Brazilian telecom providers invested $11.81 billion in 2011


Brazilian telecom services providers, including mobile, fixed, broadband and pay-TV, invested a total of U.S.$11.81 billion (R$21.7 billion) during 2011, according to the Brazilian Association of Telecommunications (Telebrasil). The amount includes network expansion, coverage increases and service quality improvements, among other investments.

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Telecom providers have reached a total of U.S.$109.46 billion (R$201 billion) in gross operating revenues or 4.9% of Brazilian GDP. The 2011 amount is 10% higher compared to U.S.$99.12 billion (R$182 billion) from 2010.

The sector has also created 19.3% more jobs in 2011. The labor force in the telecom industry totaled 469,500 people last year, higher than 425,700 at the end of 2010.

Telebrasil noted that as a result of these investments, there was an  increase of 17.2% in overall telecom services, taking all models into account. Broadband Internet services grew 68% in 2011, providing a total of 58 million accounts, of which 23.3 million were activated last year.

Telebrasil also noted that broadband coverage has increased as well, with 3G access doubling its range in 2011 and reaching 2,650 municipalities in December. Fixed broadband is currently offered in all Brazilian cities.

The total investment in 2011, noted Telebrasil, is the second largest in the history of the industry, ranking only behind investments made 2001 when carriers had to meet targets for the country’s efforts to universalize telecommunication services. Telebrasil has measured telecom industry performance ever since telecom privatization in 1998. Since then, the private sector has invested U.S.$139 billion (R$255 billion), including payment for the provision of grant services.

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