Information and Communications Technologies (ICT) market in Brazil

Industry highlights


Telecom sector contribution to Brazil's GDP in 2021 (Source: Brasscom).


Average telecom sector growth in Brazil in 2022 (Source: MarketLine).

$51.1 billion CAD

Brazil's forecast of telecom market size by 2027 (Source: MarketLine).

251.521 million

Active mobile phones in Brazil in June 2023 (Source: Teleco).


Direct jobs in the telecom sector in Brazil in 2021. (Source: Statista).

46.5 million

Broadband access points in May 2023 (Source: Teleco).

$76.7 billion CAD

Telecommunications sector total production in Brazil in 2022 (Source: Brasscom).


Penetration of Internet access in Brazil in 2021 (Source: IBGE).

Brazil is the fourth largest telecommunications market in the world, after China, the United States and India. The sector is made up of three major operators: Claro (America Móvil), TIM (Telecom Italia), and Vivo (Telefónica). These operators offer a wide range of services, including mobile telephony, fixed telephony, broadband, internet, and Pay TV.

The telecommunications sector in Brazil is highly regulated by the government and very competitive, which has led to constant investments in infrastructure and innovation. Like other markets, connectivity demands, including 5G and the advancement of cloud computing, are major drivers of the sector's growth.

A 5G auction for mobile telephony in Brazil was held in November 2021. The auction raised a total of $11.25 billion CAD and included four radio frequency bandwidths: 700 MHz, 2.3 GHz, 3.5 GHz, and 26 GHz. Besides incumbents and regional players, licenses were awarded to 6 new mobile operators bringing more competitiveness to the market. Winners are required to meet obligations such as providing coverage to 26 capital cities and federal district and all municipalities with over 30,000 inhabitants by 2029. Additional requirements include deploying network coverage for 55,000km of highways, building fiber backhaul networks for 1,280 cities, and deploying a private 5G secure network for exclusive use by the federal government.

Key opportunities for Canadian ICT companies in Brazil

  • Private Networks: Internet of Things (IoT) applications and industrial automation over 5G will boost demand for private networks in the coming years. There are various operation models to adapt private networks, including partnering with a telecom operator (physical or virtual/slicing), investing in full operation equipment, which also requires a frequency license granted by the Agencia Nacional de Telecomunicações (Anatel), or using unlicensed spectrum for LoRa and Sigfox technologies.
  • Norte Conectado: This program was created by the Ministry of Communications and aims to expand the communications infrastructure in the Amazon region. The project will implement an under-river fiber backbone connecting Santarem to Manaus with more than 1,100 kms of extension. It is expected to improve and develop the access to the telecommunications services in the region, support the implementation of public policies, and offer internet access to public schools, hospitals, research centers and the judiciary system.
  • Edge computing: Investments in edge computing, which brings data processing closer to customers, are set to grow strongly in Brazil in the coming years thanks to new demands generated by the 5G ecosystem and greater data analysis requirements.
  • Internet of Things (IoT): Besides connectivity and managed services offered by local telcos, IoT platforms require security and analytics features. Therefore, monitoring and managing remote assets and using AI for decision-making are services in high demand required by industries such as agribusiness, medicine, logistics and manufacturing.
  • Cybersecurity: The increasing integration in several end-user industries demands cybersecurity solutions for different levels and types of integrations, thus creating considerable scope for cybersecurity companies to offer their services.

Notable challenges for Canadian ICT companies in Brazil

  • Tax system: Brazil is among the countries with the most complex tax systems for the ICT sector, especially regarding equipment imports, software systems, and labour. A tax reform has been approved by the lower house of congress and is to be voted on in the senate in 2023. If passed, this reform is expected to simplify the country's tax system.
  • Certification of equipment at ANATEL: Agencia Nacional de Telecomunicações (Anatel) is the national regulatory agency in Brazil responsible for licensing and regulating telecommunications and electronic products. The certification relates to national specifications for the testing and certification process and is the basis for a market approval for Brazil. It is divided in three major categories: Terminal Equipment, Restricted Radiation Equipment and Remaining Radio Equipment. Certification is a complex and time-consuming process that can present many challenges and requires a period of ten to twelve weeks for approval.
  • Competition: The Brazilian telecommunications market is highly competitive and commoditized, with a large number of Brazilian and international suppliers already established locally. Brazilian companies prefer to work with local suppliers that can offer local support, face-to-face communications and be paid in local currency. Canadian companies interested in the Brazilian market should consider a long-term commitment by working with a local partner/distributor to help navigate Brazil's complex legal and regulatory system.

Brazil's business landscape

  • The presence of Canadian companies in the Brazilian telecommunications sector in the past has contributed to the development of the sector, the improvement of the quality of services and the reduction of prices. Companies such as Telesat, Nortel, Bell Canada and Blackberry have been part of the mobile and broadband communications development in Brazil. Heavy investments are also noted on neutral fiber networks to support internet service providers and fiber-to-the-home (FTTH) expansion to the countryside region. Recently, Canadian pension funds have been investing in fiber networks and data center infrastructure projects.
  • Canadian companies have been successful in past years offering niche solutions to the local market, including network equipment, radio boosters, SCADA and telemetry amplifiers, satellite capacity, satellite modems, gateways, testing and measurement equipment and consulting services.


The Brazilian telecommunications market size is expected to grow from $40.5 billion CAD in 2023 to $54.7 billion CAD by 2028 with a compound annual growth rate of 6.17% from 2023-2028, according to Mordor Intelligence. This growth has been driven by the ongoing digital transformation and need for digital services disrupting all industry segments and increasing demand for connectivity and high-speed internet.

Every October, the local TCS office in Sao Paolo organizes a Canada Pavilion at Futurecom, the major telecommunications event in Latin America, which attracts over 35,000 participants on average.

For more information on ICT in the Brazilian market please contact

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