Telefónica mitigates sharp cut in Brazilian pay-TV revenues
Juan Fernandez Gonzalez
| 23 February 2018

Through a strategy focused on fibre-to-the-home (FTTH), IPTV and increasing ARPU, Telefónica has kept a lid on what could have been substantial pay-TV losses in Brazil.

Despite seeing its pay-TV subs' base reduced by 7.3% in 2017, Telefónica registered a 2.7% drop in TV-related revenues in Brazil.

According to the telco's financial report, damages were controlled through increasing fibre, IP-based services - IPTV revenues grew by 64% throughout the year - and investments focused on improving the customer experience and optimise the business profitability.

"In spite of seeing a 7.3% drop in pay-TV accesses through the year, the company has increased its premium, high-value customers that have chosen IPTV, mostly thanks to fibre-to-the-home (FTTH) expansion to 32 new cities in 2017," pointed out the Brazilian unit of the telco.

Telefónica's fixed business in Brazil ended 2017 with 22.9 million accesses (down 2.1% year-on-year), but gre wits broadband customers' base by 1.9% annually to end with 7.4 million subscribers, 4.5 million of whom were already using FTTH.