North and Latin America Broadband Tariffs

London 28th April 2014- According to Quantum-Web, the broadband pricing in North and Latin America countries shows a slight decline compared to the previous quarter. The average monthly price of fixed broadband tariffs stood at €31.35 (Figure 1) while that of mobile broadband was €19.75 (Figure 2). In terms of cost per GB the average fixed broadband prices was at €1.25 GB.

Figure 1- Average fixed broadband tariffs in North and Latin America (€)

The majority of operators in the region left their mobile and fixed broadband tariffs unchanged or made a small variation in either the prices or monthly data allowances with the exception of Arnet in Argentina where the incumbent increased the price of its xDSL tariffs coupled with a promotional campaign.

Monitoring the pricing strategy of the operators in the region suggests that operators, in order to increase the ARPU and loyalty of their customers, are focusing on a data sharing option on different wireless devices and bundling voice and data services. For instance, a big number of wireless operators are offering data sharing under the name of “Family” plan and out of 550 fixed broadband packages included in our monitoring services this quarter, 263 packages (approximately 48% of the total number of observed available broadband packages) were double and triple play.

The adoption of superfast fibre optic and LTE, especially among Latin America countries, had an important impact on the reduction of broadband prices in the region.

Fibre optic services are available in Barbados, Brazil, Canada, Chile, Jamaica, Panama, Paraguay, Uruguay and the USA.

LTE services were available in 16 countries namely Bolivia, Brazil, Canada, Colombia, Costa Rica, El Salvador, Guatemala, Haiti, Jamaica, Mexico, Nicaragua, Panama, Paraguay, Puerto Rico, Trinidad and Tobago and the USA.

The gap between fixed and wireless monthly broadband prices is explained by the amount of monthly data allowance. The majority of fixed broadband packages are data unlimited while those of mobile broadband have a 5GB monthly limit which also reflects the average cost of 1GB data on wireless and fixed broadband networks in the region.

To see more visit our website... DECLINE OF BROADBAND PRICES IN NORTH AND LATIN AMERICA IN FIRST QUARTER OF 2014

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