Maximiliano Martinhão - Secretário de Telecomunicações do Ministério das Comunicações

1. Ministry of Communications
Maximiliano Salvadori Martinhão
Secretary of Telecommunications
May 27 and 28th, 2013

2. Ministry of Communications
AgendaAgenda DiagnosisDiagnosis
VisionVision
AgendaAgenda
VisionVision
ActionsActions

3. 98%
80% 87%
37% 36% 38%
22% 20% 18%
Terrestrial Radio Mobile Landline Desktop Internet Videogame Paid TV Laptop
Households with access to ICT services and devices
Ministry of Communications
Terrestrial
TV
Radio Mobile
phone
Landline
phone
Desktop Internet Videogame Paid TV Laptop
computer
50%
33%
0%
10%
20%
30%
40%
50%
60%
Urban households Rural households
21%
54%
0%
10%
20%
30%
40%
50%
60%
Urban households Rural households
Main reason not to have internet access:
Service unavailable for the localityHigh price
Source:
CETIC.br,
2011

4. Ministério das Comunicações
National Broadband Program (PNBL)
Speed
Goal: To increase the broadband Internet access by threefold
(40 millions of households)
Regulation
1
Ministry of Communications
Price
Coverage
Speed
2014
Coverage
Brasília + 26 State Capitals
Extension
30.803 km
Municipalities
4.283
Regulation
Content and
applications
Tax incentives
Standards for
Infra-structure
Telebrás
Policy for
local production
and technology
development
PNBL
2
3
5
6

5. To expand telecommunications infra-structure and services, promoting
access to people and striving for better pricing, coverage and quality.Goal
Price
Coverage
Speed
Ministry of Communications
Expand the
broadband base
Expand
telecommunication
services to rural
and remote areas
Promote
investment in
telecommunication
infrastructure
Reduce
pricing and
tariffs
Improve
QoS for
both data
and voice

6. 3675 4000
4700
5500 6000km of optical fiber cables
Ministry of Communications
Optical Fiber Network Expansion
300 443
512 1065
1204
2080
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Realizado PrevisãoSource: ABINEE Realized Forecast

7. Rural cooperative in Ibirubá-RS for electrification
• Region unattended by major telecom operators
• Cooperative electrical grid poles carry optical fibers
• TV, data and voice over FTTH to every cooperated
• GPON powered by national technology
Ministry of Communications
www.coprel.com.br
VisionVision
www.coprel.com.br
“Every household in the country with a
high speed optical broadband
connection”

8. Ministry of Communications
ACTIONS
Research &
Development
Industrial
policy and
government
procurement
Regulatory
framework
PNBL/Telebrás

9. RESEARCH & DEVELOPMENT
FUNTTEL: Since 2005, more than R$ 190 millions invested in R&D for optical
communication
Ministry of Communications
Technical Article and publications = 162
Patents = 26
Registration of software copyright = 35
Prototypes and technologies
transferred = 88

10. INDUSTRY TRANSFER
Optical Amplifiers Generations
Ministry of Communications
RESEARCH & DEVELOPMENT
2006 – EDFA AGC2005 – EDFA OAGC 2006 – EDFA 1u 2007 – EDFA HGC
2012 – EDFA/RAMAN2009 – NG EDFA 4,5 u 2010 – Double NG EDFA

11. ROADM’s
Ministry of Communications
INDUSTRY TRANSFER
RESEARCH & DEVELOPMENT
2008 – ROADM PLC
(2-Degree)
2010 – ROADM WSS
Platform (5/9-Degree)
2013 – NG ROADM
CDCF N-Degree

12. 100G Coherent
optical module
Ministry of Communications
INDUSTRY TRANSFER
RESEARCH & DEVELOPMENT
OIF module Inside OIF
Outside OIF moduleInside OIF

13. Today Activities – 100/200… 400G & ASICs
RESEARCH & DEVELOPMENT
Current Achievements
• System design and implementation of ultra-
high capacity telecommunication systems
• Experimental demonstration of state of the art
Ministry of Communications
• Experimental demonstration of state of the art
400G systems
• Transmission and detection of high order
modulation formats (QPSK and 16QAM)
• Systems and components design for Chip
implementation of CPqD transmission
technologies100 Gb/s 400 Gb/s

14. Today Activities - Optical Networking
RESEARCH & DEVELOPMENT
TODAY (100G)
SDN + GMPLS optical
network concept
Ministry of Communications
NEAR FUTURE (400G - 1T)

15. Future Activities – 400G/1T …. & ASICs
RESEARCH & DEVELOPMENT
Perpectives (400G - 1T)
• Consolidation as world leaders in 400G
transmission technology (OIF
standardization)
Ministry of Communications
• Prototype implementation of
Superchannels
• Design, implementation and release of the
first 400G chip
Future Activities – Integrated Photonics
1 Tb/s

16. Ministry of Communications
NationalNational BroadbandBroadband ProgramProgram SpecialSpecial TaxationTaxation RegimeRegime –– REPNBLREPNBL
(Lei nº 12.715/2012, Decreto nº 7.921/2013 e Portaria MC nº 55/2013)
Ministry of Communications
INDUSTRIAL POLICY AND GOVERNMENT PROCUREMENT
ReduceReduce regionalregional differencesdifferences
ModernizeModernize
thethe telecommunicationstelecommunications
networksnetworks and raiseand raise qualityquality
standardsstandards
PopularizePopularize accessaccess toto
networksnetworks
andand telecommunicationstelecommunications
servicesservices that supportthat support accessaccess
to broadband Internetto broadband Internet
GoalsGoals

17. Ministry of CommunicationsMinistry of Communications
NationalNational BroadbandBroadband ProgramProgram SpecialSpecial TaxationTaxation RegimeRegime
Eligible Telecommunication Subsystems
•• OpticOptic
•• OPGWOPGW
•• WirelessWireless
•• SubmarineSubmarine
cablescables
•• OpticOptic (FTTH)(FTTH)
•• HybridHybrid
•• Mobile 4G e 3GMobile 4G e 3G
•• Wireless @450Wireless @450
MHzMHz
•• WiFi inWiFi in publicpublic
placesplaces

18. Ministry of Communications
NationalNational BroadbandBroadband ProgramProgram SpecialSpecial TaxationTaxation RegimeRegime
Measures (valid until 31/12/2016)
Equipments, components, materials
• Tax isemption (IPI, and PIS/COFINS)• Tax isemption (IPI, and PIS/COFINS)
Services
• Tax isemption (PIS/COFINS)

19. Ministry of Communications
NationalNational BroadbandBroadband ProgramProgram SpecialSpecial TaxationTaxation RegimeRegime
Benefits
Increased
broadband service
outreach from 18.5
to 56.7/100 hab*
40% increment in
projected
investment
23k direct jobs
* Broadband outreach increase by 10 accesses/100 hab causes a 1.3% average increase on GDP per capita (World Bank)
to 56.7/100 hab*
investment
R$ 3 billions trade
deficit reduction in
equipments;
Increase share of
domestically-made
equipments from
50% to 62%.

20. Mobile services
29 35 46 66 86 100 121
151 174
203
242 262
100
200
300
Million
Active mobile phone subscriptions
Ministry of Communications
0
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Density - 2012:
131,56 accesses/100 inhabitants
89%
11%
Pre-paid Post-paid
Source:
CETIC.br,
2011

21. Landline services
37
39 39 40 40 39 39
41 42 42 43
44
30
35
40
45
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Million
Active subscriptions
Ministry of Communications
Density - 2012:
22,5 accesses/100 inhabitants
Source: Anatel
42,03%
23,78%
21,85%
8,22%
1,85%
1,10% 1,17%
Oi
Telefônica
Embratel
GVT
CTBC
TIM
Outros

22. Broadband
4 6 9 11 13 15 18 19,8 20
2
7
19
41
59
66
0
10
20
30
40
50
60
70
Million
Broadband Subscribers
Fixed
Mobile
Source: Anatel
Ministry of Communications
4
2
70
2005 2006 2007 2008 2009 2010 2011 2012 2013
51%
43%
0%
10%
20%
30%
40%
50%
60%
2005 2006 2007 2008 2009 2010 2011
Urban households with
computer
Urban households with
internet access
10%
90%
Internet Access – rural
households (2011)
Conected
Not Conected
Source:
CETIC.br,
2011

23. Ministry of Communications
Pay TV subscribers
10
12
14
16
18
Million
Peru
USA
Brazil
Pay TV household penetration (2013)
0
2
4
6
8
2005 2007 2009 2011 1T/2013
Cable DTH MMDS
0,0% 20,0% 40,0% 60,0% 80,0% 100,0%
Mexico
Chile
Argentina
Colombia
Peru
Sources: Anatel, LAMAC, IBOPE and ITU

24. Ministry of Communications

25. Ministry of Communications

26. Infrastructure
Transport
Submarine cables
South American optical ring
High capability satellites (Ka band)
PNBL 2.0
2016
Results:
3 years
International
links
Brazil
Ministry of CommunicationsInfrastructure
High capability satellites (Ka band)
Optical fibers for cities (backhaul)
Access
Fixed broadband high capability (30-100 Mbps)
Mobile broadband 4th generation (5-20 Mbps)
2018
2022
Long-term
project
Brazil
Fiber
700 MHz

27. ThTh aa nksnks!!
Ministry of Communications
Maximiliano Salvadori Martinhão
Secretary of Telecommunications
Ministry of Communications
ThTh aa nksnks!!

28. Telebrás
2014
Network under construction
OPGWOPGW
Ministry of Communications
Coverage
Brasília + 26 State capitals
Extension
30.803 km (Brazil)
Cities
4.283
Strong sinergy among existing fiber optic
networks of both utility companies and
Petrobrás with the PNBL national network

29. New regulations
Ministry of Communications
Broadband Services Quality regulation
Infrastructure robustness
General Plan for Competition Goals
SMP regulationSMP regulation
Lower barriers for entrants
New Pay-TV regulation (SeAC)
Allowance for telecom carriers
Wider broadband offer

30. Spectrum Auctions (2012)
Ministry of Communications
2.5 GHz
4G
Fast growth for mobile bandwidthFast growth for mobile bandwidth
FIFA 2014’ World Cup locations
Local content

31. Spectrum Auctions (2012)
Ministry of Communications
450 MHz
Lower density urban and rural areas
Agribusiness 40 Km
3,5 GHz
450 MHz
Agribusiness
Mining / cellulose industries
Offshore operations
Infrastructure sharing
Qualcomm-MC MoU: development of
LTE for 450MHz
40 Km
5 Km

32. Infrastructure sharing
Ministry of Communications
Regulation being revised

33. Smart Grid
Ministry of Communications
Regulation being revised

34. Optical Fiber Network Expansion Forecast (Brazil)
Horizon: next 3 years
Opportunities and Demand:
Domestic Network (Telebrás), RePNBL, Large Sports Events (Soccer World Cup and Olympic Games),
Ministry of Communications
Domestic Network (Telebrás), RePNBL, Large Sports Events (Soccer World Cup and Olympic Games),
SEAC, among others.
Market Demand Forecast:
4.5 to 6 million km of optical fibers.
(source: optical cable manufacturers)

35. Future Activities – Integrated Photonics
RESEARCH & DEVELOPMENT
TODAY
Active silicon photonic chip design concluded
Coherent Modulators, Receivers and Monitors
Fabrication at IME –Singapore (Return in July/13)
Packaging lab. infrastructure under construction
Approved designs in InP run with HHI – Fraunhofer (Germany)
Ministry of Communications
Approved designs in InP run with HHI – Fraunhofer (Germany)
Pump lasers production in final development
TOMORROW
400G, 1T, ... Integrated coherent modulators/receivers in a single chip
Fully packaged and stabilized coherent modulators and receivers
Integrated extended bandwidth optical amplifiers (submarine)