FREE IT Consulting Brazil Still Closed Brazil's Internet market is still more potential than realized, but the market seems poised for explosive growth, and a backbone is being built. The network, funded and maintained by a committee of academics and the business community, gives Brazil a first-ever 20Mbps pipeline, with capacity of up to 155Mbps. Brazil's former pipe peaked at speeds of 2Mbps. The newly-established national network, originally developed to support the internet needs of education and medical institutions at state capitals in Brazil, was opened up to the commercial sector to promote more Internet use. However, all non-profit schools in Brazil using dedicated lines are able to lease connectivity at a 50 percent discount.
Commercial interests pay the regular leased line prices.
The Backbone Bill To make up forfeited revenues, the telcos seem comfortable letting ISPs foot the bill. This is evident with a look at the pricing at independent ISPs throughout the country. No other access speeds are available due to the condition of the telephone lines and the pricing set by the telco. Because of this instability, telcos can charge what they want because the ISPs are expending their energy just to stay in business. They also see the free internet providers as their main competitors also.