LatAm June 2016 | Page 18

LatAm1806v6_latam 19/06/2016 11:50 Page 9 Pay-TV, broadband boost Brazil telco market he higher adoption of pay-TV and broadband services, provision of multiple-play bundles and value-added services (VAS), and investments to expand fibre-optic networks and mobile broadband networks have given a huge boost to the Brazilian telecommunications market. The wider range of innovative technologies, reduced network deployment costs and prices of entry products will especially aid the deeper penetration of telecommunications products in the lower income segments and underserved cities, according to consultancy firm Frost & Sullivan. There is a fresh market for novel business models such as OTT video services, business and home applications of broadband services, and machine to machine (M2M) and payment applications in mobile networks. In effect, operators are offering a combination of low-priced services for the untapped segments, and premium solutions for increasing the average T revenue per user. “The deployment of 3G, Long-Term Evolution and fibre-optics networks make available higher bandwidth and throughput, and open up markets for additional applications and services in the consumer and business segments,” said Frost & Sullivan digital transformation industry analyst Carina Gonçalves. “Besides, 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.” On the flip side, the intense competition could diminish margins, as can the revised tariff regulations on the prices of traditional telecommunications services such as voice “Untapped markets such as pay-TV and broadband could also witness heated competition.” https://www.youtube.c om/watch?v=VGOIGz1l tyoHBO Now eyes Brazil, Argentina launches HBO plans to expand its online streaming service, HBO Now, to Argentina and Brazil this year, extending a global push to reach new viewers who pay for broadband but not TV. Brazil is already HBO’s biggest Latin American market, HBO CEO Richard Plepler said. “You’re just adding to the opportunity for the consumer to have a way to get HBO,” he commented. “When we looked at Brazil we saw a huge opportunity there, a huge opportunity with our 18 LATAM Briefing current partners there. Same in Argentina.” HBO Now is currently available in nine countries worldwide, including the US, Mexico, and throughout Scandinavia. Netflix, by contrast, is now available in over 190 countries, and every major market except China. Rovi, Revista Eletrônica enhance discovery Personalised content discovery specialist Rovi has formed a strategic alliance with leading Brazilian metadata provider, Revista Eletrônica, to offer an advanced metadata and basic connectivity. Furthermore, the high taxes on telecom services and spectrum, and costs limitations on broadband services can constrict the profits of operators. The Government and the national telecommunications regulator, Anatel, play important roles in implementing and revising the National Broadband Plan and improving regulation policies as well as aggregating operators’ interactions and contributions. In order to stimulate broadband and connectivity services growth, the regulator must encourage infrastructure sharing, since there is not enough space for new transmission structures, especially in the metropolitan areas. In the current scenario, telecommunications operators are investing heavily in the deployment of their own networks, which limits their ability to slash prices as their investment plans restrict profitability. “All fixe