Growth inhibitors and growth drivers
in Latin America’s Broadband market
Broadband penetration
Estimated fixed broadband
penetration in LAC was 8.4% at end-2012, slightly below the world average of
9.2% but ahead of other developing regions such as South Asia and Africa.
Nevertheless, Latin America has a long way to go before it can catch up with
North America and Western Europe, where broadband penetration is over 30%.
There also exist wide differences
between countries within the region itself. While some – St Kitts & Nevis,
Barbados, Trinidad & Tobago, Uruguay, Chile, Argentina, and Mexico – have
fixed broadband penetration ranging between 11% and 30%, others – like Haiti,
Paraguay, Nicaragua – have barely 1% or 2% penetration rates. Generally, higher
broadband penetration can be found in the Southern Cone countries and some of
the wealthier Caribbean islands, while the lower rates are prevalent in Central
America and in the poorer countries on the northwest coast and interior of
South America.
To check out the table of contents,
visit: http://www.marketresearchreports.biz/analysis-details/latin-america-broadband-and-internet-market
Growth inhibitors
Hurdles in the Latin American
broadband market include:
- weak competition and insufficient bandwidth (hence, expensive and/or slow services);
- inadequate fixed-line infrastructure (hence, service unavailability in many areas);
- low PC penetration, poverty, and unequal income distribution (hence, limited demand).
All of Latin America suffers from
insufficient international connectivity, both between countries and with the
rest of the world, as submarine cables are inadequate to meet the escalating
need for bandwidth. This has pushed up broadband prices. In Bolivia, the most
expensive country for broadband, 1Mb/s connection costs a staggering 55% of GDP
per capita.
Growth drivers
On the positive side, bandwidth has
been increasing in most countries, leading to higher speeds and lower prices,
while governments seek regulatory measures to promote competition. An important
development for Latin America as a whole is the construction of a new submarine
cable network – the Atlantic Cable System (ACSea) – which is being developed by
Brazil to link with the USA, Europe, Africa, and several other Latin American
countries. When completed, the 24,000km ACSea submarine cable will
substantially increase bandwidth and reduce prices for broadband in the region.
Substantial investments and
regulatory reforms are being implemented in preparation for the 2014 FIFA World
Cup and 2016 Olympic Games being held in Brazil. These should have a positive
effect on the broadband market so that we expect to see robust broadband growth
in the forthcoming years.
To Buy The Copy of This Report
Visit: http://www.marketresearchreports.biz/analysis/170115
One of the region’s main growth
drivers for both fixed and mobile broadband is social networking. Seven Latin
American countries are among the world’s top thirty in terms of Facebook users.
Brazil has the highest number of active users in the region, while Chile has
the highest ratio of users per capita. With penetration upward of 52%, more
than one out of every two Chileans is, in fact, an active Facebook user.
National broadband plans
Most nations in Latin America have
adopted some form of national broadband plan, as governments begin to realise
the strategic importance of high-speed internet for GDP growth and
socioeconomic development. Countries involved in plans to expand broadband
access include Argentina, Brazil, Chile, Colombia, Costa Rica, Ecuador, and
Uruguay.
About Us
MarketResearchReports.Biz is the most comprehensive collection of market research reports. MarketResearchReports.Biz services are especially designed to save time and money of our clients. We are a one stop solution for all your research needs, our main offerings are syndicated research reports, custom research, subscription access and consulting services. We serve all sizes and types of companies spanning across various industries.
Contact
M/s Sheela
90 Sate Street, Suite 700
Albany, NY 12207
Tel: +1-518-618-1030
USA – Canada Toll Free: 866-997-4948
Email: sales@marketresearchreports.biz
Website: http://www.marketresearchreports.biz/
No comments:
Post a Comment