Telecom revenue in Brazil revealed by Frost & Sullivan

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The revenue size of Brazil telecom services market will reach $70.03 billion in 2020 from $60.14 billion in 2015, said a research report.

A telecom research report from Frost & Sullivan says the adoption of pay TV and broadband services are the growth drivers for Brazil telecom market growth.

Telecom network operators in Brazil are making investments to expand fiber-optics networks and mobile broadband networks.

The investment and deployment of 3G, LTE and fiber-optics networks open up markets for additional applications and services in the consumer and business segments.

Innovative technologies, reduction in network deployment costs and dip in prices of entry products will aid the deeper penetration of telecommunications products in the lower income segments and underserved cities.

There is demand for business models such as over-the-top (OTT) video services, business and home applications of broadband services, and machine to machine (M2M) and payment applications in mobile networks. Telecoms offer a combination of low-priced services for the untapped segments, and premium solutions for increasing the average revenue per user (ARPU).

Frost & Sullivan Digital Transformation Industry Analyst Carina Gonçalves said: “With the rise of small cable TV associations and Internet service providers, untapped markets such as Pay TV and broadband could also witness heated competition.”

The telecom report said fixed operators in Brazil are increasing data capacity and expanding coverage of networks to boost customer experience. Gonçalves said OTT services and Internet neutrality will be important to the business plans of telecom service providers in Brazil.

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