Regulator Restrictions Hold Back Pay-TV Boom in Argentina, Finds Pyramid Research

PRNewswire
CAMBRIDGE, Mass.
Jan 19, 2010

Argentina's soaring mobile and pay-TV penetration, the country has not seen the same level of development in converged and bundled offers than in other markets in the region as regulators continue to block competition, according to the latest report from Pyramid Research (www.pyr.com), the telecom research arm of the Light Reading Communications Network (www.lightreading.com).

Argentina: Regulators Block Competition in Key Telecom Sectors offers a precise, incisive profile of the country's converged telecommunications, media, and technology sectors based on proprietary data from our research in the Argentinean market. This 30-page report provides detailed competitive analysis of both the fixed and mobile sectors, tracks the market shares of technologies and services, and monitors the introduction and spread of new technologies, such as WiMax, IPTV, and VoIP. It provides a comprehensive view of the Argentinean communications market by analyzing key trends, evaluating near-term opportunities, and assessing upcoming risks factors. Download an excerpt of this report here (http://www.pyr.com/downloads.htm?id=18&sc=PRN011910_CIRARGEN).

Mobile penetration in Argentina is estimated at 120 percent at year-end 2009, compared with 89 percent for the region as a whole, while its pay-TV penetration, at 64 percent of households, is among the highest in the world, notes Luis Portela, Analyst at Pyramid Research and co-author of the report.

"The number of double-play connections will continue to increase over the forecast period at a 3.2 percent CAGR through 2014, and triple-play connections will expand nine-fold over the same period," says Portela, "but the latter could expand even faster if telecom and cable companies manage to find an agreement with the regulator over pay-TV and voice service provision." Portela continues: "The high pay-TV penetration in Argentina would make it ripe for multiplay offerings, however, regulations preventing operators from offering IPTV and VoIP services mean that the Argentinean multiplay market is not as developed as it could be."

From a service revenue perspective, mobile broadband Internet access is one of the most promising. "Mobile operators are increasingly focusing on this application as the killer application for its 3G network, translating into an estimated 59 percent CAGR over the forecast period, to reach $343 million by 2014," says Portela. "With mobile operators competing for 3G value-added services, near-term mobile capex spending will be driven mainly by continuous network expansion, capacity increases and upgrades to new technologies, such as mobile broadband technologies (UMTS/HSPA). Also, if the regulator allows telecom companies to offer pay-TV services, opportunities in IPTV may arise with Telecom and Telefonica."

Argentina: Regulators Block Competition in Key Telecom Sectors is part of Pyramid Research's Latin America Country Intelligence Report Series. Pyramid Research's premium Country Intelligence Reports are the industry's best available analysis on market trends, regulatory environments, and competitive dynamics for 60 countries worldwide. It can be purchased online here (http://www.pyramidresearch.com/store/CIRARGENTINA.htm?sc=PRN011910_CIRARGEN) or through Amalia Vega via email at avega@pyr.com or telephone at +1 809 330 4520.

For more information about Pyramid Research's products and services, please visit www.pyr.com or contact us at info@pyr.com.

About Pyramid Research

Pyramid Research (www.pyr.com) offers practical solutions to the complex demands our clients face in the telecommunications, media and technology industries. Our analysis is uniquely positioned at the intersection of emerging markets, emerging technologies and emerging business models, powered by the bottom-up methodology of our market forecasts for over 100 countries - a distinction that has remained unmatched for more than 25 years. As the telecom research arm of the Light Reading Communications Network, Pyramid Research works with Heavy Reading, providing the communications industry's most comprehensive market data, trusted research and insightful technology analysis.

About Light Reading

Founded in 2000, Light Reading (www.lightreading.com) is the leading online media, research, and focused event company serving the $3 trillion worldwide communications market. Lightreading.com is the ultimate source for technology and financial analysis of the communications industry, leading the media sector in terms of traffic, content, and reputation. Light Reading's research arms, Heavy Reading and Pyramid Research, provide the most comprehensive communications research, market data, and technology analysis in close to 100 markets around the world. Light Reading produces nearly 20 targeted communications events including TelcoTV, Ethernet Expo New York and Ethernet Expo London, The Tower Summit @ CTIA, and Optical Expo, as well as focused one-day events tailored for cable, mobile, and wireline executives. Light Reading was acquired by United Business Media in August 2005 and operates as a unit of TechWeb.

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TechWeb (http://techweb.com/aboutus), the global leader in business technology media, is an innovative business focused on serving the needs of technology decision-makers and marketers worldwide. TechWeb produces the most respected and consumed media brands in the business technology market. Today, more than 13.3 million* business technology professionals actively engage in our communities created around our global face-to-face events, Interop, Web 2.0, Black Hat, and VoiceCon; online resources such as the TechWeb Network, Light Reading, Intelligent Enterprise, InformationWeek.com, bMighty.com, and The Financial Technology Network; and the market leading, award-winning InformationWeek, TechNet Magazine, MSDN Magazine, and Wall Street & Technology magazines. TechWeb also provides end-to-end services including next-generation performance marketing, integrated media, research, and analyst services. TechWeb is a division of United Business Media, a global provider of news distribution and specialist information services with a market capitalization of more than $2.5 billion.

*13.3 million business decision-makers: based on number of monthly connections

About United Business Media Limited

UBM (UBM.L) focuses on two principal activities: worldwide information distribution, targeting and monitoring; and, the development and monetization of B2B communities and markets. UBM's businesses inform markets and serve professional commercial communities - from doctors to game developers, from journalists to jewelry traders, from farmers to pharmacists - with integrated events, online, print and business information products. Our 6,500 staff in more than 30 countries are organized into specialist teams that serve these communities, bringing buyers and sellers together, helping them to do business and their markets to work effectively and efficiently. For more information, go to http://www.unitedbusinessmedia.com/.

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