Dataxis: Pay TV in LatAm grows at a vegetative pace but broadband does not stop growing

“Pay TV grows at a very slow rhythm, almost vegetative, whereas broadband has not stopped growing,” mentioned Carlos Blanco, Research Director for the Americas at Dataxis in the context of the webinar Comenzó la Diversificación de los OTT en América Latina.

According to Dataxis, in 2017, broadband had a penetration of 38.8% in homes in Latin America, whereas for 2013 participation will increase to 44.4%.

“Latin America presents a mature fixed broadband market and with good penetration of the ultra broadband options: a new focus to improve home connectivity,” adds Blanco in the ultra-broadband by Dataxis.

He mentioned that in mobiles, from the second quarter of 2018, the option of 4G already appears as the dominating technology and by 2019 the arrival of 5G is expected, resulting in mobile being positioned as support to distribute OTT.

Blanco said that OTT and SVOD grow under the command of Netflix.

The broad spread of connectivity and streaming turn OTT into something more individual. He revealed that at the end of 2018 there would be 28 million paid OTT accounts, whereas in 2023, they will reach 40 million.

“Although there is a emerging diversity of platforms, Netflix appears as the leading operator in the market, but towards 2023 their command will decline due to the multiplication of actors and the arrival of international competitors,” he points out.

Blanco highlighted that in Brazil the competition is complex because of the proliferation of add-on channel model. “It makes sense, because Brazil historically has low penetration of pay TV, but broadband is high, and that is why creative options are made,” he explains.