The document provides an overview of mobile market opportunities in the Americas. It discusses trends in mobile markets across several countries in the region, including the dominance of mobile and internet usage in Silicon Valley. Specific mobile and technology sectors are analyzed for Brazil, Mexico, Colombia, and Chile, including statistics on internet penetration, mobile adoption, and the growth of cloud computing and social networking. The document aims to summarize key opportunities across the Americas region.

1. Mobile Market Opportunities
in Americas
Kimmo Aura, Regional
Sales Manager Americas

2. Agenda
• What’s hot, what’s not in Silicon Valley
• Internet, Mobile and Cloud in Brazil
• Mobile sector in Mexico
• Cloud in Colombia
• Social networking in Chile
• ICT in Argentina
• Summary
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3. Silicon Valley, Mobile Dominance
Source: Apple Source: Android
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4. Mobile OS Market Share – North America
Source: StatCounter
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5. Who let the dogs out?
• The mobile ecosystem is in the turmoil – there is a huge
fragmentation both in the platforms and in the
distribution (of apps and content).
• First came iPhone. Then app stores (started with
Apple/iTunes) changed the mobile landscape - it’s
about the service, applications, user experience and UI.
• Google driving Android with multiple phone vendors has
changed the mobile ecosystem even more.
• Operators are back in business.
• Add ‘Social’ to the mix.
• And then add ‘Cloud’ to the mix.
• And then add ‘Tablet’ to the mix.
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6. What’s driving us?
• Re-invention of Media: ‘Participatory & Social Media” – e.g. Gaming
• GAMIFICATION
• Media as interactive experience vs. packaged, static ‘content’ (GuitarHero)
• Formalization of key human behaviors & addictions
• Alternative Biz models: freemium, free-to-play + microtransactions, virtual currencies
• User-interface breakthroughs Tim Chang, NVP
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7. Overall situation in US Cloud Industry
• Mature technical infrastructure available
• Several dominant players (Amazon, Force.com,
Google)
• Cloud computing is a normal practice to implement
www-solutions, especially in web2.0
• Lot of cloud-related start-ups
• Emphasis on supporting and using the cloud, not
on cloud computing infrastructure
• Typical startup has $1M-$8M seed or A-round
funding
• Many ”traditional” companies will move to cloud
• SAP, IBM, NSN, etc.
• But not Oracle (officially)
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8. Hot topics and thoughts …
• Mobile everything
• Operators
• Mobile Business Processes
• Consumerazing IT
• Social - New Social
• Tablets
• Gaming - mobile
• Gaming as mainstream media
• Gamification
• Edutainment
• Virtual goods/microtransactions
Source: Mediaspin.com
• Digital livingroom, next screen, Smart TV
• Media
• Big Data, Data Analysis 2.0 (dynamic, real time)
• Social / mobile healthcare
• Addressbook ownership
• Search / discovery
By various ‘thinkers’
• Cloud Computing
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9. VC $$$ Silicon Valley in 2Q 2012
Venture funding in early stage deals -- which has lagged over the past
year as VCs put more money into mature startups closer to going public --
reached the highest quarterly total since early 2001.
Venture firms pumped $2.1 billion into 410 young companies in the latest
quarter, double-digit increases from the prior three months.
Software, Digital Media and Internet companies continued to be popular,
while life sciences and cleantech declined.
Around 375 VC companies in SV
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10. Silicon Valley Journey
Over 80 experienced entrepreneurs, executives
and experts were interviewed on the subjects
relating to this book.
The shared knowledge will hopefully help new
startups and entrepreneurs who are planning to
take their ideas and companies to Silicon Valley –
as well as those who have already started their
journey. The valuable insights and experiences will
contribute and assist in the navigation through the
various challenges. Being better prepared for your
journey can save you money and time, and reduce
frustration.
The book is organized into chapters by themes. It
follows that the stories are not chronological; rather,
a story of a company is told in snippets in several
chapters. The intent was that the book can be read
as a handbook, which means that the reader is
welcome to start at any chapter that she or he finds
most relevant.
Free to download!
or search for ’silicon valley journey’ www.tekes.fi
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11. Internet Users in Latin America (6/2011)
Internet users per country
© Finpro
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12. Facts about Brazil
• Brazil is a part of Mercosur (= Argentina, Brazil, Paraguay and Uruguay) and
has negotiations with EU about free trade agreements.
• Taxation with Finland: Tax sparing ends and internal rates are applied to
dividend, interest and royalty.
• Brazil is not a member of OECD.
Source: Brazil Global Net, Inflation.eu, IBGE, OECD, Finnish Minstry of Finance, European Commission
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13. Use of Internet in Brazil
• In September 2012 there were • The most popular social
83 million internet users. It network sites in Brazil in 2012
makes Brazil the 5th most are: 1. Facebook, 2. Twitter, 3.
connected country. Orkut, 4. LinkedIn, 5. Tumblr
• Broadband users (> 2Mbps) in • Shopping online is increasing fast.
July 2012 were 16,8 million, Currently 29 % of internet users
growth of 91% compared to the buy online - in 2011 the amount
previous year. spent was BRL 18,7 bn (~USD 9,3
bn).
• Brazilians spend 69 hours per
month in internet (July 2011). • Most of public sector purchasing
through governmental internet
• 70 % of children aged between 9 portal.
and 16 years have accounts in
social networks (July 2012).
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14. Mobile sector Brazil
• In September 2012 Brazil had
259 million mobile phone
connections (penetration of
132%).
• Prepaid connections’ share
was 81,2%.
Source: Teleco
• Of the 83 million internet • According to the ITU’s
connections, 63,6 million are Measuring the Information
mobile internet connections Society 2012 study, Brazil was
and 19,4 million fixed. world’s second most dynamic
telecom country in 2011, and
• 4G network has to be fourth largest telecom market
operational in 2014 World Cup in terms of revenue in 2010
host cities by the end of 2013. (preceded only by USA, Japan
and China)
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15. Cloud computing in Brazil
• The Brazilian cloud based market is estimated to be 500 million
R$ by the year 2014 (192 M€)
• Most of the billing models in cloud based services are based on
fixed monthly fees as opposed to pay-by-use
• Media, content and event management platforms for various
actors in the upcoming football and Olympic games. Talks of
investments have already been seen on these areas.
• In the August 2012 the government announced an investment of
40 million R$ to cloud computing during the next 3 years
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16. Internet users in Latin America
There were an estimated 212,401,030 internet users in Latin America (representing
about 36.7% of the region population),according to statistics updated June 2011 by
Internet World Stats.
• Latin America top countries, as per June 2011:
– 1. Brazil: 75,982,000 (37.4% of the population in the country)
– 2. Mexico: 34,900,000 (30.7%)
– 3. Argentina: 27,568,000 (66.0%)
– 4. Colombia: 22,538,000 (50.4%)
– 5. Venezuela: 10,421,557 (37.7%)
– 6. Chile: 9,254,423 (54.8%)
• Internet user share in Latin America, by country, 2009-2013 (% of total):
• - 2009: Brazil (38%) / Mexico (17%) / Argentina (9%) / Other (36%)
• - 2010: Brazil (37%) / Mexico (18%) / Argentina (10%) / Other (36%)
• - 2011: Brazil (36%) / Mexico (19%) / Argentina (10%) / Other (36%)
• - 2012: Brazil (35%) / Mexico (19%) / Argentina (10%) / Other (36%) (estimated)
• - 2013: Brazil (35%) / Mexico (20%) / Argentina (10%) / Other (36%) (estimated)
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17. Facts about Mexico as a market place
• Network of free trade agreements
> 45 countries
• Competitive and young labor force
• 11th largest economy in the world
• GDP per capita, 15,000 USD per
year one of the highest in Latin
America
• Home of America Movil, 3rd
largest mobile operator in the
world
• 112 million consumer market
• Rank #53 in Ease of Doing Business
(easiest in Latin America)
• Investment grade & IP protection
agreements
• Stable economy and political
environment
• Efficient hub from a transport and
logistics standpoint
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18. Mexico’s mobile sector
• The mobile sector remains one of the main drivers of telecom industry growth.
Driven by a booming GSM sector, Mexico’s mobile industry grew at
approximately 17% per annum, achieving more than 80% penetration by early
2010.
• Broadband is the other principal driver of growth in Mexico’s telecommunications
market. Both cable modem and ADSL continued to enjoy strong subscriber growth
in 2009 at a combined average growth rate of around 35%.
• Forecast mobile subscribers and penetration rate – lower growth scenario –
2011 – 2016
Subscribers
Year Penetration
(million)
2010
90 80%
(BYE)
2011 96 85%
2012 102 89%
2013 107 93%
2014 111 95%
2015 115 97%
2016 117 98%
(Source: BuddeComm, forecasts)
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19. Social networking in Mexico
• Social networking in Mexico will increase by 17.9% in 2012,
making it the fifth-fastest-growing market worldwide,
according to eMarketer estimates. Much of this expansion will
come from Facebook, which is expected to reach 25.6 million
users in the country by the end of 2012.
• Top five social networking countries, ranked by growth, 2012:
• 1. India: +51.7% change in number of users
• 2. Indonesia: +51.6%
• 3. China: +19.9%
• 4. Mexico: +17.9%
• 5. Brazil: +14.4%
Source: (emarkets)
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20. Mobile banking in Mexico
• Despite a relatively well organized banking sector, banking
penetration remains low compared to mobile penetration.
• Mobile payments transformation, led by alliances between
telcos, banks and device manufacturers .
– Latin American operator group América Móvil is launching a
mobile money service in Mexico, aimed to serve the nation’s
underbanked population. The service, called Transfer, will be
launched by a joint venture between the operator and its banking
partners: Citibank´s Mexican unit Banamex and local bank
Banco Inbursa.
– Movistar has partnership with MasterCard in Latin America to
provide mobile banking solution
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21. Facts about Colombia
• Colombia is ranked as the 42nd easiest country to do business in (Ease of Doing
Business 2012)
• Colombia is the leader in Latin America in investor protection (5th rank in the world)
• Colombia is one of the few Latin American countries with a Ministry for Information
and Communication Technology (Mintic)
• Colombia is an open market with Free Trade Agreements with more than 50
countries.
• Colombia has a signed Free Trade Agreement with the European Union coming into
force in 2012
Source: Proexport, World Bank Ease of Doing Business, Ministry for Information and Communication Technology (Mintic)
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22. Use of Internet in Colombia
• There are a total of 6 million • Colombia’s IT spending increases
internet subscribers. Internet almost 15% yearly
subscribers expected to reach 10 • Shopping online is increasing.
million in 2014 (63.9% fixed 47% of internet users in Colombia
subscribers and 36.1% 3G have made purchases online, and
connections) 84% of persons that visited e-
• There are 25 million internet users commerce sites made a purchase
(Population in Colombia 46 million) • 16 million Colombians use
• Government launched ”Live Facebook
Digitally” project, massifying • Most of public sector purchasing
Internet through governmental internet
• 96% of municipalities Colombia portal.
will have fiber optic connection • Colombia was ranked 1st in E-
and high speed internet by government services in Latin
2014, an investment of 635 America in 2011 (world rank 31)
MUSD (One of the most
ambitious internet projects in
Latin America)
Source: Everis, Proexport, TIC ministry
• Colombians spend 7.6 hours week
on social networking
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23. Mobile sector Colombia
Mobile operators and users
• Mobile phone penetration is
103 % in Colombia
• Many operators use
Colombia as a test market for
new applications and
products
• 25% of new telephone
Colombia is the 2nd biggest country in
purchases are smart phones in
Latin America for mobile payments after
Colombia in 2012
Brazil
21% of consumers are ready to pay
• Number portability has been purchases with mobile phone
possible since June 2012. 26% of mobile purchases are done
through a mobile phone and 21% of
purchases in point of sales are done
with a mobile phone
Source: MasterCard Mobile Payments Readiness Index (MPRI),
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24. Cloud computing in Colombia
• Cloud computing business in Latin America has been estimated to
be worth of 280 million USD in 2012. [IDC, International Data
Corperation]
• In Colombia 62% of the 800 largest companies are already using
cloud computing services for collaboration and correspondence,
CRM, talent management and infrastructure
• 97% of the most important companies in Colombia believe that
cloud computing is the future trend in Colombia
• Colombian company Eforcers S.A, was ranked 1st in Latin America
in cloud computing services by Talkin Cloud
Source: Study by Avanxo y Position Comunicaciones of 800 most important companies in Colombia
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25. Facts about Chile
2011
Population (million) 17,2
GDP Nominal (Billion USD) 248.602
GDP PPP /cap (USD) 17 380
Annual Growth 6,5 %
Foreign Direct Investment
(BillionUSD) 17,5
Imports (BillionUSD) 72,3
Exports (BillionUSD) 86,3
Inflation rate 3,3 %
• Chile is Latin America’s most developed, stable and
competitive country.
•It is ranked as the 37 easiest country to do business in
(Doing Business 2013)
• Chile is an open market with Free Trade Agreements
with 58 countries.
•Chile has a Free Trade Agreement also with EU
countries.
• Chile is member of OECD, since 2010.
Source: IMF, FIC, CIA World Factbook,
Doing Business
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26. Use of Internet in Chile
• There are a total of 10 million internet • Shopping online is increasing. 71%
users of which 4 million are mobile of internet users in the country have
internet users. (Population in Chile made purchases online, and the
17,2 million) volume of transactions is expected to
rise by by 18% to 1700 million USD.
• 32% of the population owns notebook
or netbook in Chile, which is one of the • Most of the large banks, such as
countries with the highest percentage. Banco de Chile and Banco Estado,
provide online banking services.
• Chileans are connected to the Internet – There is one totally virtual bank,
Tbank, in Chile, offering all its
an average of 19 hours per week.
services through internet.
• Most of public sector purchasing
through governmental internet portal.
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27. Social networking in Chile
• In Chile a 63 % of the
interviewed persons belong
to a social network
according to Ericsson
ConsumerLab survey 2012
• Chileans spend one third of
their browsing time on
social networking pages.
• Chilean users spend 8,2
hours/ month on this type of
pages.
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28. Mobile sector Chile
• In 2011, the investments in the
telecommunications sector in Chile
grew by a 25% in comparison to
the previous period adding up to a
2 400 million USD.
• Number portability has been
possible since 2012.
• “40 % of Chileans are connected to
the Internet through their
Mobile Internet sector market share
smartphones.” This is estimation of June 2012
the Ericsson ConsumerLab study in
2012.
• Now every fourth mobile phone is a
smartphone. 50% of the
interviewed are planning to buy a
smartphone when buying a new
mobile device.
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29. Cloud computing in Chile
• Cloud computing business in Latin
America has been estimated to be
worth of 280 million USD in 2012.
[IDC, International Data
Corperation]
• Investments in cloud computing
are estimated to reach a 100
million USD in Chile in 2012.
• It is estimated that 40% of the
Chilean companies will use
cloud service by year 2015. This
including public, private and
hybrid clouds.
• Chile is considered to be one Latin
American country that has
adopted Cloud computing services
in large and medium sized
companies. [SONDA]
Source: Microsoft
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30. Argentina
Argentina is one of the five largest economies in South
America.
Argentina's macroeconomic performance in recent years
has been strong.
Consecutive years of rapid and pro-poor economic growth
enabled poverty and unemployment to be cut to levels
experienced prior to the country's 2001-2002 economic crisis.
Economic activity grew about 9 % last year. This growth has
been spurred by private consumption and investments.
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31. ICT Sector
• Argentina is the second largest IT market in the region.
• Argentina's IT market is forecast to increase to US$5.0bn in 2012, up by around 9%
since last year.
• Computer hardware sales: US$2.4bn in 2011 to US$2.5bn in 2012, +6%.
• Software sales: US$539mn in 2011 to US$591mn in 2012, +10% .
• IT Services sales: US$1.6bn in 2011 to US$1.8bn in 2012, +12%.
Key Trends & Developments
• There is growing interest in cloud computing.
• IT services revenue is expected to grow faster than the market as a whole, with
organisation looking for help to implement cloud computing.
• Educational; government's three-year programme to deliver 3 Million PCs to public
schools over the 2010-2012 period.
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32. Cloud Computing in Argentina
• Cloud Security Alliance Argentina; the results of survey of 100 IT specialist that
recognize that the trend is to move to the cloud.
• 76% said that their company was still not ready to migrate to the cloud.
• 71% said that they do still not trust in their suppliers for the implementation.
• Dirvers for choosing Cloud Computing;
• 22% cost savings.
• 21% better availability .
• 19% for making easier processes.
• 14% for standarization.
• Main barriers for choosing cloud computing;
• Security issues.
• Confidentiality
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33. Use of Internet in Argentina
Main categories
Avg time consumed per age range.
Hours per visitor.
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34. Argentine SMARTPHONES
• 41 Million active mobile phone lines.
• 10 Million Argentines, or 25% of the population, already have his/her smartphone.
• 25% prefer to keep the smartphones before the TV.
• 70% of the users do not leave the house without the phone.
• 70% access everyday to Internet.
• 90% use the smartphone even when staying at their homes.
• 74%, use them while walking , 64%. In the
public transport.
• 20% admitted to have changed his/her mind,
about a product, already in the shop, after
checking information through the smartphone.
• 73% use phone for checking mails, and social
networks and 45% for shared video.
• 71% of internet users are Online buyers.
Source. El cronista based in Google report.
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35. Social Networks and Internet mobile
• Persentage of users accessing through mobile phones; Source: Carrier y Asociados:
Facebook: 19 million users - 37%
Twitter: 7 million users. - 47%
• Traffic from mobile devices in internet correspond
77% to mobile phones and 18% to Tablets.
• Android system was the most used mobile
plataform (56.3% visits web pages).
• Tablets access to internet is lead by iPad (78.3%
visited web pages). Vía comScore.
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36. Operating systems
System share in Mobile phones & Tablets March 2012
Source: comScore Device Essentials
% Share visited Web pages
Mobile Tablets
phone.
Android 56.3% 19.5%
iOS 10.7% 78.3%
Symbian 10.6% N/A
RIM 4.3% 2.2%
Windows Mobile 0.6% N/A
Other 17.6% N/A
Note: due to local import restrictions, it is not alowed to import cell phone manufactured
abroad, for that reason Apple is not present in the phone market.
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37. Summary
USA Latin America
• Mobile everything
• Mature operator business in
• Mobile Business Processes
• Consumerazing IT
most countries
• Social - New Social • Growing Internet usage
• Gaming - mobile • Mostly mobile internet
• Gaming as mainstream media
• Gamification • Cloud offers jobs
• Edutainment • Mobile banking solutions
• Virtual goods/microtransactions coming
• Digital livingroom, next screen,
Smart TV • Good test market for mobile
• Big Data, Data Analysis 2.0 apps or services
(dynamic, real time)
• Social / mobile healthcare
• Addressbook ownership
• Search / discovery
• Cloud Computing
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38. Contact Information
Kimmo Aura
– Regional Sales Manager, Americas
kimmo.aura@finpro.fi, +358 40 504 8317
Special thanks to:
– Silicon Valley, USA : pekka.parnanen@finpro.fi
– Mexico: nina.jaakkola@finpro.fi
– Brazil: pekka.horttanainen@finpro.fi
– Chile: heta.pyhalahti@finpro.fi
– Colombia: heidi.virta@finpro.fi
– Argentina: ilkka.cafferata@finpro.fi
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39. Thank you!