Brazil Wireless Subscribers Rise 19.2 Million To 65.6 Million In 2004

SAO PAULO -(Dow Jones)- Brazil's telecom regulator, known as Anatel, said Tuesday that the number of wireless subscribers in this South American nation rose to 65.6 million in 2004.

In a statement, Anatel said wireless companies added 4.4 million new subscribers in December and 19.2 million in 2004, setting fresh monthly and yearly records for new subscriptions. The total number of wireless accounts rose by a third over last year as companies added an average of 1.6 million new subcribers per month.

Pre-paid services grew fastest, rising 49% on the year as Brazilians opened 17.4 million such accounts in 2004. At the end of the year, 80.5% of all wireless accounts were pre-paid, up from 76.2% at the end of 2003.

The pace at which new subscribers opened wireless accounts rose by 67.3% in 2004, while the number of wireless accounts per 100 inhabitants rose 39.7% on the year to 36.63.

The capital city, Brasilia, had the highest penetration rate at the end of 2004, with 100.01 wireless accounts for every 100 inhabitants, up from 72.02 accounts a year earlier.

The lowest penetration rates occurred in the relatively poor region of Northeastern Brazil, where states like Maranhao had only 13.89 wireless accounts per 100 inhabitants. Elsewhere in the country, about a third to half of all residents had a wireless phone. The industrial hub of Sao Paulo was ranked sixth among Brazil's states, with 42.65 wireless accounts per 100 inhabitants.

In terms of technologies, 35.53% of all wireless accounts continued to use TDMA even as use of that format decreased. Another 34.18% of wireless services relied on GSM, while CDMA accounted for 29.67% of wireless accounts.

Brazil's largest wireless company is Vivo, a joint venture between Telefonica de Espana (TEF) and Portugal Telecom (PT). Other major providers include Claro, a unit of Mexico's America Movil (AMX), Oi, the wireless unit of domestic fixed-line operator Telemar (TNE), and TIM Brazil, owned by Telecom Italia Mobile SpA (TIM.MI).

-Andrea Welsh, Dow Jones Newswires; 5511.3145.1481; andrea.welsh@dowjones.com

(END) Dow Jones Newswires"

Posted to the site on 18th January 2005