Latino digi-TV to treble by 2014

Chris Forrester

A new study from Informa Telecoms suggests that Latin American digital TV ownership is likely to boom, trebling the number of connected homes over the next 5 years to 2014.

The study says that digital TV households will more than treble in that time – from 12.2 million at present to 37.1 million by 2014. The report states that while Brazil and Mexico now combine to account for half of the region’s digital subscribers, this will drop to 45% in 2014 – as other countries see their services start to take off.

Adam Thomas, author of the report, says: “While the global economic situation is bound to have some impact, Latin America’s economies now appear more robust than they were in the 1990s. We therefore see a positive outlook for the region’s TV sector. Major players such as Telmex and Telefonica continue to invest, which contributes to the upbeat sentiment.”

Consolidation in the satellite sector has also started to pay off for DirecTV and the renewed confidence in DTH is illustrated by new entrants looking for a piece of the market.

The battle for dominance of triple-play between Telefonica and Telmex is affecting all sectors of the broadcast market. According to Thomas: “The two giants are exploiting opportunities created by the lack of investment from pay TV’s incumbent players. They are investing heavily to increase their presence across several platforms, including satellite, cable and potentially IPTV.”