Brazilian pay-TV penetration nears 20%

Juan Pablo Conti ©RapidTVNews | 29-10-2011

With September adding another 260,000 subscribers to the 11.6 million that existed a month earlier, pay television in Brazil is about to become a reality for 20% of the population.
While in certain regions of the country that threshold has already been comfortably passed – such as in the Federal District (with 36.8%), Sao Paulo (35.8%) or Rio de Janeiro (31.1%) – the fact that in many other areas less than 10% of homes are subscribed to a multichannel service means that the national average penetration rate now stands at 19.8%.
Should the growth pace that the industry has been enjoying over the past few years continue, the 20% milestone will be officially reached when Brazil's National Telecommunications Agency (Anatel) publishes its next report in one month's time showing figures for October 2011.
During September 2011, pay-TV grew by just over 2% compared with August 2011 – accumulating 22% growth since the beginning of the year.
This is in line with forecasts by Rapid TV News that the Brazilian pay-TV market is on its way to matching the record 30% growth rate that it experienced in 2010.
Meanwhile, satellite television, which back in August was able to dethrone cable as the main distribution platform for the delivery of pay-TV content in Brazil, has now begun to widen that gap.

Compared with rival MSOs, during September DTH operators saw their customer bases expand by a four-times-greater rate: 3.6% growth for the DTH sector (which extended its dominance to nearly 53% of the market) versus just 0.8% for the cable sector, which continues to lose ground and now controls 45% of the market.