MercoPress. South Atlantic News Agency

Argentina, Chile and Uruguay lead broadband use in South America

In Chile 31% of homes have broadband connections

A recent survey by the Cisco Latin America Broadband Barometer showed that Chile has the highest percentage of broadband Internet connections in South America. The study found that 9.7% of Chile’s population has access to broadband.

Chile is followed by Argentina (9.3%), Uruguay (8.5%) and Brazil (5.8%). Still, when compared with some European countries such as Germany -whose broadband penetration level is 29.9% - and Spain’s 20.3%, Chile is still far behind.

The results show that 31% of all homes in Chile have broadband connections, mostly wireless as opposed to dial-up. This number has grown by 12% since June 2008.

Most of the growth occurred in wireless home connections, with domestic connections now accounting for 85% of total broadband use in the country; 70% of connections have a downloading speed exceeding one megabyte per second (Mbps).

The main reasons for these developments are the increase of multi-service offers from Internet, cable and telephone -landline and cell phone- providers as well as the availability of prepaid broadband Internet. Because of the involvement of companies such as VTR and Nextel, two of the leading communication services providers in Chile, wireless Internet connections in Chile are up to 500,000 connections this year. They are estimated to reach one million by 2010.

According to the survey results, in August, 1 Mbps connections cost approximately 15,882 pesos (29.50 USD), 21% less than it cost in August 2008.

Because of decreases in computer prices in Chile, the price of broadband is expected to fall even further.

By Gida Homad-Hamam - Santiago Times