I was fascinated to discover that Brazil currently has more
mobile internet users than fixed broadband users. Brazil’s economic growth has translated into
an improved telecommunications infrastructure which has aided internet
penetration growth. In addition consumers purchasing power has grown, further
enabling growth in internet and mobile technology usage. I have experienced this first hand, as most
of my family lives in Brazil. I have
witnessed the growth of mobile internet services, as providers are increasingly
offering a variety of different price points thus making their services more accessible to a larger customer base,
notably the rising lower middle class. Surprisingly though broadband in
the home is still not widespread
and is estimated to not even reach 50% of households by 2016. As a
result of the recent surge of internet users, internet capacity has been
significantly strained as the telecommunication agency has reported that in
2011 actual fixed broadband speeds averaged 10% of contracted terms. I
think it is crucial for the government to push for the expansion of broadband
as it provides new opportunities and growth for all social classes; however
they must also focus largely on data speeds and fulfill their contracted terms.
They have set a strict timeline of 2 years to up their average speed to 60% of
the terms. This is especially
important as this infrastructure will be tested with the two upcoming renown
events taking place in Brazil, namely 2014 World Cup and the 2016 Summer
Olympics. While this improves, mobile
internet is dominating with the below expected penetration figures:
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