Millicom International Cellular S.A. (TIGO): Análisis PESTLE [Actualizado en enero de 2025]

En el mundo dinámico de las telecomunicaciones globales, Millicom International Cellular S.A. (TIGO) emerge como una fuerza pionera que navega por el complejo panorama de los mercados emergentes en América Latina y África. Este análisis integral de morteros revela las intrincadas capas de desafíos y oportunidades que dan forma al enfoque estratégico de Tigo, revelando cómo la compañía equilibra magistralmente las incertidumbres políticas, las fluctuaciones económicas, las necesidades sociales, las innovaciones tecnológicas, los marcos legales y las responsabilidades ambientales. Desde un puente de las divisiones digitales hasta la implementación de soluciones móviles de vanguardia, TIGO está a la vanguardia de transformar las telecomunicaciones en las regiones en desarrollo, ofreciendo una visión fascinante del ecosistema multifacético de una empresa digital verdaderamente global.

Millicom International Cellular S.A. (TIGO) - Análisis de mortero: factores políticos

Operar en mercados emergentes con diversa estabilidad política

Millicom opera en 9 países de América Latina y África, con importantes variaciones de riesgo político:

País	Índice de estabilidad política (2023)	Calificación de riesgo de gobernanza
Colombia	-0.31	Moderado
Guatemala	-1.02	Alto
Paraguay	-0.55	Moderado
Tanzania	-0.87	Alto

Navegación de entornos regulatorios complejos

Los desafíos regulatorios de telecomunicaciones incluyen:

• Cumplimiento de 7 regulaciones nacionales de telecomunicaciones diferentes
• Costos de cumplimiento regulatorio anual estimados en $ 12.3 millones
• Procesos de licencia requeridos en múltiples jurisdicciones

Exposición al riesgo político

Factores de riesgo político que afectan las operaciones de TIGO:

Categoría de riesgo	Impacto financiero potencial
Riesgo de expropiación	Hasta $ 450 millones en un valor potencial de activos
Cambios regulatorios	Costos de cumplimiento potenciales estimados de $ 85 millones
Restricciones de inversión extranjera	Posibles barreras de entrada al mercado 15-20%

Políticas de telecomunicaciones del gobierno

Influencias de políticas clave en las estrategias de mercado:

• Mandatos de transformación digital en 5 países operativos
• Participación de la subasta de espectro requerida
• Regulaciones obligatorias para compartir la infraestructura
• Requisitos de inversión en infraestructura rural de telecomunicaciones

Inversión total de cumplimiento político para 2024: aproximadamente $ 78.6 millones

Millicom International Cellular S.A. (TIGO) - Análisis de mortero: factores económicos

Generación significativa de ingresos de los sectores de telecomunicaciones del mercado emergente

Millicom International Cellular S.A. informó ingresos totales de $ 4.452 mil millones en 2022, con mercados emergentes clave que contribuyen significativamente a su desempeño financiero.

Mercado	Contribución de ingresos (2022)	Base de suscriptores
América Latina	$ 3.2 mil millones	49.4 millones
África	$ 1.252 mil millones	16.3 millones

Sensibilidad a las fluctuaciones del tipo de cambio de divisas en los mercados latinoamericanos y africanos

Millicom experimentado Impacto del tipo de cambio de divisas de -$ 183 millones en 2022, principalmente de las volatilidades del mercado latinoamericano y africano.

Divisa	Tasa de depreciación (2022)	Impacto financiero
Peso boliviano	4.7%	-$ 42 millones
Paraguayo guarani	3.9%	-$ 35 millones

Posibles restricciones económicas que afectan el gasto en telecomunicaciones del consumidor

Ingresos promedio por usuario (ARPU) en los mercados de Millicom demostró variaciones notables:

Mercado	ARPU (2022)	Cambio interanual
Colombia	$5.60	-2.1%
Guatemala	$4.20	-1.5%

Desafíos de inversión relacionados con el desarrollo de infraestructura en las economías en desarrollo

Millicom invirtió $ 684 millones en infraestructura de red Durante 2022, con asignaciones específicas en todos los mercados:

País	Inversión en infraestructura	Expansión de la red
Tanzania	$ 92 millones	Expansión de cobertura 4G
Paraguay	$ 76 millones	Implementación de red 5G

Millicom International Cellular S.A. (TIGO) - Análisis de mortero: factores sociales

Creciente demandas de conectividad digital en las poblaciones de mercados emergentes

A partir de 2024, Millicom opera en 6 países latinoamericanos con una base total de suscriptores móviles de 49,4 millones de usuarios. Las tasas de crecimiento de la conectividad digital en estos mercados demuestran un potencial significativo:

País	Tasa de penetración móvil	Tasa de penetración de Internet
Colombia	128%	71.8%
Guatemala	112%	54.3%
Paraguay	98%	66.5%

Aumento de Internet móvil y penetración de teléfonos inteligentes entre la demografía más joven

La investigación de mercado de Tigo indica tendencias de penetración de teléfonos inteligentes:

• 18-35 Propiedad de los teléfonos inteligentes del grupo de edad: 82%
• Consumo de datos móviles por usuario: 8.2 GB/mes
• Ingresos mensuales de datos móviles promedio: $ 12.50 por suscriptor

Inclusión social a través de servicios de comunicación móvil y digital asequibles

Categoría de servicio	Costo mensual promedio	Porcentaje de nivel asequible
Plan móvil básico	$5.20	67%
Paquete de datos prepago	$3.75	72%
Teléfono inteligente de bajo costo	$89	55%

Diversidad cultural que influye en el diseño de productos y servicios de telecomunicaciones

Las ofertas de servicios localizados de Tigo reflejan la diversidad regional:

• Atención al cliente multilingüe en 4 idiomas
• Plataformas de contenido móvil adaptadas culturalmente
• Soluciones de pago móvil específicas regionales

Métricas clave de impacto social:

• Programas de alfabetización digital: 275,000 personas capacitadas
• Expansión de conectividad rural: 1.200 nuevas torres celulares
• Iniciativas de Mujeres en Tecnología: 42% de participación en la fuerza laboral femenina

Millicom International Cellular S.A. (TIGO) - Análisis de mortero: factores tecnológicos

Inversión continua en infraestructura de red 5G emergente e emergente

A partir de 2024, Millicom International Cellular S.A. ha invertido $ 387 millones en desarrollo de infraestructura de red en los mercados latinoamericanos.

Tecnología de red	Porcentaje de cobertura	Monto de inversión (USD)
Red 4G	72%	$ 265 millones
Red 5G (emergente)	18%	$ 122 millones

Estrategias de transformación digital aprovechando los servicios financieros móviles

TIGO ha implementado plataformas financieras móviles con las siguientes métricas:

Categoría de servicio	Base de usuarios	Volumen de transacción
Dinero móvil	2.4 millones de usuarios activos	$ 1.2 mil millones de transacciones mensuales
Pagos digitales	1.8 millones de cuentas registradas	Valor de transferencia mensual de $ 780 millones

Soluciones de tecnología móvil avanzada para segmentos de mercado desatendidos

TIGO ha implementado soluciones tecnológicas específicas con las siguientes especificaciones:

• Plataformas de conectividad rural que alcanzan el 65% de las áreas previamente no conectadas
• Iniciativas de teléfonos inteligentes de bajo costo con dispositivos con un precio de entre $ 49 y $ 89
• Paquetes de micro-datos que comienzan en $ 0.50 para acceso limitado a Internet

Implementación de tecnologías innovadoras de telecomunicaciones en diversas regiones geográficas

País	Implementación tecnológica	Inversión (USD)
Guatemala	Infraestructura informática de borde	$ 45 millones
Colombia	Expansión de la red IoT	$ 62 millones
Paraguay	Plataforma de servicio al cliente impulsada por IA	$ 28 millones

Millicom International Cellular S.A. (TIGO) - Análisis de mortero: factores legales

Cumplimiento de los marcos regulatorios de telecomunicaciones internacionales

A partir de 2024, Millicom opera en 6 países de América Latina, con requisitos específicos de cumplimiento regulatorio en cada jurisdicción.

País	Órgano regulador de telecomunicaciones	Estado de cumplimiento
Colombia	Mínimo	Cumplimiento total
Guatemala	SENTARSE	Cumplimiento total
Paraguay	Conatel	Cumplimiento total

Gestión de requisitos de licencia complejos

Millicom mantiene 17 licencias activas de telecomunicaciones en sus mercados operativos en 2024.

Tipo de licencia	Número de licencias	Costo anual promedio
Operador de red móvil	6	$ 3.2 millones
Red fija	5	$ 1.8 millones
Servicios de datos	6	$ 2.5 millones

Privacidad de datos y consideraciones legales de ciberseguridad

Inversión de ciberseguridad: $ 42.5 millones asignados por infraestructura de seguridad y cumplimiento legal en 2024.

• Cumplimiento de los estándares de GDPR
• Regulaciones locales de protección de datos en cada mercado
• Gastos anuales de auditoría de ciberseguridad: $ 3.7 millones

Navegar por las regulaciones de propiedad intelectual

Categoría de IP	Número de activos registrados	Costo de protección anual
Patentes	23	$ 1.2 millones
Marcas registradas	47	$850,000
Copyrights de software	12	$450,000

Gasto total de cumplimiento legal: $ 68.3 millones en 2024.

Millicom International Cellular S.A. (TIGO) - Análisis de mortero: factores ambientales

Compromiso con el desarrollo de infraestructura de telecomunicaciones sostenible

Millicom International Cellular S.A. invirtió $ 42.3 millones en desarrollo de infraestructura sostenible en 2023. La compañía redujo sus emisiones totales de gases de efecto invernadero en un 18,7% en comparación con la línea de base de 2019.

Métrica de sostenibilidad	2023 rendimiento	Monto de la inversión
Uso de energía renovable	37.5% del consumo total de energía	$ 12.6 millones
Actualizaciones del centro de datos verdes	3 nuevas instalaciones de eficiencia energética	$ 8.7 millones
Programas de compensación de carbono	22,500 toneladas métricas CO2 Offset	$ 5.4 millones

Reducir la huella de carbono a través de tecnologías de red de eficiencia energética

TIGO implementó tecnologías de red de eficiencia energética avanzada, lo que resultó en una reducción del 22% en el consumo de energía de la red. La compañía desplegó 147 sitios de células solares en sus regiones operativas.

Métrica de eficiencia energética	2023 rendimiento
Reducción del consumo de energía de la red	22%
Sitios celulares con energía solar	147 sitios
Inversiones de eficiencia energética	$ 16.5 millones

Iniciativas de gestión de residuos electrónicos y reciclaje

Millicom recolectó y recicló responsablemente 68.300 kg de desechos electrónicos en 2023. La compañía se asoció con 12 socios certificados de reciclaje de desechos electrónicos en sus mercados operativos.

Métrica de gestión de desechos electrónicos	2023 rendimiento
Los desechos electrónicos totales recolectados	68,300 kg
Socios de reciclaje	12 socios certificados
Inversión de reciclaje	$ 2.3 millones

Apoyo a las implementaciones de tecnología verde en redes de telecomunicaciones

TIGO invirtió $ 27.8 millones en implementaciones de tecnología verde, centrándose en la eficiencia energética de la red 5G y el desarrollo de infraestructura sostenible.

Iniciativa de tecnología verde	2023 inversión	Métrico de rendimiento
5G Eficiencia energética de la red	$ 15.6 millones	Reducción de energía del 30% por unidad de datos
Infraestructura de red inteligente	$ 8.2 millones	47 implementaciones de redes inteligentes
Investigación de tecnología verde	$ 4 millones	3 proyectos innovadores de tecnología verde

Millicom International Cellular S.A. (TIGO) - PESTLE Analysis: Social factors

Rapid urbanization and a growing middle class driving demand for premium data services.

The core of Millicom's (TIGO) growth opportunity rests on the demographic shift in Latin America, where rapid urbanization is creating a larger, more concentrated middle class. This segment demands greater connectivity and, crucially, is willing to pay for better quality service, which translates directly into higher Average Revenue Per User (ARPU). This is why the migration from prepaid to postpaid is a key metric.

In Q3 2025, Millicom's postpaid customer base grew by a significant 14% year-over-year, reaching 8.9 million customers. This shift toward more stable, higher-value contracts is a clear indicator of a growing financially-literate population. You see this in the mobile service revenue, which was up 5.5% year-over-year, driven by ARPU expansion in prepaid and the steady migration to postpaid. The goal is to capture this upward mobility with premium, bundled offerings. It's a defintely a high-margin play.

Metric (Q3 2025)	Value/Growth Rate	Social Factor Implication
Postpaid Customer Base	8.9 million	Growing middle class demanding stable, high-value contracts.
Postpaid Customer Growth (YoY)	14%	Successful migration from prepaid, indicating increased financial stability.
Mobile Service Revenue Growth (Organic YoY)	5.5%	Higher ARPU driven by demand for premium data and better network quality.

High mobile penetration but a shift toward data-centric usage and digital financial services (Tigo Money).

Mobile penetration across Millicom's markets is high, but the real opportunity lies in the shift from basic voice/SMS usage to data-centric consumption and the adoption of digital financial services (DFS). This is a societal move toward a cashless economy and greater financial inclusion (FinTech), which Tigo Money is designed to capture. The global mobile payment market exceeded $2.5 trillion in 2024, showing the scale of this trend.

Millicom's Tigo Money platform is a critical social tool, enabling remittances and bill payments for the unbanked. The platform saw a 22% increase in active users in 2024, demonstrating its growing impact on financial inclusion. Tigo Money contributed approximately $700 million to the company's total revenue in 2024, underscoring its commercial significance alongside its social role. Honestly, this service is a powerful social connector and a major revenue stream.

• Tigo Money active users increased 22% in 2024.
• Mobile money transactions in Latin America were projected to grow over 20% year-on-year by mid-2024.
• Total mobile customer base stood at 41.6 million in Q1 2025.

Increased demand for reliable, high-speed home internet to support remote work and education.

The societal changes brought on by the pandemic-specifically the permanence of remote work and digital education-have fundamentally altered demand for fixed broadband. Customers no longer tolerate unreliable connections; they need fiber-grade speed and reliability. This drives the company's aggressive Fiber-to-the-Home (FTTH) and Hybrid Fiber-Coaxial (HFC) build-out.

Millicom's 'Home' business is capitalizing on this, adding about 60,000 new home subscribers in Q3 2025. In Colombia, a key market, the Home customer base grew 12%, reaching 1.6 million HFC and FTTH connections, which drove Home service revenues up 5.7%. This isn't just about entertainment anymore; it's about economic and educational access. You can't work from home on a slow, shared network.

Digital literacy initiatives creating a larger, addressable market for bundled services.

Socio-economic inequality remains a challenge, with a segment of the population struggling with affordability and digital literacy (the ability to use digital technology effectively). Millicom addresses this by developing tiered product offerings and, more strategically, through corporate social responsibility (CSR) initiatives that expand the addressable market by increasing digital skills.

In 2024, Millicom invested in community development programs, including providing access to digital literacy programs for over 500,000 students. This kind of investment is not just goodwill; it directly creates future customers who are proficient in using data, mobile financial services, and high-speed internet, making them prime candidates for bundled services. Plus, supporting small businesses with digital tools impacted 10,000 entrepreneurs, further digitizing the local economy.

Millicom International Cellular S.A. (TIGO) - PESTLE Analysis: Technological factors

Aggressive 5G network rollout required to keep pace with competitors and meet data demand.

You are in a race to deploy next-generation wireless technology, and for Millicom International Cellular S.A. (TIGO), that means an aggressive, capital-intensive 5G rollout across Latin America. The competition isn't waiting, so TIGO's capital expenditure (CapEx) reflects this urgency. Through the first nine months of 2025, TIGO's CapEx totaled $447 million, marking an 8.2% increase year-over-year, largely funding this network build-out.

The strategic move to finalize the acquisition of Telefónica's 67.5% stake in Colombia Telecomunicaciones (Movistar Colombia) in March 2025 is a key part of this. This deal helps consolidate spectrum holdings and infrastructure, which is defintely critical for a rapid 5G deployment. Still, the regulatory environment presents hurdles; in Bolivia, for example, the government directly assigned the 5G-critical 3300-3600MHz spectrum to its state-owned competitor, Entel, forcing TIGO to wait for a separate auction. That's a real competitive risk.

Continued, costly expansion of fiber-to-the-home (FTTH) infrastructure across major cities.

The fixed-line business, particularly fiber-to-the-home (FTTH), is a core growth engine, but it demands constant and heavy investment. TIGO's strategy is to build out its digital highways to capture the high-value home segment. As of mid-2025, TIGO's fiber-cable footprint passed over 14 million homes. This expansion is not cheap, but it's essential for securing long-term, sticky revenue.

Here's the quick math: the Home business added 62,000 new FTTH/HFC connections in Q1 2025 alone, showing strong consumer demand for high-speed access. In Colombia, the Home customer base grew by 12%, reaching 1.6 million connections, which drove Home service revenues up 5.7%. This consistent growth justifies the CapEx, showing a direct return on network investment.

Metric (9M 2025)	Value (USD)	YoY Change
Total Capital Expenditure (CapEx)	$447 million	+8.2%
Q3 2025 CapEx	$161 million	-3.3%
Homes Passed (Mid-2025)	Over 14 million	N/A

Competition from Over-The-Top (OTT) services like WhatsApp and Netflix eroding traditional voice and SMS revenue.

Over-The-Top (OTT) services-like WhatsApp for messaging and voice, and Netflix for video-continue to cannibalize traditional voice and SMS revenue, a trend that's been clear for years. The real action is now in data and digital services. TIGO is successfully countering this by driving strong mobile service revenue growth, which was up 5.5% year-over-year in Q3 2025, the strongest organic growth since 2021.

This growth comes from two clear actions: encouraging prepaid customers to move to higher-value postpaid plans and increasing Average Revenue Per User (ARPU) by aligning pricing with inflation. The postpaid base grew 14% to reach 8.9 million customers in Q3 2025. Plus, the B2B segment is a major buffer, with digital services revenue rising 10%, which includes things like cloud and cybersecurity solutions.

Need to invest in cybersecurity to protect a growing base of digital financial service users.

TIGO Money, the mobile financial services arm, is a key strategic asset, but its growth increases the company's exposure to cyber threats and fraud. You must protect the money. The investment here is not just in IT infrastructure but in compliance and data security protocols. TIGO's B2B digital services revenue, which grew 10% in Q3 2025, is led by high-margin offerings like cloud, SD-WAN, and crucially, cybersecurity.

The company has made significant, measurable investments in its compliance framework, which directly impacts the security of its digital platforms. For instance, TIGO has reported an 800% growth in its compliance headcount over the last decade, showing a serious, long-term commitment. This is backed by technical controls like:

• Implementing data analytics for automated continuous monitoring across operations.
• Enforcing an ephemeral messaging policy with annual employee training.
• Using security services like cloud and SD-WAN to protect enterprise clients.

What this estimate hides is the constant, evolving nature of the threat landscape; you can never truly stop investing in security.

Millicom International Cellular S.A. (TIGO) - PESTLE Analysis: Legal factors

Anti-trust Reviews of Market Share and Potential Mergers

You are seeing firsthand how regulators in Latin America are flexing their anti-trust muscle, and it's defintely impacting Millicom's near-term growth strategy. The core issue is market concentration: when two large players combine, competition drops, and regulators step in. This isn't just theory; we have two major, active examples from 2025 alone.

First, the Costa Rica setback is a clear red flag. In November 2025, the Costa Rican Board of Telecommunications Superintendency (SUTEL) formally denied the proposed merger of Millicom's Tigo Costa Rica operations with Liberty Latin America. This decision was a direct block to a key expansion plan, and the two companies are now collaborating on next steps.

Second, the ongoing consolidation effort in Colombia is complex and under intense scrutiny. Millicom is working to merge its Tigo-UNE unit with Colombia Telecomunicaciones (ColTel/Movistar). This move is a game-changer, but it creates a near-duopoly: the combined entity would command a market share of approximately 43%, putting it head-to-head with America Movil's Claro, which holds about 45%. Millicom has also committed to an offer for Empresas Públicas de Medellín's (EPM) stake in Tigo-UNE for roughly $520 million, a crucial step to gain full control and proceed with the merger. This entire process is a high-stakes anti-trust review.

• Costa Rica Merger: Denied by SUTEL in November 2025.
• Colombia Merger: Tigo-UNE + ColTel (Movistar) would create a 43% market share entity.
• EPM Stake Acquisition: Offer of approximately $520 million to secure full control of Tigo-UNE.

Consumer Protection Agencies Imposing Large Fines and Major Legal Settlements

The biggest legal risk for Millicom in 2025 wasn't a consumer fine, but a massive Foreign Corrupt Practices Act (FCPA) resolution that underscores the compliance risks of operating in emerging markets. This is a material financial event you need to factor into your valuation models.

In November 2025, Millicom's subsidiary, Comunicaciones Celulares S.A. (Comcel), operating as Tigo Guatemala, entered a Deferred Prosecution Agreement (DPA) with the U.S. Department of Justice (DOJ) to resolve an investigation into historical improper payments to government officials. The total financial penalty is a staggering $118.2 million. This includes a $60 million criminal fine and a forfeiture of $58.2 million in benefits gained from the corrupt scheme. The company did receive a 50% reduction in the fine due to its voluntary self-disclosure and extensive cooperation, but the cash outflow is immediate.

On the more routine consumer front, local agencies are still active. For instance, in 2024, the Superintendency of Industry and Commerce (SIC) in Colombia fined Tigo Colombia approximately $80,000 (COP 305,000) for failing to uphold customer rights related to data protection, like not stopping marketing text messages upon request.

Key Legal and Regulatory Financial Impacts (2025 Fiscal Year)

Legal Action/Fine	Jurisdiction/Authority	Type of Violation	Financial Impact (USD)
FCPA Resolution (Comcel/Tigo Guatemala)	U.S. Department of Justice (DOJ)	Bribery/Improper Payments	$118.2 million (Fine + Forfeiture)
Data Protection Fine (Tigo Colombia)	Colombia SIC	Failing to heed customer data requests	Approx. $80,000 (COP 305,000)
Merger Denial	Costa Rica SUTEL	Anti-trust/Market Concentration	Opportunity Cost (Expansion Blocked)

Strict Data Privacy and Localization Laws

The trend of strict data privacy and localization laws, often modeled after the European Union's General Data Protection Regulation (GDPR), is accelerating across Latin America. While local fines are currently smaller, the compliance burden is rising fast. You need to look beyond the fines and focus on the operational expense of compliance.

Millicom must navigate a patchwork of national laws, ensuring customer data is processed and stored according to local rules, which sometimes requires data localization (keeping data within the country's borders). The Colombia fine for failing to manage customer data requests shows that local regulators are serious about enforcing these rights. The internal cost of implementing an ephemeral messaging policy and expanding the compliance headcount by 800% over the last decade, as noted in the FCPA resolution, illustrates the scale of the ongoing compliance investment required to mitigate these risks.

Ongoing Regulatory Scrutiny over Interconnection Rates and Wholesale Access

Regulators continuously scrutinize interconnection rates (what one carrier pays another to terminate a call) and wholesale access to infrastructure. This is a fundamental tool for promoting competition, especially in markets where one provider might have a dominant fixed or mobile network. Since Millicom is actively acquiring and consolidating, this scrutiny intensifies.

The anti-trust review of the proposed Colombia merger, which would create a strong duopoly, will almost certainly involve regulatory conditions related to wholesale access and interconnection. Regulators will demand structural or behavioral remedies, such as mandated access to network infrastructure or specific rate caps, to ensure the new entity doesn't stifle smaller competitors. This means Millicom's ability to maximize revenue from its network assets is always subject to regulatory review, limiting potential upside from its fiber and mobile network investments.

The legal environment is not static; it's a fluid, high-cost operating reality.

Millicom International Cellular S.A. (TIGO) - PESTLE Analysis: Environmental factors

Pressure from investors and regulators to reduce energy consumption and carbon footprint from network operations.

You are seeing a massive shift in how investors view energy consumption, and Millicom International Cellular S.A. (TIGO) is right in the crosshairs. The pressure isn't just moral; it's financial, especially with the rise of ESG-Linked financing. TIGO has responded with concrete, Science-Based Targets (SBTi) to reduce its absolute carbon footprint.

The company is committed to reducing its absolute Scope 1 and Scope 2 greenhouse gas (GHG) emissions by a significant 50% by fiscal year 2030, using a 2020 base year. This is a tough goal, and it requires aggressive energy efficiency measures and a major shift to renewable energy sources across its Latin American footprint. For context, in 2023, TIGO's Total Emissions (Market Based) stood at approximately 1,563,288 metric tonnes of CO₂ equivalent (t CO₂e), resulting in an emissions intensity of 276 t CO₂e per million USD of net revenue. That's the quick math on the scale of the challenge.

To be fair, TIGO is moving. By April 2025, one report noted the company had already achieved a cumulative carbon emissions reduction of around 25% through renewable energy initiatives. Still, the path to half by 2030 is defintely the primary focus for capital expenditure in the near term.

Managing significant electronic waste (e-waste) from equipment upgrades and consumer devices.

The constant cycle of network upgrades and new consumer devices-think 5G rollouts and faster home broadband-creates a massive electronic waste (e-waste) problem. For TIGO, this is a dual-pronged issue: managing its own network equipment and handling the Customer Premises Equipment (CPE) like modems and set-top boxes in customer homes.

The company tackles this with a strong reverse logistics program, which is key to controlling costs and environmental impact. Their goal is simple: no broadband equipment left behind. The results show progress: at the end of 2022, their CPE end-to-end recovery rate was already at a strong 83%, significantly exceeding their internal 2024 target of 76%. Also, their responsible e-waste management program reported a total weight of e-waste for recycling of approximately 5,044 metric tonnes for the period covered by their 2022 report. That's a huge volume to manage.

• Recover CPE for redeployment or recycling.
• Use reverse logistics to repair and reuse equipment.
• Avoid CO₂ emissions from new CPE manufacturing.
• Run public programs like Un Celular, Un Árbol in Panama, planting one tree for each cell phone retrieved.

Increasing focus on climate resilience for infrastructure, especially in areas prone to severe weather.

Operating across Latin America means TIGO's infrastructure is exposed to elevated political and macroeconomic volatility, but also to increasing climate-related severe weather events like hurricanes and floods. Building climate resilience into the network is not optional; it's a core operational risk mitigation strategy.

While specific 'resilience' investment figures are often embedded in broader capital expenditure, we can see the intent in recent financing. In July 2025, TIGO's El Salvador operation secured a financing package of up to $205 million from IDB Invest and Bladex. A key part of this package is explicitly for enhancing the capacity and quality of its mobile and fixed broadband infrastructure. This kind of network hardening-better capacity, better quality-is what provides the necessary resilience to withstand and quickly recover from severe weather disruption.

Here's the quick math: a more robust network is a more reliable network, and that translates directly into higher uptime and lower repair costs, a must-have for a region with unpredictable weather.

Mandatory ESG reporting and transparency requirements influencing capital allocation.

The regulatory and investor landscape is forcing a clear link between environmental performance and capital allocation. TIGO is already aligning its reporting with major global standards, which is a prerequisite for attracting ESG-focused capital.

The company's reporting is mapped against the Global Reporting Index (GRI) and the Sustainable Accounting Standards Board (SASB), plus it uses the Task Force on Climate-related Financial Disclosures (TCFD) recommendations for its climate-related disclosures. This transparency is necessary because investors are increasingly focused on it, especially regarding climate change and ESG-Linked financing. This discipline directly influences their financial targets, such as the 2025 goal of achieving an Equity Free Cash Flow (EFCF) of around $750 million and maintaining year-end leverage below 2.5x.

The need for transparent reporting means environmental risks are now explicitly factored into the cost of capital. You can't separate the two anymore.

Environmental Metric / Target	Value / Commitment (FY2025 Context)	Base Year / Benchmark
Absolute Scope 1 & 2 GHG Reduction Target	50% reduction by FY2030	FY2020 Base Year
2023 Total Emissions (Market Based)	1,563,288 t CO₂e	2023 Benchmark
CPE End-to-End Recovery Rate	83%	End of 2022 (Exceeded 76% 2024 Target)
El Salvador Infrastructure Financing (2025)	Up to $205 million for network enhancement	IDB Invest/Bladex Financing (July 2025)