Maravedis predicts large expansion of WiMAX in Brazil by 2010

April 02, 2006

There will be 768,000 accumulated BWA/WIMAX subscribers in Brazil by 2010, of which two thirds will be WiMAX, according to the latest report from leading research firm Maravedis, titled “BWA/WiMAX Brazilian Market Analysis.” This new report, the first of a series that will include reports on Russia, India and other countries, provides an in-depth review of the broadband wireless and WiMAX markets and regulatory activity taking place in Brazil.

“Approximately 70% of those accumulated WiMAX subscribers will be residential mobile users, while fixed WiMAX will continue to be driven by large and SME customers,” explained Eduardo Prado and Adlane Fellah, co-authors of the report.

The Brazilian players are anxiously awaiting the new 3.5 GHz auction to start sometime in July 2006, before federal elections due in October 2006. Bidders will want either to expand their current coverage areas or to enter the WiMAX arena. Moreover, positive regulatory changes in the 2.5 GHz band will open the WiMAX market starting 2007.

Maravedis predicts that the most active players will be companies with deep pockets such as Telemar, Brazil Telecom, Embratel and Telefonica, who are thoroughly testing the technology and crafting their business plans.

“Overall, the total accumulated equipment market size for BWA/WiMAX in Brazil will represent a lucrative US$300 million by 2010, which makes Brazil a key market for BWA/WiMAX vendors for the years to come,” Fellah added.