Growth will mainly stem from service providers. We have many projects and many different technologies being deployed in that area. Broadband penetration is still low, even though it is on par with the Latin American average. We expect the infrastructure from service providers to be largely rebuilt in the coming years, leading to a number of new broadband projects. Some of these initiatives have already been announced, such as ETB's fiber-to-the-home (FTTH) project. This is a challenging project that has been authorized and is estimated to cost around $500 million. The TV Azteca deployment of the national fiber-optics project is another project underway. In addition, Claro and Telefónica will need to upgrade their networks, and we expect investments there. UNE is investing heavily in cable, which is a new technology that allows customers to use internet at home at speeds of up to 100 MB per second. As part of a new project, this fairly good speed will be available for 700,000 houses over the next two years. There will also be significant investments in 40 tenders, which will attract a variety of new players.
Simbad Ceballos A.
General Manager & Country Manager, Cisco
General Manager, Huawei Technologies Colombia
The consumer and enterprise sectors have huge potential, as the market is bigger than the carriers. Our market share is still quite small in these areas, which is why we are going to focus on these two sectors in the future. The economy of Colombia is developing very fast, and this fosters ICT progress across different industries. After two years of promotion, we are very pleased to notice our ICT solutions and products have been widely accepted by different industries and institutes. Another sector of potential growth will be smart devices. Huawei thinks that the consumer market will develop rapidly as smart devices are more accepted by consumers. With broadband services improving, smart devices are becoming necessary in daily life. In 2013, we are going to launch more high-end smart devices in Colombia. We also have high expectations.
Jong Hwa Lee
President, LG Electronics Colombia
We started our direct operations in Colombia in 1999-2000; therefore, we can talk about more than a decade of direct operations now ongoing in this country. Over the years, we have learned to focus on bringing our brand values to Colombian consumers, and we develop products aimed at tending to their specific needs. Also, we are constantly innovating and launching new products on the market. The Colombian market is an excellent testing ground for our products, because we have come to understand that the products that successfully make it in the Colombian market are also a success in other regional markets. LG heavily invests time and resources while carrying out precise market research that enables us to develop specific products for the very demanding consumers. Overall, I would say that Colombian consumers are savvy in terms of value and early adopters in terms of technology, which again makes the market a rigorous testing ground for products entering Latin America. We are very optimistic for the development of the country and our operations as well. We aim at maintaining our leading position in the electronics market in Colombia, and we also want to continue offering value propositions and products to our clients by offering better solutions and the most advanced technology.