Neomobile’s insight into the fast growing digital economy of LatAms leading country
The evolution of the emerging economies is the main driver of global growth: according to the International Monetary Fund the emerging markets are expected to grow two to three times faster than the developed ones in the next few years. This phenomenon, which is significantly altering the global economic and geopolitical landscape, has been defined some 13 years ago, when Jim O’Neill, British economist and retiring chairman of Goldman Sachs Asset Management, created the acronym BRIC in a paper entitled “Building Better Global Economic”, referring to Brazil, Russia, India and China. Furthermore, Goldman Sachs has argued that by 2050 their combined economies could eclipse the combined economies of the current richest countries of the world.
Let’s take a glance into the country behind the BRICs capital letter, and discover the mechanisms and drivers of its remarkable growth.
Brazil is the world’s sixth largest economy by nominal GDP, the largest one in LatAm and the second largest in the western hemisphere. It is also one of the largest IT markets within the emerging economies. IT end-user spending in Brazil is expected to grow to $134 billion in 2014, with the largest share on telecom devices (72% of the market), followed by IT services (13.3%) and computing hardware (11.9%).
One of the main factors of this growth is the rapid increase in the urban population and the creation of “new middle class”, with the high demands for connectivity and smart devices, even though the 14 % of smartphone penetration, according to Global Business Map for 2013 by Google, is a bit lower than the global average. As a consequence, the mobile internet consumption is still below the average but showing the significant growth potential. eMarketer estimates that the number of mobile Internet users will reach 96.4 million by 2016.
Mobile industry growth have a significant influence on social and economic development: the mobile device has become the key enabler not only for communication, but they also functions as service provider in different areas: transportation, banking, transactions, education and health. In the near future Brazil will face the events that will be the main drivers for positive development trends: the 2014 presidential elections and the FIFA World Cup, and the Summer Olympics in 2016. These events that will require an increased demand for data, offering new challenges and possibilities for both operators, content providers and App developers. Through mobile, in synergy with social media, Brazil will have the chance to boost its image globally.
This attracting and fast growing economy is a natural market for Neomobile’s business offer, present in this country since 2008. One of our key advantages is the ability to understand and adjust to the local market needs. Our digital products entertain millions of users every day, and our mobile payment service Onebip allows secure acquisition of digital goods throughout 70+ countries.
Neomobile takes active part in market developments and new initiatives, also by participating at most important industry events. One of them was the 12° edition of Tela Viva Movel in Sᾶo Paulo, two days of continuous updates about the most innovative mobile contents, music, games, videos, social networks, about mobile marketing and mobile advertising.
The event celebrates the mobility as the current frontier of communication. Revolutionary mobile devices integrate services and applications that enrich the experience for the end use, thus creating a new ecosystem in which Neomobile has an important role of linking the operators, developers, suppliers, advertisers and end users, innovative mobile contents, music, games, videos, social networks, about mobile marketing and mobile advertising.
Would you like to know more about Neomobile’s global offerings? Visit www.neomobile.com
Discover more interesting facts & figures about Brazil in our new infographic
IT end-user spending in Brazil is expected to grow to $134 billion in 2014 Tweet!
Mobile Internet users in Brazil will reach 96.4 million by 2016 Tweet!
Did you know that 33% of mobile users in Brazil use Android while only 11% use iOS? Tweet!
Special thanks to Maria Genovesi, our Marketing Specialist – Brazil, for her insightful info on Tela Viva Movel.
 2012 Country Commercial Guide for U.S. Companies http://www.buyusainfo.net/docs/x_5067387.pdf