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Brazil - Broadband Subscriber Base Expanding with Increasing Internet Penetration
Oct 14, 2008

The Brazilian broadband industry subscriber base is growing with rising accessibility of service, launch of new products and flexible regulations.

As per Cisco, the leading global vendor for network equipments and management solutions, the total broadband subscription in Brazil during the first half of 2008 rose 48% to 10 Million over the same period a year ago, as reported by

The broadband penetration in Brazil has reached 13% of the total homes in the country. Also, the number of fixed broadband and mobile broadband users surged 33.24% and 464% to 8.72 Million and 1.31 Million respectively in the first half of 2008. The total number of users in mid-western and northeastern regions of the country also jumped 8.2% and 6.4% respectively. Apart from this, household connections account for 87.5% of the total broadband connections in the country, while companies represent only 12.5%.

The basic reason for this strong rise in broadband users in Brazil is increasing access to high-speed mobile Internet services that are encouraging people to subscribe for the broadband connection. Besides, the rising PC sales in the country have greatly contributed in expanding the broadband subscription base.

Also, the wireless mesh network is extended in various areas of Brazil to improve the accessibility of broadband, enabling the industry to grow. The rules for adoption of mobile communications in Brazil are relatively stable that give an additional support to the Brazilian broadband industry. In addition, Brazil’s electronic market has seen the launch of new types of products that are blend of cell phones and laptops, such as PCD (Pocket Computing Devices) and MCD (Mobile Computing Devices). These products have also played a key role in the development of broadband industry.

Increasing penetration of broadband in Brazil is an important part of its long-term strategy to keep the economic growth on track and raise the production level. This plan will improve the living standard of people with increasing leadership of Brazil in terms of competition and production in the global broadband market.

A Senior Research Analyst at
RNCOS said, “With rising number of broadband users in the country on the back of availability of high-speed mobile Internet service and improved network infrastructure, the Brazilian broadband industry is experiencing rapid growth and is likely to grow with the same pace in coming years. Internet service providers will also leverage with this growth by expanding their subscriber base.”

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