This document provides an overview of opportunities in the Latin American communications market. It discusses factors that make Latin America an attractive region such as low competition, cultural affinity across countries, and high mobile phone usage. Several countries in Latin America are growing rapidly at 7% per year or more. Major technology companies are reporting significant revenue growth in Latin America outperforming their global growth. The document also notes considerations for entering the Latin American market such as approaches that may work best for individual countries. It highlights some of the main carriers and trends in the mobile market like price sensitivity among users.

1. LatinComm Expo
Opening
Latin America Communications Market 101
Estuardo Robles
Las Vegas
August 27, 2013
tatarobles@americasitforum.com

2. Latin America
Setting a good Example, finally!
Antes América Latina era el
problema y hoy es parte de la
solución"
Felipe Larraín, Chilean Minister of Treasury (Hacienda)
Source: America Economia

3. Entering Latam
• Latam: The perfect storm, combines everything:
– Low competition,
– Easy(ier) to localize
• Same alphabet!
• One language hits many markets
– Cultural affinity
– Multiple countries – small & large
• Replicate your success easily
• Apply lessons to US Hispanic Market

4. Latin America
Curious Facts
• Latin America: 560 Million person market (190M Brazilians 370M Latins)
• Combined GDP exceeds $5 Trillion
• Recently Brazil, Peru, DR, Panama, Costa Rica growing at 7% per year
• Brazil passed Italy in 2011 to #7, passed UK in 2012 to #6 World Economy
• Democratic-Forward thinking: most female presidents of any region
• Highest mobile density, highest urban density of developing World
• Mexico City and Sao Paulo still the 1st and 2nd largest cities in the World
• Strongest Users of Social Media
Hours Rank
Argentina 10.2
1
Russia 6.6
2
Brazil 6.3
3
UK 4.7
6
US 4.2
9
World 3.7
ComScore and icanmakeitbetter research
3X usage of:

5. Latin America
Corporate Profits matching up to GDP Growth
GDP GROWTH OF REGION VERSUS CORPORATE PROFITABILITY
Approximate GDP Growth
Of Latin American Countries
in the past 2-3 years
Recent Announcements by Leading IT Firms regarding their
actual and/or projected revenue GROWTH for Latin America:
Brazil 5-6%
Peru 6-9% (7.5% 2011)
Chile 6-7%
Panama 7-8%
Costa Rica 4%
Dominican Republic 7-8%
Mexico -6% - 5%
Argentina 6-9%
Latam Whole: 4.5% in 2010
Polycom 30% Growth 2011
EMC’s “fastest growing region” 2010 28% expect 25% in 2011
Adobe- 30% growth on average last 3 years
Riverbed 200% in Colombia after opening office in 2010.
CA (Computer Associates) 2010 – 80% (compared to 5% global)
VMware – 85% growth last 3 years, expect 300% 2011-12
F5 Networks– 50% growth 2011 (85% from NEW clients.
in the US, 95% of F5 revenue came from existing clients)
Dimension Data (from South Africa) – 40% growth in Brazil 2010
Multinational Companies starting to report LATAM as its own region

6. The Rise of the Multilatinas
Latin American Home-grown Multinational Corporations
Multilatinas started in
Chile but have gone
mainstream.

7. And the result…
Corporate sector, now startups?

8. LatinComm Miami Speakers

9. LatinComm Vegas Speakers
Thank you!
TFG Associates, Inc.

10. Latin America: Approaching the Region
One size fits all… yeah, no, sort of…
COUNTRY
Mexico sales
in Monterrey
1/12 of World’s
population.
Costa Rica for
Central America
Regional
Panama
Bogota for
North Andes
Santiago for
Andean
Sao Paulo for
Brazil
Uruguay for
Mercosur
Guatemala
Argentina
Bolivia
Brazil
Chile
Colombia
Costa Rica
Cuba
D. Republic
Ecuador
El Salvador
Honduras
Mexico
Nicaragua
Panama
Paraguay
Peru
Puerto Rico
Uruguay
Venezuela
Total
POPULATION
13,776,517
40,134,425
10,907,778
192,272,890
17,063,000
45,393,050
4,253,897
11,236,444
8,562,541
13,625,000
6,134,000
7,810,848
111,211,789
5,891,199
3,322,576
6,349,000
29,461,933
3,967,179
3,494,382
26,814,843
561,183,291

11. Main Carriers
Approaching the Region

12. Understanding the Latam Mobile User:
= PRICE!
Key Moments:
- Incoming calls
- # Portability
- Unlimited Plans
- $100 Android

13. Red Ocean vs Blue Ocean
Not for long…
• Still opportunities in the region, but gap is closing

14. Further Reading:
For Business, IT, Telecom, Mobile