

In Nicaragua, there are no specific or minimum cybersecurity requirements formally imposed on companies or service providers. However, all entities are expected to comply with the general obligations established under the Special Law on Cybercrimes (Law No. 1042) and any sector-specific regulations that may apply.
For instance, telecommunications companies must comply with the requirements and technical standards established by the Nicaraguan Institute of Telecommunications and Postal Services ("TELCOR"), which oversees the secure operation and integrity of communications networks and services.

There are no publicly available records or reported cases in Nicaragua of sanctions imposed on either public or private entities for cybersecurity-related incidents or infringements. To date, no jurisdictional cases or administrative proceedings of this nature have been made public by the competent authorities.

In Nicaragua, there are no publicly available regulations establishing mandatory incident response plans or reporting obligations for cybersecurity incidents. Such matters are generally addressed through standard procedures under the applicable legal framework, primarily the Special Law on Cybercrimes (Law No. 1042).

However, there is currently no specific requirement for entities to report cybersecurity-related incidents to the authorities.

In Nicaragua, there is no specific or standardized coordination protocol between companies and authorities in the event of a cyberattack. Such situations are generally handled in the same manner as other criminal offenses, whereby the affected entity must notify the National Police to initiate a formal investigation under the applicable legal framework.

Yes, cyber-related offenses are specifically criminalized under Law No. 1042, the Special Law on Cybercrimes, which establishes the relevant sanctions and penalties for unlawful acts committed through information and communication technologies.

• Additionally, offenses not expressly covered by Law No. 1042 may be addressed under other applicable legal frameworks, including:
• Law No. 641 – Nicaraguan Penal Code, approved on November 13, 2007;
• Law No. 735 – Law on the Prevention, Investigation, and Prosecution of Organized Crime and the Administration of Seized, Confiscated, and Abandoned Assets;
• Decree No. 70-2010 – Regulations of Law No. 735; and
• Law No. 787 – Personal Data Protection Law, particularly when the offenses involve the unlawful processing or disclosure of personal data.

Yes, Nicaragua participates in international cooperation initiatives related to cybersecurity.

Recently, Nicaragua attended the United Nations Convention against Cybercrime in Hanoi, Vietnam, to sign its accession, represented by a delegation led by the Director General of the Nicaraguan Institute of Telecommunications and Postal Services ("TELCOR").

Additionally, Nicaragua and Russia signed a bilateral cooperation plan on cybersecurity for the period 2022–2026.

The country has also participated in international forums and conferences, including the Global Digital Forum in Russia and events focused on standardization in support of cybersecurity legislation, such as those organized by the European Union.

These activities demonstrate Nicaragua’s engagement in global cybersecurity efforts and international cooperation.