Latin America needs "more and better broadband

In Latin America need more than 20 million broadband lines to keep pace with economic growth rates, says a study on information technology.
Furthermore, research from the University of Columbia, United States, says that giving more attention to information technologies and communication technologies (ICTs) could become a factor giving impetus to the progress of the region.
"There is a structural link between economic growth and the adoption of ICT, as they meet the challenges posed by the increasing complexity of production processes," said Raul Katz, author of "The role of ICT in development. Proposal Latin America's current economic challenges. "
In presenting their research in Washington, Katz, professor at the School of Business at Columbia University, said the gap between broadband penetration and economic expansion is "alarming."

The digital divide

According to the study, the largest gap is in Brazil, Mexico and Venezuela, where it requires double the current deployment of infrastructure to keep pace of growth of economies.

However, the biggest obstacle to improve the situation is the cost of accessibility in the region.

Late last year, the Economic Commission for Latin America and the Caribbean (ECLAC) demanded access to broadband internet for the whole region to fairer prices.
ECLAC noted that, while in rich countries the service costs about $ 19 a month, in developing countries exceeds $ 35.

Taxes "go fast"

Another of the obstacles to the full integration of broadband is the tax levied in Latin America.

In Brazil, the study notes, the charge may be up to 25%.In Mexico, the attempt by Congress to increase the tax internet access considered a "luxury service" sparked a protest earlier this year through the Twitter social network that prevented the tax hike.

The ICT study claims that in 2008 the broadband penetration in Latin America (4.5%) was well behind other regions and only surpassed Africa (1.15%).

Solutions

For Katz, Latin America requires governments to promote public policies and incentive programs to encourage investment in information technology and communication.

In addition, the study recommends increasing the supply of goods and services related to these sectors.

In practice, investment should be directed to "build" the network, deploy broadband, improve the quality of provision and access speed.

Finally, Katz urged to follow the example of South Korea, Malaysia and India, where public policies arise in the medium term to meet future demand.