Mobile broadband: an excellent opportunity to achieve connectivity

There is no question about the advantages of mobile telephony, for both individuals and national economies.

With more than 3.5 billion users in the world (60 percent penetration) and 400 million users in Latin America and the Caribbean (75 percent penetration), it is by far the technology that most contributes to connectivity among people.

In the most established markets of Latin America, the penetration rate is approaching or exceeds 90 percent in some cases, and even surpasses 100 percent, as in the case of Argentina.

Consequently, now that the demand has been largely met for basic mobile services, such as voice and text messaging, there is a move toward offering more advanced mobile services, especially mobile broadband.

The speed at which HSPA networks, which provide high-speed mobile broadband transmission, have been deployed is remarkable.

In the 17 months between the launching of the first HSPA network in the region, in December 2006, to last month, 27 such networks have been commercially launched in the Latin American and Caribbean region. This is three times faster than when the first GSM networks were launched. And it should be noted that GSM networks are the most prevalent among the mobile technologies.

Operators with a full year of experience with HSPA networks in the region have reported a seven- or eightfold increase in data traffic during that period.

All of this demonstrates the great interest of users in broadband mobility.

According to global projections to the year 2010, the number of mobile broadband subscribers will surpass that of fixed broadband subscribers and, thereafter, the trend toward mobile broadband will continue to grow.

However, the demand for these services can be curbed by a major obstacle in our region: the limited frequency spectrum available, given that these matters are related.

The frequency spectrum is the air that mobile networks breathe. In particular, the services provided by mobile broadband make especially high demands on the spectrum: video on demand, mobile TV, downloads of any type (music, games, movies, etc.).

There are therefore important opportunities and challenges to be addressed.

The opportunity, on the one hand, consists in promoting in our countries connection of the public as a whole to these technologies. This will have a positive impact on economic development and increase the quality of life, taking into account that the current technology is optimal and that important economies of scale have been developed—an essential factor in lowering the costs of access to technology.

On the other hand, there is a challenge: to move swiftly in the spectrum assignment processes so that the mobile broadband supply is sufficient to meet the explosive demand that is becoming apparent.

In summary:  Economic and social development requires greater levels of connectivity in the region.  Mobile broadband is an efficient choice in terms of both cost and implementation speed.  There is a need to move quickly in spectrum assignment planning and processes.

It seems obvious that there is a great interest in mobile broadband in our region and that this can result in significant advantages for the populations and the economies of countries. Nonetheless, it is essential for all key actors to take measures to make these technologies available to the population.

Alexis Arancibia
Market Intelligence & Technical Manager
GSM Latin America Association