Despite rising public discontent, Cuban leader Miguel Díaz-Canel announced this Thursday that the government will not back down on the telecom rate hike imposed by the Cuban Telecommunications Company (ETECSA). This decision highlights the growing disconnect between the regime and the people's demands.
During his official podcast "Desde la Presidencia," which featured ETECSA's president Tania Velázquez, Díaz-Canel stated, "We will not back down from implementing it," arguing that to do so would mean forfeiting essential revenue needed to maintain services. He emphasized the importance of closely monitoring the outcomes of these measures, investing resources to move forward, and being transparent about how any potential profits are utilized.
In a broadcast that made it clear the regime demands compliance from the public regarding the rate hike, and suggests that Cubans should be grateful, Díaz-Canel added that the new measures aim to prevent a technological meltdown and, eventually, improve service quality.
He acknowledged the telecommunications system faces "a complex situation from a technological standpoint" and warned that not implementing the current decisions could bring the country "very close to collapse." "If a technological collapse occurs, we would then be questioned as to why we didn't act," he remarked, presenting the unpopular move as unavoidable.
The leader argued that the limited availability of foreign currency threatens service stability, and complaints about slow network speeds—“the connection is impossible,” he reiterated—are now part of everyday conversation. While admitting that "there's never a good time for measures that take away or limit social benefits," he defended the rate hike as a necessary step.
Díaz-Canel insisted that setting boundaries is vital for the system’s functionality and, in his words, "to advance in the system's development." He described the decision as a "tactical retreat": "We were progressing, and now we must pause, step back a bit to gather what we need." With a tone of cynicism, he promised that, over time, they could "recover the pace and even surpass the rhythms we had."
Additionally, he claimed it’s not about halting digital progress but adjusting the pace. According to him, the situation results from a "confluence of internal factors, but primarily external and induced ones," which have made it technically unsustainable to move at the desired speed.
He added that as these decisions "begin to work" and the content of these measures is "perfected," they can advance the digital transformation strategy, including the application of artificial intelligence in services, production, and other national life areas.
The remarks come amid widespread citizen opposition following the implementation of new tariffs and mobile service restrictions. Instead of providing immediate solutions, the official narrative insists on sacrifice as the sole option, while millions of Cubans face exorbitant prices, limited access, and a state-imposed digital disconnection.
Also on Thursday, amid growing public backlash against the rate hike by state-run ETECSA, Tania Velázquez warned of a potential "widespread failure" of the national telecommunications system. "Certain failures in this infrastructure have been occurring, leading us down a path [...] where we've foreseen that a widespread failure could occur at some point," Velázquez stated.
According to her, the consequences of such a failure would mean "we won't be able to make phone calls, send messages, or reach our places of study or work […]", describing a scenario of near-total collapse of the island’s telecommunications system.
The June 5th podcast was aired amid an indefinite academic strike led by university students, especially from the University of Havana. The movement demands not only equitable connectivity for students but real access for all Cubans.
The official response has been a call to "close ranks" against what the regime labels as a "media war" driven by "enemies of the system." Students are even calling for the resignation of the national president of the FEU, Ricardo Rodríguez González, accusing him of not representing student interests.
FAQs on Cuba's Telecom Rate Hike
Why did Díaz-Canel refuse to suspend the telecom rate hike?
Díaz-Canel argued that suspending the rate hike would result in a loss of revenue necessary to maintain telecommunication services, which are vital to prevent a technological collapse.
What justification did the regime provide for the telecom rate increase?
The regime claims the increase is needed to prevent a technological breakdown, improve service quality eventually, and ensure the sustainability of the telecommunications system amidst limited foreign currency availability.
How have Cuban citizens reacted to the telecom rate hike?
The public has reacted with widespread disapproval, facing exorbitant costs, limited access, and what many perceive as a state-imposed digital disconnection, leading to protests and academic strikes.