2009 Latin American Telecoms, Mobile and Broadband Overview

Publication Overview

Latin America and the Caribbean includes some of the world’s most important emerging markets. This report covers trends and developments in telecommunications, mobile, Internet, broadband, pay TV, and converging media. Subjects include:

·         Market and industry analyses, trends and developments;

·         Facts, figures, and statistics;

·         Government policies and regulatory issues;

·         Telecom infrastructure (national and international, fixed and wireless)

·         Major players, revenues, subscribers, ARPU;

·         Internet, VoIP, IPTV;

·         Mobile voice and data markets;

·         Broadband (ADSL, cable TV, WiMAX, BPL, etc);

·         Convergence, pay TV, and digital terrestrial TV.

 

Researchers, Lucia Bibolini, Lawrence Baker

Current publication date:- July 2009 (8th Edition)

Next publication date:- August 2010

Executive Summary

BuddeComm’s annual publication, Latin American Telecoms, Mobile and Broadband Overview, profiles the regions of Latin America and the Caribbean. Countries within this region include: Argentina, Belize, Bolivia, Brazil, Chile, Colombia, Costa Rica, Cuba, Dominican Republic, Ecuador, El Salvador, Guatemala, Guyana, Haiti, Honduras, Jamaica, Mexico, Nicaragua, Panama, Paraguay, Peru, Puerto Rico, Suriname, Uruguay, Venezuela, and other small Caribbean countries.

 

Telecoms services have become an increasingly essential item not only for businesses but also for residential consumers in the Latin American and Caribbean (LAC) region. Therefore, demand should not collapse in 2009 despite the recession. Telecom revenues should continue to grow in most countries, driven by mobile telephony and broadband, but growth rates will be quite small compared with previous years.

 

The LAC region has been a high growth market particularly in mobile telephony, where penetration is well above the world average. A few countries, however, may be nearing mobile market saturation; about 15 nations in the Caribbean and three in South America have passed the 100% penetration threshold, including Jamaica, Argentina, Uruguay, and Venezuela.

 

The broadband market has enormous growth potential, but has been held back by the high prices charged by providers, which in some countries have a virtual monopoly in their areas of operation. Other inhibiting factors include low PC penetration, insufficient fixed-line infrastructure, unequal income distribution, a lack of economies of scale, and regulatory hurdles. On the positive side, competition has been increasing and prices have been dropping in most countries. Indeed, Latin America was the world’s fastest-growing broadband market in the fourth quarter of 2008.

 

The global financial crisis has had a negative effect on WiMAX uptake, and the credit crunch has curtailed WiMAX investments. Another factor that worked against WiMAX in 2008 was the rollout of 3G mobile broadband, which grew dramatically over the year in both coverage and customers. Indeed, delays in WiMAX deployments have allowed the 3G market to gain a head start in Latin America.

 

Key highlights:

·         The LAC economy grew by 4.6% in 2008. A negative GDP growth of -0.3% is forecast for 2009.

·         Teledensity in the LAC region inched up from 17.9% in 2007 to 18.3% in 2008. The fixed-line market is stagnant in most countries.

·         Broadband grew at an annual rate of 39% in 2008. Broadband penetration at year-end was 4.9%, well behind the global average of 6.1%.

·         ADSL is the broadband leader, with a stable 70% market share virtually unchanged since 2004. Cable modem accounts for 27% of the market, and wireless broadband for the remaining 3%.

·         WiMAX deployments continued in 2008, but subscriber numbers are small and frequency licensing has suffered serious setbacks in Brazil and Mexico. A few countries, notably Argentina, Brazil, Mexico, and Peru, are planning WiMAX auctions in 2009.

·         VoIP is popular and highly competitive throughout the region. Triple play is available in most LAC nations, and IPTV is starting in a number of countries. In a few markets, however, regulatory battles still rage over who can offer triple play, and whether telcos should be allowed to offer pay TV services.

·         In early 2009, there were 458 million mobile phones in the LAC region, compared with 106 million fixed-line phones. Mobile penetration was approximately 80%, well above the world average of 58%.

·         During 2008, LAC saw a huge expansion in 3G WCDMA coverage and subscriber numbers. In early 2009, there were 39 UMTS networks operating in 18 LAC countries, and 3G subscribers totalled 4.83 million, up from a mere 64,700 one year earlier.

·         Mobile ARPU in Latin America has stabilised at an estimated US$16, although it has fallen under US$11 in some of the major markets. Venezuela is the region’s best performer with US$26 ARPU.

·         América Móvil and Telefónica Móviles (jointly with Portugal Telecom in Brazil) serve about 64% of the region’s mobile subscribers. América Móvil is the leader, with a 37% market share.

 

Top 10 Latin American countries for mobile subscribers – 2007 - 2008

Country

2007

2008

Annual change

Penetration

Mobile subscribers (million)

Brazil

122.11

152.44

+24.8%

78.9%

Mexico

68.68

78.46

+14.2%

74.1%

Argentina

38.44

43.82

+14.0%

110.3%

Colombia

33.94

41.36

+21.9%

85.7%

Venezuela

23.82

28.21

+18.4%

101.0%

Peru

14.00

18.45

+31.8%

63.3%

Chile

14.60

15.90

+8.9%

94.4%

Ecuador

9.91

11.40

+15.0%

82.5%

Guatemala

9.20

10.50

+14.2%

76.8%

Dominican Republic

5.52

7.02

+27.2%

79.4%

(Source: BuddeComm based on Global Mobile)

 

Data in this report is the latest available at the time of preparation and may not be for the current year.

 

For those needing an objective and high-level strategic analysis on Latin America and the Caribbean, this report is essential reading and gives further information on:

·         Telecom market trends.

·         Regulatory developments with a particular look at countries that are liberalising their telecom markets.

·         Fixed-line infrastructure and adoption of alternative technologies such as VoIP.

·         Major fixed-line operator profiles, including company developments such as the merger of Oi and Brazil Telecom, and the cross-shareholding scrutiny of Telecom Argentina.

·         Mobile market outlook and developments, including major operators, ARPU, and mobile data services.

·         The roll-out and uptake of 3G UMTS services in Latin America.

·         Broadband market status, including ADSL, cable modem, WiMAX, and Broadband Powerline (BPL).

·         Convergence, triple play models, IPTV plans, and the regulatory issues involved.

Table of Contents

  • 1. Telecoms, Mobile, & Broadband Overview & Analysis 2009
    • 1.1 Region
    • 1.2 General outlook
    • 1.3 Key highlights – 2008 - 2009
      • 1.3.1 Telecom market overview
      • 1.3.2 Telecom market trends
      • 1.3.3 Regulatory environment
      • 1.3.4 Infrastructure
      • 1.3.5 Major telecom players
      • 1.3.6 Internet
      • 1.3.7 Broadband
    • 1.4 Convergence
      • 1.4.1 Pay TV
      • 1.4.2 Broadband TV (IPTV)
    • 1.5 Mobile communications
  • 2. Telecommunications Market
    • 2.1 Overview of Latin America’s telecom market
    • 2.2 Telecommunications growth
    • 2.3 Telecom market trends
  • 3. Regulatory Environment
    • 3.1 Background
    • 3.2 Universal access
    • 3.3 Foreign operators
    • 3.4 Privatisation and liberalisation
    • 3.5 Number portability
  • 4. Major Fixed-Line Operators
    • 4.1 Overview
    • 4.2 Major Latin American fixed-line operators
      • 4.2.1 Telmex (Mexican operations)
      • 4.2.2 Oi (Telemar)
      • 4.2.3 Telesp
      • 4.2.4 Embratel
    • 4.3 Major international companies
      • 4.3.1 Telefónica
      • 4.3.2 Telmex (international operations)
      • 4.3.3 Telecom Italia
  • 5. Telecommunications Infrastructure
    • 5.1 Overview
      • 5.1.1 Fixed-line statistics
    • 5.2 International
      • 5.2.1 Submarine cable systems
      • 5.2.2 International satellite systems
    • 5.3 Infrastructure developments
      • 5.3.1 Wireless Local Loop (WLL)
      • 5.3.2 VoIP
  • 6. Internet Market
    • 6.1 Overview
      • 6.1.1 Internet statistics
    • 6.2 One Laptop per Child project
  • 7. Broadband Market
    • 7.1 Overview
      • 7.1.1 Broadband statistics
    • 7.2 Cable modems
    • 7.3 Asynchronous Digital Subscriber Line (ADSL)
    • 7.4 Wireless broadband
      • 7.4.1 WiFi
      • 7.4.2 WiMAX
    • 7.5 Mobile broadband
    • 7.6 Broadband Powerline (BPL)
  • 8. Convergence
    • 8.1 Overview of media convergence
    • 8.2 Triple play models
      • 8.2.1 Regulatory issues
    • 8.3 Pay TV
      • 8.3.1 Cable TV
      • 8.3.2 Multichannel Multipoint Distribution Service (MMDS)
      • 8.3.3 Satellite TV
    • 8.4 Broadband TV (IPTV)
    • 8.5 Digital Terrestrial TV (DTTV)
  • 9. Mobile Communications
    • 9.1 Overview of Latin America’s mobile market
      • 9.1.1 Mobile statistics
    • 9.2 Mobile technologies
      • 9.2.1 Overview
      • 9.2.2 GSM
      • 9.2.3 Third Generation (3G) mobile
    • 9.3 Major mobile operators in Latin America
      • 9.3.1 América Móvil
      • 9.3.2 Telefónica
      • 9.3.3 Telecom Italia
      • 9.3.4 Millicom International Cellular
      • 9.3.5 Digicel
    • 9.4 Mobile voice services in Latin America
      • 9.4.1 Prepaid cards
      • 9.4.2 Satellite mobile
    • 9.5 Mobile data services
      • 9.5.1 SMS
      • 9.5.2 Enhanced Data for GSM Evolution (EDGE)
  • 10. Glossary of Abbreviations
  • Table 1 – Total GDP and GDP growth by country (estimates) – 2008
  • Table 2 – GDP per capita by country and variations from regional average – 2007 - 2008
  • Table 3 – Top 10 Latin American countries for fixed lines in service – 2007 - 2008
  • Table 4 – Top 10 fixed-line operators by revenue, and annual change - 2008
  • Table 5 – Top 10 fixed-line operators by lines in service - 2007 - 2008
  • Table 6 – Internet users and penetration rate – top 10 countries for users – 2008
  • Table 7 – Internet users and penetration – top 10 countries for penetration – 2008
  • Table 8 – Broadband subscribers and penetration rates – major countries – 2007 - 2008
  • Table 9 – Top 10 Latin American countries for mobile subscribers – 2007 - 2008
  • Table 10 – International mobile operators – subscribers and market share – 2006 - 2007
  • Table 11 – Top 10 fixed-line operators by revenue, and annual change - 2008
  • Table 12 – Top 10 fixed-line operators by lines in service - 2007 - 2008
  • Table 13 – Latin America – fixed lines in service and teledensity – 1995 - 2008
  • Table 14 – Fixed lines in service and teledensity by country – 2004 - 2008
  • Table 15 – Latin America – Internet users and user penetration - 2000 - 2008
  • Table 16 – Internet users and penetration – top 10 countries for users – 2008
  • Table 17 – Internet users and penetration – top 10 countries for penetration – 2008
  • Table 18 – Internet users, growth and penetration worldwide by region – 2000; 2008
  • Table 19 – Latin America broadband subscribers and penetration – 2000 - 2008
  • Table 20 – Broadband subscribers and penetration – major countries – 2007 - 2008
  • Table 21 – Latin America broadband technology market share – 2001 - 2008
  • Table 22 – Broadband technology market share – major countries – 2008
  • Table 23 – Latin America cable modem subscribers and penetration – 2000 - 2008
  • Table 24 – Cable modem subscribers and penetration – major countries – 2007 - 2008
  • Table 25 – Latin America ADSL subscribers and penetration – 2001 - 2008
  • Table 26 – ADSL subscribers and penetration – major countries – 2007 - 2008
  • Table 27 – Latin America 3G subscribers and penetration per country - 2007 - 2008
  • Table 28 – Latin America cable TV subscribers and penetration – 2000 - 2008
  • Table 29 – Cable TV subscribers and penetration – major countries – 2007 - 2008
  • Table 30 – Major international mobile operators – subscribers & market share – 2007 - 2008
  • Table 31 – Latin America mobile subscribers and penetration - 1998 - 2008
  • Table 32 – Countries ranked by mobile subscribers & regional market share – 2008
  • Table 33 – Countries ranked by penetration & variation from regional average – 2008
  • Table 34 – Countries ranked by net additions & annual growth – 2008
  • Table 35 – Top 10 mobile operators ranked by subscriber numbers - 2008
  • Table 36 – Evolution of ARPU – major countries – 2006 - 2008
  • Table 37 – Evolution of mobile ARPU in Argentina – major operators – 2006 - 2008
  • Table 38 – Evolution of mobile ARPU in Brazil – major operators – 2006 - 2008
  • Table 39 – Evolution of mobile ARPU in Chile – major operators – 2006 - 2008
  • Table 40 – Evolution of mobile ARPU in Colombia – major operators – 2006 - 2008
  • Table 41 – Evolution of mobile ARPU in Mexico – major operators – 2006 - 2008
  • Table 42 – Evolution of mobile ARPU in Peru – major operators – 2006 - 2008
  • Table 43 – Evolution of mobile ARPU in Venezuela – major operators – 2006 - 2008
  • Table 44 – Market share by mobile technology - 2003 - 2008
  • Table 45 – Latin America 3G subscribers and penetration per country - 2007 - 2008
  • Table 46 – América Móvil mobile subscribers and technology by country – 2007 - 2008
  • Table 47 – América Móvil mobile ARPU by country – 2006 - 2008
  • Table 48 – América Móvil MOU by country – 2006 - 2008
  • Table 49 – América Móvil churn by country – 2006 - 2008
  • Table 50 – Telefónica mobile subscribers and technology by country – 2007 - 2008
  • Table 51 – Telefónica mobile ARPU by country – 2006 - 2008
  • Table 52 – Telefónica MOU by country – 2007 - 2008
  • Table 53 – Telecom Italia mobile subscribers and technology by country – 2007 - 2008
  • Table 54 – Millicom mobile subscribers and technology by country – 2007 - 2008
  • Exhibit 1 – Telmex at a glance
  • Exhibit 2 – Telemar Norte Leste at a glance
  • Exhibit 3 – Brasil Telecom at a glance
  • Exhibit 4 – Brasil Telecom – historical notes
  • Exhibit 5 – Telesp at a glance
  • Exhibit 6 – Embratel Participações at a glance
  • Exhibit 7 – Principal subsidiaries of Embratel Participações – 2008
  • Exhibit 8 – Telefónica Latinoamérica – fixed-line subsidiaries - 2008
  • Exhibit 9 – Telmex acquisitions - 2004 - 2008
  • Exhibit 10 – Major submarine cable networks in Latin America
  • Exhibit 11 – Regulatory status of VoIP in selected Latin American countries
  • Exhibit 12 – América Móvil at a glance

Related Reports

Purchase this Report

US$250.00

Licence Information

Share this Report

Purchase with Confidence

You turned out to be very helpful in answering (our client’s) additional questions and providing us proactively with updated information to support this. BuddeComm definitely provides high-quality service

Joost Brakel, Deloitte

Special Offers

Cameroon - Telecoms, Mobile and Broadband - Statistics and Analyses
US$375.00 until 27 Nov 2019
(normal price US$750.00)

Nigeria - Telecoms, Mobile and Broadband - Statistics and Analyses
US$575.00 until 27 Nov 2019
(normal price US$1,150.00)

Sample Reports

A selection of downloadable samples from our Annual Publications catalogue.


Download a Sample Report

More than 4,000 customers from 140 countries utilise BuddeComm Research

Are you interested in BuddeComm's Custom Research Service?

News & Views

Have the latest telecommunications industry news delivered to your inbox by subscribing to Paul's FREE weekly News & Views.