BMI View: All four of the leading mobile operators in Brazil have reported a positive response to the launch of 4G LTE services since H113, boosting subscriber growth to 1.310mn by the end of the year. This has come at the right time for the mobile market, which has seen growth slow down considerably, as it reaches a saturation point. Opportunities for revenue growth will come from the value-added services such as M2M and m-commerce as the market matures beyond a prepaid centric environment of subscription acquisition maximisation . In the broadband market, Anatel has been active in trying to enhance competition, reducing licence fees for operators wishing to provide multiple services and the potential entrance of VTR ( Liberty Global ) is reportedly due in Q214. Investments in broadband are beginning to be focused on fibre optic cables but it will be a number of years before this technology really takes hold.
Mobile subscription growth slowed markedly in 2013 to 3.8% y-o-y due to saturation as the penetration rate reached 135.3% at the end of December 2013.
LTE subscriptions reached 1.310mn at the end of 2013, showing good growth since the technology was launched in H113. Vivo is the market leader with 538,000 LTE connections and 41.1% of the total.
Strong broadband subscription growth continued, with total wireline subscriptions reaching 20.882mn at the end of September 2013, up from 18.591mn a year earlier.
M2M connections reach 8.297mn at the end of December 2013, up by 22.6% y-o-y.
Key Trends And Developments
The Chilean cable operator VTR is reported to be planning a launch of operations in Brazil in H114. The company is a subsidiary of international cable company Liberty Global, and will use a USD1.4bn bond issue to finance the launch. BMI highlights GVT as the most likely company to be acquired by VTR, in order to facilitate this launch.
Poste Italiane's successful MVNO business model seems set to be transplanted into...
The Brazil Telecommunications Report features Business Monitor International (BMI)'s independent industry forecasts on the future strength of Brazil's ICT market, covering the fixed-line, mobile and internet segments and analyses latest regulatory developments and corporate news, including investment activity, mergers and acquisitions, joint ventures and partnerships. Leading operators and manufacturers are fully profiled, highlighting their quarterly financial performance, capital expenditure plans and latest contracts.
BMI's Brazil Telecommunications Report provides industry professionals and researchers, operators, equipment suppliers and vendors, corporate and financial services analysts and regulatory bodies with independent forecasts and competitive intelligence on the telecoms industry in Brazil.
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BMI Industry View
Summary of BMI's key industry forecasts and views, covering the ICT, fixed-line, mobile (including 3G), internet and broadband markets.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the wireline and wireless sectors and within the broader political, economic and business environment.
Business Environment Rankings
BMI's Telecommunications Business Environment Rankings provides a country-comparative Risk-Reward Rankings index aimed at investors (vendors, operators and suppliers) in the regional telecoms market.
The rankings methodology makes sophisticated use of more than 40 industry, economic and demographic data points.
BMI Industry Forecast Scenario
Historic data series and forecasts to end-2018 for all key industry indicators (see list below) supported by explicit assumptions, plus analysis of key downside risks to the main forecast.
- Fixed-Line Telephony - Telephone lines ('000); telephone lines/100 inhabitants.
- Cellular Telephony - Mobile phone subscribers ('000); mobile phone subscribers/100 inhabitants; mobile phone subscribers/100 fixed line subscribers.
- Internet Markets - Internet users ('000); internet users/100 inhabitants; broadband internet subscribers ('000); broadband internet subscribers/100 inhabitants.
Market Data Analysis
Detailed market analysis of the mobile, mobile content, fixed line and internet segments, broken down into:
- Market Data - Analysis of market size, operator shares, dominant trends, competitive landscape and key quarterly data.
- Technology/Service Rollout - Analysis of rollout/adoption of new technology, such as 3G, WiMAX, IPTV, pay-TV, LTE and value-added handset services (gaming, music, video, apps etc.).
- Mobile Content - The latest trends in content and services available and being introduced by mobile operators. Including a timeline of all the latest major mobile content developments.
- Company Database - A comprehensive breakdown of KPIs of the leading mobile operators, including subscriber figures by type (pre-paid and post-paid); 3G subscriber figures; net additions; market share; ARPU; churn rates; minutes of use; voice and non-voice revenue; financial figures (including operating revenues, net profits and EBITDA).
Details of the regulatory bodies and their responsibilities, as well as a special focus on the rules surrounding competition and interconnection. The latest updates in the market's development and regulatory rulings.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate Company SWOT analyses.
The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.