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October 25, 2019updated 29 Oct 2019 3:32pm

Fixed broadband boost is predicted for Brazil

By GlobalData Technology

A fixed broadband boost is on the way for Brazil. In June the Brazilian National Telecommunications Agency, Anatel passed its Structural Plan for Telecommunications Networks (PERT). The plan aims to expand broadband coverage across the country.

The intention is to coordinate both public and private initiatives, in order to widen the access to fibre transport and access networks. In cities where this is not possible the plan is to allow connections via satellite or other technologies. Moreover, the plan focuses on the implementation of necessary communications networks for public services.

Rapid growth is forecast

The number of fixed broadband access lines in Brazil will grow from an estimated 31.8 million in 2019 to 36.7 million by 2024. This will be achieved following the improvement in fixed broadband infrastructure as part of government’s PERT initiative. Operators’ investments in fibre to the x (FTTx) local loop expansions will be key enablers in the process. Fixed Broadband subscriptions are currently growing rapidly. This is because there is a rising demand for high-speed data services on fixed lines among residential and business customers in rural areas as well as the cities.

DSL will account for the largest share of total broadband lines estimated for 2019 with 36.8%, followed by cable (30.5%). Meanwhile, fibre will be the fastest growing broadband service segment over 2019-2024. Estimates suggest that it will account for 28.4% of total broadband subscriptions by year-end 2024. Non-business growth will be mainly supported by fibre to the home (FTTH) expansions by Vivo, Claro, and Oi.

A fixed broadband boost in Brazil is being driven by the government.