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Report: Future of Latin American mobile networks is cloudy, says 5G Americas

No country in Latin America has reached the 1300 MHz recommended by the International Telecommunications Union for mobile networks in 2015.
By

Published onApril 21, 2016

Mexico City

5G Americas, the industry trade organization advocating for the continued advancement of mobile networks in precipitation of 5G networks, has determined that no country in Latin America has reached the 1300 MHz recommended by the International Telecommunications Union for 2015. In fact, no Latin country has even reached half of this figure. This means that the development of mobile networks in the areas looks like it’s going to be pretty rocky for the near future.

José Otero, the Director of 5G Americas for Latin America and the Caribbean, explained this in depth (emphasis ours):

The lack of sufficient spectrum for the development of mobile services has a negative impact on both consumers, who are deprived of innovative services with optimum performance, and the telecommunications industry, whose growth potential is limited, Spectrum frequencies are necessary for technological development to materialize in the way of services that benefit society by meeting the growing need for broadband, a key element in the economic progress of communities Latin American regulators must continue to be diligent in understanding the importance for their citizens of making more spectrum available in the market with the purpose of promoting economic growth and global connectivity in their countries.

Otero went on to explain that many governments were in fact stepping up their efforts after realizing that mobile networks are proving to be key components in a nation’s economic well being, much like water, sewage, and roads proved to be necessary for forward progress throughout history.

What are your thoughts regarding Latin America’s lagging mobile network capabilities? Will this lead to these countries being late to the game once 5G hits the developed world, or will this push for increased work on mobile infrastructure see Latin America pulling itself up in time? Let us know your perspective in the comments.

[Press]Radio Spectrum in Latin America, Far From Ideally Allocated

The lack of sufficient spectrum for the development of wireless services bears negative consequences for consumers and limits the growth potential of the telecommunications industry.

BUENOS AIRES, 19 April, 2016 – None of the Latin American countries have reached 50% of the 1300 MHz suggested by the International Telecommunications Union (ITU) for 2015 in its ITU-R M.2078 report. This report establishes the spectrum allocation requirements for IMT-2000 and IMT-Advanced technologies, commonly referred to as 3G and 4G, to work efficiently. These requirements are reflected in 5G Americas’ recently published white paper “Analysis of ITU Spectrum Recommendations in the Latin American Region”

According to the white paper, only four countries in the region have allocated over 30% of the ITU’s suggestion for 2015: Argentina (31%), Brazil (41.7%), Chile (35.8%) and Nicaragua (32.3%), with all four having allocated the 700 MHz band. Furthermore, three markets stand below the 20% spectrum target suggested: El Salvador (16%), Guatemala (16.2%) and Panama (16.9%). These countries are yet to announce a date for their next spectrum licensing process. The remaining Latin American countries lie below the 30% compliance level but over 20%.

“The lack of sufficient spectrum for the development of mobile services has a negative impact on both consumers, who are deprived of innovative services with optimum performance, and the telecommunications industry, whose growth potential is limited,” explained José Otero, Director of 5G Americas for Latin America and the Caribbean. “Spectrum frequencies are necessary for technological development to materialize in the way of services that benefit society by meeting the growing need for broadband, a key element in the economic progress of communities. This document reveals that more internationally harmonized spectrum is needed throughout the region.”   

The ITU is not alone in having identified the need for more spectrum allocations. Among others, a 2007 study conducted by the Next Generation Mobile Networks (NGMN) Alliance establishes that the net spectrum requirements would range from 500 MHz to 1 GHz by 2020, depending on the world region. In addition, the 2010 National Broadband Plan developed by the United States Federal Communications Commission (FCC) requested that 500 MHz of spectrum be allocated by 2020.

Listed significant conclusions from the white paper:

The white paper reflects on the efficient performance of mobile networks especially in densely populated urban areas. These areas experience spectrum constraints which are aggravated by other restrictions such as difficulties in installing new infrastructure or deploying new technologies.

The white paper touches upon the spectrum allocation in the Latin Americas. It explains how spectrum availability is equally important in rural and remote areas. The wireline telecommunication infrastructure is lacking and inadequate for coverage resulting in making wireless technologies the only feasible alternative for providing connectivity.

It is extremely important for the countries in the Americas to work jointly toward a harmonized spectrum plan for the region aimed at benefiting from economies of scale, encompassing the entire ecosystem of chipsets, devices and infrastructure, as well as LTE mobile broadband roaming.

“Latin American regulators must continue to be diligent in understanding the importance for their citizens of making more spectrum available in the market with the purpose of promoting economic growth and global connectivity in their countries. Fortunately, some governments are already stepping up their efforts in this connection for they have realized that spectrum is a key ingredient to societies’ development and progress, in much the same ways as water, sewage and roads were in the past,” concluded Otero.

For more information, you may download 5G Americas’ white paper “Analysis of ITU Spectrum Recommendations in the Latin American Region” here.

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About 5G Americas: The Voice of 5G and LTE for the Americas

5G Americas is an industry trade organization composed of leading telecommunications service providers and manufacturers. The organization’s mission is to advocate for and foster the advancement and full capabilities of LTE wireless technology and its evolution beyond to 5G, throughout the ecosystem’s networks, services, applications and wirelessly connected devices in the Americas. 5G Americas is invested in developing a connected wireless community while leading 5G development for all the Americas. 5G Americas is headquartered in Bellevue, Washington and officially announced the change of the organization’s name from 4G Americas on February 12, 2016. More information is available at www.5gamericas.org. Follow our news on Twitter at @5GAmericas and Facebook at www.facebook.com/5gamericas.

5G Americas’ Board of Governors members include: América Móvil, AT&T, Cable & Wireless, Cisco, CommScope, Entel, Ericsson, Hewlett Packard Enterprise (HPE), Intel, Mitel, Nokia, Qualcomm, Sprint, T-Mobile US, Inc. and Telefónica.[/press]

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