wiredinUSA September 2013

INDEX

MAKING THENEWS

Chile, Brazil and Argentina head telecoms investment table

According to data from the Ovum and AHCIET’s Observatory, investment in the Latin American telecoms industry grew significantly between 2008 and 2011, as countries acknowledged that growth in the sector can improve the economy. Chile experienced the highest investment in telecoms per capita in the region in 2011 with $69.83 per inhabitant, followed by Brazil ($63.36) and Argentina ($59.94). Countries with the highest absolute investment growth between 2008 and 2011 were Argentina (97 percent), Colombia (40 percent) and Chile (35 percent). “The increased contribution of telecoms to national economies is going some way to closing the digital divide,” said Matthew Howett, a principal analyst at Ovum.

economic growth in the region. Yet, regulators also play a key role in influencing and accelerating development in the sector, and as such, should be undertaking key reforms of the regulatory process.” AHCIET, the Ibero-American association of research centers and telecommunications firms, noted that Chile’s data is remarkable because of its small size relative to other markets in the region. “It is not coincidental that Chile boasts the lowest tax burden and, at the same, the highest investment per capita. There is a clear incentive for companies to invest what they don’t spend on tax on extending coverage and service penetration,” said Pablo Bello, AHCIET’s general secretary.

“Giving as many citizens as possible access to the Internet is crucial to ensuring future

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wiredInUSA - September 2013