Hi, my name is Fernando Yanaguibashi. I am focusing on providing services and consultancy to the Tier2 and Tier 3 ISPs in Brazil as a Sales Consultant at Beenius.
Traditional pay-TV still has the largest market share in Brazil. However, this scenario has been facing a hard hit in the recent three years. Covid pandemic, uncompetitive market pricing, entering of international content giants, and iterating of video watching, all of these have made traditional TV operators slowly lose their edge in the battle for subscribers.
In addition, the uneven distribution of network infrastructure has bred hundreds of local large-and small-ISPs. The participation of these new players in the video and television industry, while increasing the vitality of the overall market, has definitely increased the intensity of the battle.
In 2022, we can expect significant mergers and acquisitions between Tier2 and Tier3 operators, which means the competition between those operators with more than a half-million broadband subscribers will be more fierce.
With the development of 5G technology in Brazil, we shall await the continuity of vigorous expansion of the FTTH network infrastructure, which will surely boost OTT players’ growth of the streaming service.
The market is already proving the power of collaboration. These mergers and acquisitions, backed by stable capital resources, can not only effectively reduce competition costs with each other but also help the local smaller operators and ISPs keep a piece of the pie in the market. But the challenge after mergers and acquisitions will go beyond people management, system integration, and process standardization.
Beenius Interactive TV platform could flexibly match the complex and diverse needs of operators with different scales. For the operators with a small subscription base, Beenius charge the payment as you grow. For the more prominent operators who want to diversify the end-customer services, Beenius could provide one unified solution and enable the root operator to distribute applications with different skins, languages even channels to multi-operators in multi-regions.
The amount of pay-tv subscribers at the end of 2021 was approximately 14 million. But the reality is we do not experience a favorable scenario for pay-TV in Brazil because the model of watching TV mainly by the younger population has changed, which goes against the traditional model of commercialization of the pay-TV service.
Based on this, the operators offering traditional pay-TV are eagerly searching for a leapfrog service upgrade. However, the process could be stuck with finding a video solution to balance the excellent performance and affordable cost, a video solution generating subscription base and profitable. For the pure ISPs, it is time for them to understand the importance of offering video services, and they also need to define the format and which technology to use based on their financial resources.
Beenius has been studying the market for many years. We have a strong presence in the Brazil market and have already had several successful partnerships with local operators. The complete solution ecosystem and strong industry partnership enable Beenius to provide customers with a one-stop service, from UI/UX design of front-end to Users Analysis of backend. I believe the progressive experience of Beenius can efficiently help these operators and ISPs catch the trends.
There is an old saying that it is never too late to learn. Seeing how fast technology is changing gives me both a sense of excitement and urgency. In 2022, I will focus on the development trend and growth direction of the industry from a local view to an international point. And I will improve my job to bridge the Brazil market and global technical service vendors, inject new blood into the technological innovation of the Brazil TV industry, and provide consulting and guidance for the localization of the international technology companies.
The Brazil market is experiencing a fusion, perhaps with some pain. But those are the costs of growing up. I am so glad to see the Brazil market moving towards a mature future. These changes are both challenges and opportunities for everyone.
I am looking forward to seeing how Beenius and I conquer all of these and what kind of progress we can make.