Brazil is home to more than one third of all mobile users in Latin America and the Caribbean. Mobile penetration is approaching 140% and still growing steadily.
The four major mobile companies Vivo, Claro, TIM Brasil, and Oi have secured spectrum in the 2.5GHz band for LTE services, and are rolling out networks at a considerable pace in an effort to gain subscribers and secure revenue from mobile data services. The government is keen for Brazil to have wider LTE footprint in place in time for the 2016 Olympic Games, which are being held in Brazil. Claro was the first of the mobile operators to launch commercial LTE services, starting with Recife, the capital of Pernambuco, where the network went live in December 2012.
The Brazilian government sanctioned the use of the 700MHz band previously allocated to TV broadcasters for mobile broadband services, and the regulator (Anatel) auctioned spectrum in this band in late 2014, though the spectrum will not be fully released by broadcasters until 2016.
Although the price of smartphones in Brazil is comparatively high for the country's socioeconomic environment, there is a strong domestic production of devices, and smartphone penetration is growing rapidly. Sales have been strengthened since 2013 following tax breaks introduced by the government at the start of the year, which have helped lower the average selling price.
M-commerce remains low, in terms of transactions, but the country is an m-commerce pioneer in the region, and a number of initiatives between mobile network operators, banks and credit card companies have targeted the large number of people without bank accounts. This has stimulated the sector, which stands to show strong growth in coming years.
This report provides an overview of the mobile voice and data market, providing a range of statistics and analysis, as also scenario forecasts to 2020.
New Antenna Law aimed at extending network footprints and improving mobile services; LTE subscriber base grows 400% in 2014; auction for the 700MHz band spectrum leaves two blocks unsold; Ministry of Communications approves projects worth BRL450 million to deliver LTE-450 to municipalities in 14 states; TIM Brazil sells its tower infrastructure; Nextel Brazil launches LTE services; Oi and Banco do Brazil launch an NFC-based m-payment platform; regulator proposes assigning unallocated portions of spectrum in the 2.5GHz to 2.69GHz band to smaller ISPs; MNOs sign 3G network sharing agreements; Brazil achieves 100% mobile coverage of all municipalities; multiple SIM card use raises penetration level though many yet to subscribe to mobile services; significant rollout obligations attached to LTE licences; report update includes regulator's market data updates to April 2015; recent market developments.
Companies mentioned in this report:
Telefônica Brasil/Vivo, TIM Brasil, Claro, Oi, Nextel Brasil, Algar/CTBC Telecom; Sercomtel Celular.