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Latin American Data Communications Services Market, 2012

  • January 2013
  • -
  • Frost & Sullivan
  • -
  • 129 pages

Summary

Table of Contents

This research service provides an analysis of the data communication services markets in Latin America, covering six main countries: Argentina, Brazil, Chile, Colombia, Mexico, and Venezuela. An analysis of the market size, drivers and restraints, market forecasts and competitive analysis can be found. The study examines the current structure of the industry, and analyzes competitive factors and the infrastructure of the main operators. The following technologies are examined in this research service: circuits, Virtual private networks Internet protocol multiprotocol label switching (VPN IP MPLS), private lines, very small aperture terminal (VSAT), dedicated IP, and international links.

Executive Summary
•Latin America data communications services are expected to grow at a compound annual growth rate (CAGR) ofX percent from 2011 to 2017, reaching $X million in 2017.
•The most important country markets in Latin America in terms of revenue are Brazil, with X percent of total, Mexico with X percent, Colombia with X percent, and Argentina with X percent.
•The most relevant drivers for this growth are the GDP growth in all economies from 2012 to 2017 and increasing demand for network services by local and multinational enterprises.
•However, the high penetration of data communications services in the large companies segment and price erosion of basic connectivity restrain the market.
•There are X data communications operators in the top six economies in Latin America.
•The top three groups, América Móvil, Oi and Telefónica S.A., account forX percent of the market in terms of revenue.
•Due to intrinsic needs like geographic presence and high business automation levels, large companies adopted the first data communications services in Latin America, reaching, in many markets, a determined level of saturation.
•The Corporate segment represented X percent of all revenue in 2011.
•On the other hand, the small and medium business (SMB) segment represents an important addressable market in the region, but it also has important challenges.
•Although less technologically developed, the SMB segment in Latin America is shifting toward modernization to gain efficiency. In this scenario, dedicated IP is proving to be an affordable option and an important tool for market expansion.
•Slowly and gradually, the Latin American market has been witnessing a technology substitution, with circuits being replaced mostly by IP MPLS, GPRS (in X.25 cases), among others.

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