Ten Million By 2010: Cisco Broadband Barometer Tracks Growth in Brazil
April 14, 2006
By Terry Timm Moos, News@Cisco
At the Summit of the Americas five years ago, Daniel Scheinman, Cisco Systems senior vice president of corporate development, urged the delegates from Latin America to focus on the rollout of broadband Internet connectivity as a means for increasing productivity and decreasing the digital divides that exist within the hemisphere.
Today, countries understand that high-speed Internet access helps accelerate productivity, fuel economic growth and enable competition in world markets. Brazil has publicly announced its intention to have more than 10 million broadband connections by 2010.
How much progress has been made in broadband technology adoption, and what will drive growth during the next four years?
To find the answers, Cisco Systems launched the Barômetro Cisco de Banda Larga (Cisco Broadband Barometer) in Brazil. Sponsored by Cisco Systems, International Data Corporation Brazil (IDC) is analyzing the Brazilian broadband market and will issue "barometer studies" every three months. These indicators track the number of broadband Internet connections by geography, type, speed and user segments-from small businesses and large corporations to home usage. The measurements come from data gathered by IDC in interviews with Internet service providers (ISPs) in Brazil.
In Brazil's highly populated areas, people have access to computers and the Internet. Brazil had 3.6 million broadband connections, with a penetration of 1.9 % of the population, according to the first broadband barometer issued in December 2005. But, despite its leadership in many areas, Brazil has one of the lowest rates of broadband penetration not only in Latin America but worldwide, and the Brazilian government is committed to increasing it.
Government support is essential for broadband adoption
In Brazil, broadband is a key part of the long-term strategy for sustainable economic growth and productivity. Government has a vital role in the deployment of broadband, through its regulatory bodies, budgeting, and fiscal practices.
Rogerio Santanna, eGov COO of the Brazilian Government and board member of Brazil's Internet Committee, said, "Nationwide deployments of a broadband infrastructure across the three layers of government-federal, state, and municipal-will significantly improve the effectiveness and efficiency of public service delivery by 1.5 percent of GDP." If Brazil is using broadband to become more productive and competitive in the global market, it will positively impact the standard of living of the population.
Cisco drives broadband access goals
Cisco Systems is committed to supporting the broadband initiatives of the Brazilian government, providing both technology solutions and technical expertise. "Cisco proposed to the Brazilian government that the best way to lead this crusade for broadband is to set a goal for the next four years, and measure the development of broadband connections every three months," says Rafael Steinhauser, general manager of Cisco Brazil.
Broadband benefits education, health care, public safety…and more
Broadband infrastructure is critical to enable the growth of new advanced Internet applications. Its deployment is a key measure of success in the information economy and is crucial to the future growth of productivity. As John Chambers, Cisco CEO and president, has said, "The Internet exceeds the combined productivity of telephony, transportation and electricity." The benefits of broadband technology include:
Better Educated Communities: Broadband paves the way to better-educated communities by making education accessible to all. Learning no longer needs to be confined to a physical place or time, but can be a lifelong process, offering greater choices for personal development and career opportunities. Students also benefit from highly interactive, tightly integrated digital courseware.
Healthier Communities: Broadband promotes healthier communities by providing citizens and their care providers and payers, regardless of where they are located, with equal access to online health advice, information, and resources. Better, faster decisions allow for improved quality, safety, affordability, and accessibility of healthcare.
Safer Communities: Broadband provides local and regional public safety officials across jurisdictions and geographic borders with quick access to vital information. Officials use the Internet to react and respond more quickly to emergencies, and to collaborate on more preventive public safety goals for communities.
Citizen's Centric State: Broadband connects government agencies and organizations with its citizens and businesses to deliver efficient, effective, and transparent public services.
Competitive Businesses: Broadband enables businesses to make use of networked based solutions, such as e-commerce, CRM, ERP, and e-Learning, and stay on equal footing with the other global businesses.
Brazil thinking ahead and moving forward
The government of Brazil is thinking ahead, and part of the thinking is that broadband adoption is a necessity in a highly competitive global economy. As Brazil is able to increase productivity through widespread broadband adoption, this will be a key factor for success. Brazil will use broadband to work more closely with other nations on trade agreements and business initiatives. "The path that we take as a nation now will impact this country's economic development for many years to come," said Fabio Costa, IDC Brazil president.
The Broadband Barometer is an ongoing study, conducted by IDC Brazil and published by Cisco Systems, that measures adoption progress on a quarterly basis. Since 2003, Cisco Systems and IDC have also been tracking broadband growth in this same format in Chile. IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets.
Terry Timm Moos is a freelance journalist located in Seattle, WA.