Why this is important to Wisconsin businesses: Wisconsin companies with broadband technologies or products may have opportunities to work with the winning bidders in Brazil’s recent 5G auction.
Brazil’s 5G auction, held in November 2021, is expected to bring faster communication and enhanced business operation across the country, including remote areas in the Amazon region.
Under terms required by Anatel, Brazil’s National Telecommunications Agency, the high-speed technology will be available to residents of the country’s capital cities by July. Larger cities, such as São Paulo, already have access to the fifth-generation mobile spectrum.
The rollout will phase in over the next several years, starting with the large, urban areas and reaching cities with a population of at least 30,000 by July 31, 2028.
Broadband is expected to cover schools and highways across the country. The winning bidders also will have to provide wireless internet of at least 4G to nearly 10 million people in northern Brazil, including 500 villages in the vast Amazon region, where many still lack broadband access.
The 5G auction raised $8.5 billion USD, according to RCR Wireless News. Twenty percent of the funds will go to the government and 80% toward construction of the network improvements and expansion, the Associated Press said.
The impact of the COVID-19 pandemic highlighted the need and demand for digital services for both individuals and companies. For example, 70% of sugarcane production in Brazil is harvested by machines connected by the Internet of Things.
IDC Brasil has estimated that in 2021 and 2022, 5G would generate $2.7 billion USD in new business involving technologies such as artificial intelligence, virtual and augmented reality, cloud computing, security, automation and robotics.
Bain & Co. consultant group estimates that 5G will represent 81% of all mobile connections in Brazil by 2030. According to the Inter-American Development Bank, improved connectivity will lead to a 3.2% growth in Brazil’s gross domestic product.
Anatel has predicted that 5G will generate $30 billion USD for Brazil’s economy over the next 20 years.
"We are going to show the world that Brazil is within the digital economy and is pursuing digital transformation. Brazil will become an innovation hub," said Fábio Faria, Brazil’s communications minister, according to a ZDNet article. Faria said Brazil hopes to attract innovative companies from sectors such as technology with the introduction of 5G.
Wisconsin companies specializing in broadband technology may have opportunities for partnerships or as suppliers for the winning bidders of the 5G auction.