Brazilian WiMAX Equipment Market Worth $300
mill
PRWeb
April 11, 2006
The BWA/WiMAX equipment market
in Brazil should be worth US$300 million by 2010
Dublin, Ireland, -- Research and Markets has announced the addition of
BWA/WiMAX Brazilian Market Analysis to their offering.
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, 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.
We predict 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.
This research also reveals that Brazil remains a very price sensitive
market. Demand for broadband services is exploding, but both service
providers and residential end-users demand very low cost CPE (in the
$100 range) before they will fully adopt WiMAX. So far, the demand for
broadband wireless services has been mainly driven by high-end
corporate and government users.
"Other important obstacles for massive WiMAX adoption include a rather
restrictive regulation around mobility for WiMAX and the fact
important market players we interviewed said that they prefer to await
the mobile WiMAX version to become widely available before they commit
to large network deployments," Prado commented.
Summary
In 2005, the BWA equipment market opportunity was a mere US$6 million,
dominated by deployments of unlicensed 5.8 GHz equipment by WISPs and
corporate users. However, we believe that with the upcoming auction,
the certification of new equipment, and lower-cost equipment, the
annual 3.5 GHz equipment opportunity will increase from US$1 million
in 2005 to US$33 million in 2010. The 2.5 GHz market opportunity will
also become substantial, with shipments projected at US$31 million by
2010. Overall, the total accumulated equipment market for BWA/WiMAX in
Brazil should reach US$300 million by 2010, which makes Brazil a key
market for BWA/WiMAX vendors for years to come.
With regard to BWA/WiMAX, we project an accumulated 768,000
subscribers by 2010 among residential and business users. WiMAX
subscribers should represent two-thirds of this figure. Approximately
70% of the WiMAX subscribers will be mobile customers who are
predominately residential, while fixed WiMAX will continue to be
driven by large corporations followed by SME customers.
For more information visit
http://www.researchandmarkets.com/reports/c35218
Contact:
Laura Wood
Senior Manager
Research and Markets
Fax: +353 1 4100 980 |