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Bundled Services to Catalyze Growth of Telecom Services in Brazil, Finds Frost & Sullivan


News provided by

Frost & Sullivan

03 Nov, 2014, 15:30 GMT

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- A tougher regulatory environment is imminent, both in terms of tariff and quality of service

SAO PAULO, Nov. 3, 2014 /PRNewswire/ -- The low installed base of pay TV, fixed and mobile broadband as well as value-added services is translating into immense growth potential for telecommunications service providers in Brazil. Increasing investments in fiber-optics and mobile broadband network expansion is generating higher bandwidth and opening up possibilities for new applications, widening market scope. The reducing costs of deployment and, consequently, the availability of cost-effective services is also boosting telecommunications uptake, particularly among lower income consumers.

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Carina Goncalves, Telecom Research Analyst - Latin America, Frost & Sullivan (PRNewsFoto/Frost & Sullivan)

Photo - http://photos.prnewswire.com/prnh/20141103/156122

New analysis from Frost & Sullivan, Analysis of the Brazilian Total Telecommunications Services Market, finds that the market earned revenues of $62.3 billion in 2013 and estimates this to reach $75.5 billion in 2019 at a compound annual growth rate of 3.3 percent.

If you are interested in more information on this study, please send an e-mail to Francesca Valente, Corporate Communications, at francesca.valente@frost.com.

"Strategies combining lower-priced offerings aimed at less penetrated segments and premium offerings to raise average revenue per user are strengthening revenue generation," said Frost & Sullivan Information and Communication Technologies Research Analyst Carina Goncalves. "In this sense, applications and value-added products are used as loyalty tools to fortify customer relationships."

The rise of small cable TV associations and Internet service providers is intensifying competition in the Brazilian total telecom services space, leading to price cuts and attracting consumers. The use of over-the-top (OTT) services too is stimulating the price re-positioning of traditional services, thereby encouraging sales.

Telecommunications operators are also investing hugely in their own video on demand and OTT platforms to combat the threat of OTT service providers, thus curbing efficiency. Within this context, OTT services and Internet neutrality are burning issues expected to be extensively discussed in the coming years.

"With regulation imbalance for smaller operators and high tax burdens adding to the challenge, the Government and ANATEL – the country's telecommunications regulator – have an important role in improving the National Broadband Plan," reflected Goncalves. "The regulator will look to promote infrastructure sharing and normalize tariffs to foster growth and competition in the dynamic Brazilian market."

Analysis of the Brazilian Total Telecommunications Services Market is part of the Telecom Services (http://www.ipcommunications.frost.com) Growth Partnership Service program. Frost & Sullivan's related studies include: Latin American Mobile Services Markets Outlook, Latin America Pay TV Services Markets, Latin American Fixed Broadband Services Markets, and Latin American Mobile Enterprise Services Market. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us:     Start the discussion

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Analysis of the Brazilian Total Telecommunications Services Market
NDF4-63

Contact:
Francesca Valente
Corporate Communications – Latin America
P: +54-11-4777-5300
F: +54-11-4777-5300
E: francesca.valente@frost.com

http://www.frost.com

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