Swedish Firms Eye Opportunities for Mobile Solutions

Swedish mobile solutions firms see potential for selling M-banking, SMS related services and other mobile solutions in Chile due to the country's high mobile penetration, according to an executive with Swedish telecoms industry organization TelecomCity.

Speaking during a recent Swedish trade mission to Chile, TelecomCity manager Richard Lidén said he expects five or six deals to be signed with Chilean partners ahead of a wireless conference TelecomCity is due to hold in August.

According to Chile's national statistics institute INE, Chile had a 78% mobile telephony penetration rate at the end of 2006, the highest in Latin America.

The executive added that 30 Chilean telecoms and IT companies had already expressed interest in working with Swedish firms.

The trade mission from Sweden visited capital Santiago and the location of a technology park in Valparaíso, and was also sponsored by Chile's investment promotion agency Corfo.

According to Lidén, while there is growing competition in the number of firms offering telecom or IT solutions in Chile, the number of products is still limited.

In Sweden, however, there is a high level of products available, from e-banking solutions, to SMS dentist reminders, the executive said.

Chile could provide growth potential particularly for some of the smaller Swedish companies that offer niche mobile solutions but have only limited market potential in Sweden.

Most of the Swedish companies are looking for a local partner to handle sales or outsourcing services. The partnerships would also create a window of opportunity for Chilean firms to bring homegrown products and services to Sweden.

TelecomCity mainly focuses on mobile solutions and includes several large companies, such as telecoms equipment provider Ericsson, but primarily represents smaller entrepreneurial mobile solutions firms."

Posted to the site on 30th April 2007