Overview:
The Brazilian regulator and government launched several initiatives to promote the expansion of broadband access in 2009. The three main initiatives were the proposal of a National Broadband Plan, Anatel’s approval of the provision of broadband over power line communications (PLC), and the Popular Broadband Programme in Sao Paulo state. Other local and regional programmes providing Internet access in public institutions such as schools and libraries have also been put in place. This is a very important move considering the low penetration of broadband in Brazil (5.6% as of the second quarter of 2009) in comparison with other South and Central American countries such as Chile (9.0%) and Mexico (8.1%), and the economic growth that increased broadband penetration can bring.
Meanwhile, the fast-growing Brazilian mobile market saw the launch of consultations concerning mobile virtual network operators (MVNOs) and new spectrum allocation. To complement these actions, Brazilian regulators and the government should finally hold the WiMAX auction which has been promised but on hold since 2006. This could stimulate competition in the mobile market and also help the expansion of broadband access.
Other relevant regulatory developments that should contribute to the increase in fixed-line penetration and broadband infrastructure are the proposals for reviewing universal service obligations (USOs) for localities with less than 100 inhabitants, and a review of the universal service targets for the 2011–15 period, both presented by Anatel.
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