Brazil - Telecoms Infrastructure, Operators, Regulations - Statistics and Analyses

Synopsis

The Brazilian fixed-line market has been adversely affected by consumers substituting services for mobile and VoIP solutions. Teledensity, at about 20%, is slightly higher than average for Latin America but less than half the rate found in other advanced economies. The number of fixed lines in Brazil continues to fall slowly, despite gains in the VoIP sector. VoIP services in Brazil are not regulated by Anatel and are offered by many service providers, including US firms. The main Brazilian VoIP providers are Net Serviços and Telefonica.

Brazil is connected through submarine cables to the USA, Central and South America, and the Caribbean. A number of new cable systems are due to come into service by the end of 2018 which will increase bandwidth has pushed down broadband prices for end-users. The government has entrusted the state-owned Telebrás with the construction of the Atlantic Cable System (ACSea) cable network linking Brazil with the USA, Europe, Africa, and several Latin American countries. Telebrás has also been charged with building a satellite to be used for military communications and to boost the country’s national broadband program.

Given the remoteness of many communities satellite communications have retained an important role in Brazil. The Amazon jungles of the north make satellites the major communication platform, as it is almost impossible to lay fibre optic cable in the thick vegetation.

The bulk of the market is divided between four key operators: Telefónica, América Móvil, Oi (which merged with Portugal Telecom in 2014, with the latter being sold to Altice in 2015), and GVT (owned by Vivendi before being sold to Telefónica).

Telefónica operates through Telefônica Brasil, which has integrated its fixed-line and mobile services under the brand name Vivo. The América Móvil group in Brazil comprises long-distance incumbent Embratel, mobile operator Claro, and cable TV provider Net Serviços. The group has merged its divisions, including Embratel, and provides fixed and mobile services under the Claro brand, previously used only for mobile services. Oi offers fixed-line and mobile services under the Oi brand name.

The two regional incumbents Oi and Vivo control 41% and 23% respectively of the country’s fixed lines in service, but they mostly keep to their own regions of operations despite the lifting of geographical restrictions.

This report provides a background to Brazil’s telecom market including infrastructure and the regulatory environment. It profiles the main fixed-line operators and provides relevant statistics and analyses.

Key developments:

Telecoms regulator sets out restructuring program; Telebrás aiming to use the SDGC satellite for broadband services after launch in March 2017; ACSea submarine cable linking Brazil and Europe contracted by Telebrás and IslaLink; Seabras-1 cable to provide direct route between the US and Brazil; government studies Northern Connection cable network across the Amazon basin; report update includes operator data to Q4 2016, regulator’s market data updates to December 2016, recent market developments.

Companies mentioned in this report:

Vivo (Telefônica Brasil), TIM Brasil, Oi, Embratel, Net Serviços, GVT, CTBC, Global Crossing, Star One, TelesatBrasil, Hispamar, Telebrás, Claro, TIM Brasil, Intelig, Algar Telecom, Sercomtel, GVT.

Table of Contents

  • 1. Synopsis
  • 2. Key statistics
  • 3. Country overview
  • 4. Telecommunications market
    • 4.1 Historical overview
    • 4.2 Market analysis
  • 5. Regulatory environment
    • 5.1 Regulatory developments
    • 5.2 General Plan for Updating Telecom Regulations (PGR)
    • 5.3 Regulatory authority
      • 5.3.1 Anatel
    • 5.4 Privatisation of Telebrás
    • 5.5 Telecom sector liberalisation in Brazil
    • 5.6 General Competition Plan
    • 5.7 Concessions and authorisations
    • 5.8 Mirror companies
    • 5.9 Universal service goals
    • 5.10 Government telecom funds (Fust, Fistel, and Funttel)
    • 5.11 Foreign investment
    • 5.12 Number Portability (NP)
    • 5.13 Access
    • 5.14 Interconnection
    • 5.15 Fixed-line contract renewal – 2006
    • 5.16 Fixed-line contract renewal – 2011
  • 6. Fixed network operators
    • 6.1 Overview of fixed network market
    • 6.2 Oi (Telemar)
    • 6.3 Vivo (Telefônica Brasil)
    • 6.4 Embratel (Claro)
    • 6.5 Global Village Telecom (GVT)
    • 6.6 TIM Brasil
    • 6.7 CTBC/Algar Telecom
    • 6.8 Sercomtel
  • 7. Telecommunications infrastructure
    • 7.1 National telecom network
      • 7.1.1 Fixed-line statistics
    • 7.2 International infrastructure
      • 7.2.1 Submarine cable networks
      • 7.2.2 Satellite networks
    • 7.3 Infrastructure developments
      • 7.3.1 Amazon cable
      • 7.3.2 Very small aperture terminal (VSAT) networks
  • 8. Wholesale
  • 9. Smart infrastructure
    • 9.1.1 Smart meters/smart grids
    • 10. Related reports
    • Table 1 – Country statistics – 2016 (e)
    • Table 2 – Telephone network statistics – 2016
    • Table 3 – Internet user statistics – 2017 (e)
    • Table 4 – Broadband statistics – 2017 (e)
    • Table 5 – Mobile statistics – 2016 (e)
    • Table 6 – National telecommunications authority
    • Table 7 – Evolution of GDP in Brazil – 2000 - 2016
    • Table 8 – Telecommunications revenue – 2000 - 2016
    • Table 9 – Proportion of telecom revenue by segment – 2000 - 2014
    • Table 10 – Telecom revenue by segment – 2005 - 2016
    • Table 11 – Telecommunications investment – 2000 - 2015
    • Table 12 – Broadband traffic growth per subscriber – 1998 - 2019
    • Table 13 – Proportion of telecom investment by segment – 2000 - 2014
    • Table 14 – Fixed lines in service – operators’ market share – 2006 - 2016
    • Table 15 – Oi revenue by service – 2012 - 2016
    • Table 16 – Oi EBITDA, capex – 2012- 2016
    • Table 17 – Oi – fixed lines in service – 1999 - 2016
    • Table 18 – Vivo – fixed lines in service – 1999 - 2016
    • Table 19 – Claro Brazil – fixed lines in service – 2006 - 2016
    • Table 20 – Claro Brazil – fixed-line RGUs – 2013 - 2016
    • Table 21 – Claro Brazil – fixed-line revenue – 2013 - 2016
    • Table 22 – Vivo (GVT) financial data (historic) – 2012 - 2014
    • Table 23 – Vivo (GVT) revenue by service (historic) – 2012 - 2013
    • Table 24 – Vivo (GVT) – fixed lines in service (historic) – 2006 - 2015
    • Table 25 – TIM Brasil – fixed lines in service – 2012 - 2016
    • Table 26 – Algar Telecom – fixed lines in service – 2012 - 2016
    • Table 27 – Historic - Fixed lines in service and teledensity – 1995 - 2009
    • Table 28 – Fixed lines in service and teledensity – 2010 - 2018
    • Chart 1 – Evolution of telecom revenue in Brazil – 2001 - 2016
    • Chart 2 – Telecom revenue by segment – 2005 – 2016
    • Chart 3 – Oi revenue by service – 2012 - 2016
    • Chart 4 – Evolution of fixed lines in service – 2005 - 2018
    • Exhibit 1 – Map of Brazil
    • Exhibit 2 – Regions and states of Brazil
    • Exhibit 3 – Regions and states of Brazil
    • Exhibit 4 – Vivo – company history
    • Exhibit 5 – Embratel – company history
    • Exhibit 6 – GVT – company history
    • Exhibit 7 – Regions and States of Brazil
    • Exhibit 8 – Atlantic Cable System – planned
    • Exhibit 9 – Geostationary satellites operating in Brazil

Related Reports

Focus Report Profile

Technologies

Strategies & Analyses (Industry & Markets)
Telecoms Infrastructure

Number of pages 49

Status Current

Last updated 13 Feb 2017
Update History

Analyst: Henry Lancaster

Purchase this Report

US$550.00

Licence Information

Share this Report

Purchase with Confidence

Ventura Team routinely use BuddeComm reports for mobile and broadband fibre projects we undertake in Europe, Middle East and Africa and Asia. They are just much better value for money compared to the bigger and more expensive reports prepared by other well known telco research houses.

David Brown, Ventura Team

Special Offers

Belgium - Telecoms, Mobile, Broadband and Digital Media - Statistics and Analyses
US$575.00 until 24 Jan 2018
(normal price US$1,150.00)

Slovenia - Telecoms, Mobile, Broadband and Digital Media - Statistics and Analyses
US$575.00 until 24 Jan 2018
(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.