2015 VNI Complete Forecast Latin America

Thomas Barnett, Jr. – Director, SP Thought Leadership
Shruti Jain – Senior Analyst
May 2015
Cisco Visual Networking Index and VNI
Service Adoption
Latin America (LATAM) Forecast Update, 2014–2019
Arielle Sumits – Senior Analyst
Usha Andra – Senior Analyst
Taru Khurana – Senior Analyst

2© 2015 Cisco and/or its affiliates. All rights reserved. Cisco Confidential
Cisco Visual Networking Index (VNI)
Global Service Adoption & IP Traffic Growth
Cisco VNI Forecasts are complementary and statistically aligned.
VNI
Service Adoption
Forecast
Fixed & Mobile
IP Traffic Forecast
FIXED MOBILE RESIDENTIAL MOBILE BUSINESS

Global IP Traffic & Service Adoption Drivers
More Devices &
Connections
More Internet
Users
Faster Broadband
Speeds
More Video
Viewing
Source: Cisco VNI Global IP Traffic Forecast, 2014–2019
By 2019:
2014 2019
14.2 Billion 24.4 Billion
2014 2019
20.3 Mbps 42.5 Mbps
2014 2019
2014 2019
67% of
Traffic
80% of
Traffic
IP Broadband
Growth
Drivers

LATAM IP Traffic & Service Adoption Drivers
More Devices &
Connections
More Internet
Users
Faster Broadband
Speeds
More Video
Viewing
By 2019:
2014 2019
2014 2019
7.2 Mbps 17 Mbps
2014 2019
260 Million 371 Million
2014 2019
61% of
Traffic
82% of
Traffic
IP Broadband
Growth
Drivers

Overview

2.0 zettabytes is equal to:
•  12X more than all IP traffic generated in
2009 (169 exabytes)
•  30 hours of ultra-HD video per person of
the world population
By 2019, global IP traffic will
reach an annual run rate of
2.0 zettabytes per year
•  One trillion gigabytes
•  Approximately 1021
(1,000,000,000,000,000,000,000 bytes)
What is a zettabyte?
Establishing the Zettabyte Era

34.2%
0%
5%
10%
15%
20%
25%
30%
35%
40%
2009-2014 CAGR
Projected in 2010
Actual
35.6%
VNI Projections and Actuals (Global)
Actual Growth Has Been Within 10% of Projected Growth
Compound
Annual
Growth Rate
(CAGR)

Global IP Traffic Growth / Top-Line
Global IP Traffic will Increase 3-Fold from 2014─2019
23% CAGR 2014–2019
59.9
72.4
88.4
109.0
135.5
168.0
0
20
40
60
80
100
120
140
160
180
2014 2015 2016 2017 2018 2019
Exabytes
per Month

0
2
4
6
8
10
12
14
2014 2015 2016 2017 2018 2019
Chile (23% CAGR)
Argentina (21% CAGR)
Mexico (29% CAGR)
Rest of LATAM (31% CAGR)
Brazil (19% CAGR)
LATAM IP Traffic Growth / Regions
Rest of LATAM has the Highest Growth Rate (31%) from 2014–2019
Exabytes
per Month
25% CAGR 2014–2019
27%
34%
24%
9%
6%

0
20
40
60
80
100
120
140
160
180
2014 2015 2016 2017 2018 2019
Middle East and Africa (MEA) (44% CAGR)
Latin America (LATAM) (25% CAGR)
Central and Eastern Europe (CEE) (33% CAGR)
Western Europe (WE) (21% CAGR)
North America (NA) (20% CAGR)
Asia Pacific (APAC) (21% CAGR)
Global IP Traffic Growth / Regions
MEA has the Highest Growth Rate (44%) from 2014–2019
APAC will Generate 32% of all IP Traffic by 2019
29.6%
32.4%
10.0%
5.6%
14.7%
Exabytes
per Month
7.7%
23% CAGR 2014–2019

Drivers

Global Internet Users
From 2.8 Billion in 2014 to 3.9 Billion by 2019 at 6.9% CAGR
North America Western Europe Central/Eastern Europe
Latin America Middle East & Africa Asia Pacific
319 Million by 2019
CAGR 1.0%
350 Million by 2019
CAGR 0.9%
336 Million by 2019
CAGR 5.3%
371 Million by 2019
CAGR 7.4%
425 Million by 2019
CAGR 10.3%
2.1 Billion by 2019
CAGR 8.7%

Global Device and Connections
From 14.2 Billion in 2014 to 24.4 Billion by 2019 at 12% CAGR
4.3 Billion by 2019
CAGR 14%
3.5 Billion by 2019
CAGR 13%
2.1 Billion by 2019
CAGR 12%
1.9 Billion by 2019
CAGR 9%
2.1 Billion by 2019
CAGR 9%
10.5 Billion by 2019
CAGR 11%

Global Fixed Broadband Speed Growth
Average Broadband Speed Will More Than Double from
20.3 Mbps (2014) to 42.5 Mbps (2019)
2.0-fold Growth
21.8 to 43.7 Mbps
2.3-fold Growth
21.8 to 49.1 Mbps
2.0-fold Growth
22.2 to 45.3 Mbps
2.3-fold Growth
7.2 to 16.9 Mbps
2.4-fold Growth
6.1 to 14.9 Mbps
2.1-fold Growth
23.2 to 48.9 Mbps

Global IP Traffic – Increasing Video Viewing
By 2019, Video Will Drive 80% of IP Traffic, Up from 67% in 2014
84% of traffic by 2019
22% CAGR
28% CAGR
45% CAGR
32% CAGR
55% CAGR
26% CAGR

Top Trends

VNI Forecast Update, 2014–2019
Top 10 Networking Trends
1 Continued Shifts in Devices/Connections Mix
2 IPv6 Adoption Enables Internet of Everything (IoE) Connectivity
3
4 Service Adoption Trends – Residential, Consumer Mobile, Business
5 Applications Driving Traffic Growth
6 “Cord-Cutting” Analysis – What’s Really Happening?
7 Impact of Accelerating Speeds on Traffic Growth
8 Mobility (Wi-Fi) Continues to Gain Momentum
9 Traffic Pattern Analysis (Peak vs. Average, Upstream, CDN vs. Metro)
10 Network Performance Drives User Behaviors/Data Plans and Caps
M2M Applications Across Many Industry Verticals Drives IoE Growth

3

Global Device/Connection Growth by Type
By 2019, M2M Connections Will be More Than 40% of Total Connections
0
5
10
15
20
25
30
2014 2015 2016 2017 2018 2019
Other (4.9%,3.6%)
Tablets (3%,4%)
PCs (11%,6%)
TVs (11%,12%)
Non-Smartphones (32%,13%)
Smartphones (15%,19%)
M2M (24%,43%)
Billions of
Devices
* Figures (n) refer to 2014, 2019 device share
12% CAGR 2014–2019

LATAM Device/Connection Growth by Type
By 2019, M2M Connections Will be More Than 30% of Total Connections
0.0
0.5
1.0
1.5
2.0
2.5
2014 2015 2016 2017 2018 2019
Other (3.3%,4.1%)
Tablets (3%,5%)
PCs (13%,8%)
TVs (6%,14%)
M2M (18%,31%)
Billions of
Devices
9% CAGR 2014–2019

Global Video Capable Device Growth by Type
By 2019, Smartphones More Than 40% of Total Video Capable Devices
0
2
4
6
8
10
12
2014 2015 2016 2017 2018 2019
Other (0.8%,0.3%)
Tablets (7%,8%)
M2M (3%,9%)
PCs (26%,14%)
TVs (26%,27%)
14% CAGR 2014–2019
Billions of
Devices

SD 2 Mbps
HD 7.2 Mbps
UHD 18 Mbps
10
33
77
146
245
371
0
50
100
150
200
250
300
350
400
2014 2015 2016 2017 2018 2019
Connected
4K TV Sets
(M)
Increasing Video Definition
By 2019, More than 31% of Connected Flat Panel TV Sets will be 4K

Global Average IP Traffic Per Device
2014 2019
Wearable Device
Smartphone
Tablet
MBs per Month MBs per Month
1,640 8,419
6,213 14,800
6,258 34,880
23,824 36,311
22,415 50,177
M2M Module
Internet Set-Top or Dongle
Smartphone
Tablet
Laptop / PC
92 433
Ultra High Definition TV*
*Note: Includes IP VoD traffic

LATAM Average IP Traffic Per Device
2014 2019
Wearable Device
Smartphone
Tablet
MBs per Month MBs per Month
942 5,312
4,717 11,271
6,608 32,113
21,577 34,056
9,979 11,778
M2M Module
Smartphone
Tablet
Laptop / PC
49 409
*Note: Includes IP VoD traffic

Device IP Traffic Comparison
2014 Device IP Traffic Generation Comparisons
Wearable Device
Smartphone
Tablet
M2M Module
Smartphone
Tablet
Laptop / PC
Monthly basic
mobile phone
data traffic
1077 X=
283 X=
281 X=
74 X=
4 X=
1013 X=

Global IP Traffic by Device Type
By 2019, Non-PC Devices will Drive 67% of Global IP Traffic
0
20
40
60
80
100
120
140
160
180
2014 2015 2016 2017 2018 2019
Other (0.1%,0.1%)
M2M (1%,3%)
Tablets (4%,19%)
TVs (29%,22%)
PCs (60%,33%)
23% CAGR 2014–2019
Exabytes
per Month

LATAM IP Traffic by Device Type
By 2019, Non-PC Devices will Drive 59% of LATAM IP Traffic
0
2
4
6
8
10
12
14
2014 2015 2016 2017 2018 2019
Other (0.05%,0.1%)
Non-Smartphones (0.08%,0.08%)
M2M (0.3%,2%)
Tablets (5%,24%)
TVs (7%,14%)
PCs (83%,41%)
25% CAGR 2014–2019
Exabytes
per Month

Global Internet Traffic by Device Type
By 2019, Non-PC Devices will Drive 64% of Global Internet Traffic
0
20
40
60
80
100
120
140
160
2014 2015 2016 2017 2018 2019
Other (0.1%,0.1%)
M2M (1%,3%)
TVs (7%,8%)
Tablets (6%,24%)
PCs (78%,36%)
26% CAGR 2014–2019
Exabytes
per Month

3
4 Service Adoption Trends – Residential , Consumer Mobile, Business

0
2
4
6
8
10
12
2014 2015 2016 2017 2018 2019
IPv6 Capable Mobile Devices
IPv6 Capable Fixed Devices
2.0B
3.7B
1.0B
Global IPv6-Capable Devices/Connections
By 2019, 41% of Devices/Connections Will be IPv6-Capable
6.2B
Number of
Devices
(B)
26% CAGR 2014–2019

0.0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9
1.0
2014 2015 2016 2017 2018 2019
IPv6 Capable Mobile Devices
IPv6 Capable Fixed Devices
0.2B
0.3B
0.06B
LATAM IPv6-Capable Devices/Connections
By 2019, 46% of Devices/Connections Will be IPv6-Capable
0.6B
Number of
Devices
(B)
27% CAGR 2014–2019

0
5
10
15
20
25
30
35
40
45
50
2014 2015 2016 2017 2018 2019
Middle East and Africa (MEA) (106% CAGR)
Latin America (LATAM) (75% CAGR)
Central and Eastern Europe (CEE) (99% CAGR)
Western Europe (WE) (66% CAGR)
North America (NA) (79% CAGR)
Asia Pacific (APAC) (74% CAGR)
Global IPv6 Traffic Growth / Regions
By 2019, IPv6 Will Represent 34% of Total Internet Traffic
22.4%
33.7%
11.6%
6.5%
17.9%
Exabytes
per Month
7.9%
2.6
46
77% CAGR 2014–2019

Global IPv6 Enabled Content
US 46%
Australia 49%
Brazil 57%
UK 46%
Spain 49%
Today
Projected in 2019
25%
6.6%
Source: Cisco IPv6 Labs

Global IPv6 Deployment
Source: World IPv6 Launch

3
4 Service Adoption Trends – Residential , Consumer Mobile, Business

Global M2M Connections / IoE Growth
By 2019, 1.5 M2M Connections Per Capita Globally
0
2
4
6
8
10
12
2014 2015 2016 2017 2018 2019
Middle East & Africa (26.2% CAGR)
Latin America (21.5% CAGR)
Central & Eastern Europe (28.2% CAGR)
Western Europe (25.8% CAGR)
North America (28.6% CAGR)
Asia Pacific (24.4% CAGR)
26% CAGR 2014–2019
Billions of
M2M
Connections

Global M2M Traffic Growth
M2M Traffic Will Grow 15-Fold from 2014 to 2019
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
5,000
2014 2015 2016 2017 2018 2019
Middle East & Africa (94.4% CAGR)
Latin America (85.8% CAGR)
Central & Eastern Europe (86.4% CAGR)
Western Europe (76.3% CAGR)
North America (82.2% CAGR)
Asia Pacific (61.2% CAGR)
71% CAGR 2014–2019
Petabytes
per Month

By 2019, M2M modules will be 43% of total global devices
and connections and will account for 3% (4.6 EBs/month)
of total global IP traffic.

In LATAM, by 2019, M2M modules will be 31% of total devices
and connections and will account for 1.9% (0.2 EBs/month) of
total IP traffic.

Global M2M Connections / IoE Growth By Vertical
By 2019, Connected Home Largest, Connected Health Fastest Growth
-
2
4
6
8
10
12
2014 2015 2016 2017 2018 2019
Other* (38.2% CAGR)
Energy (31.9% CAGR)
Manufacturing & Supply Chain (8.9% CAGR)
Retail (10.5% CAGR)
Connected Cities (28.2% CAGR)
Connected Health (49.4% CAGR)
Connected Car (37.3% CAGR)
Utilities (21% CAGR)
Connected Work (Ent Mgmnt) (29.4% CAGR)
Connected Home (23.1% CAGR)
26% CAGR 2014–2019
Billions of
M2M
Connections
*Other includes Agriculture, Construction & Emergency Services

•  Agriculture – livestock,
soil monitoring, water
and resource
conservation,
temperature control for
milk tanks +
•  Construction: Site and
equipment monitoring
•  Emergency services and
national security
•  New energy sources –
monitoring and power
generation support apps
•  Smart grid and
distribution
•  Micro-generation–
generation of power, by
residential, commercial
and community users on
their own property
•  Mining and extraction
•  Manufacturing and
processing
•  Supply chain
•  Warehousing and
storage
•  Retail goods monitoring
and payment
•  Retail venue access
and control
•  Slot machines, vending
machines
•  Environment and public
safety – closed-circuit
TV, street lighting, waste
removal, information +
•  Public space advertising
•  Public transport
•  Road traffic
management
•  Health monitors
•  Assisted living – medicine
dispensers +
•  Clinical trials
•  First responder
connectivity
•  Telemedicine
•  Fleet management
•  In-vehicle entertainment
systems, emergency
calling, Internet
•  Vehicle diagnostics,
navigation
•  Stolen vehicle recovery
•  Lease, rental, insurance
management
•  Electric vehicle charging
•  Smart metering
•  Office building
automation
•  Building security
•  Office equipment –
printers +
•  Routers +
•  Commercial appliances
•  Home automation
•  Building security
•  Network equipment –
printers +
•  Network infrastructure –
routers +
•  White goods
•  Tracking applications
•  Household information
devices
Connected CarConnected WorkConnected Home
Connected
Health
Utilities
OtherEnergyRetail
Connected
Cities
Manufacturing
& Supply Chain

Internet of Everything
Increasing Home Connectivity
Note: Globally, there will be 2.2 billion households by 2019
On average,
there will be more
than two connected
home modules per global
household by 2019
2019
5.0 Billion
Connected
Home
Modules
2014
1.8 Billion
Connected
Home
Modules
HVAC and
Lighting
Systems
Home Security
Fire Alarm
Smart
Appliances
Child, Pet and
Personal Items
Tracking
Printers,
Scanners,
Home Routers
Distributed
Screens

3

Global Residential Market, by 2019:
62% (2.4 billion) of Internet users will have
fixed residential internet access.
79% (1.4 billion) TV households will be digital
TV households.
There will be 9.4 billion fixed residential
devices and connections (up from 4.9 billion
in 2014).
Average household will have 4.3 fixed devices
and connections (up from 2.4 in 2014).

Note: By 2019, the global residential fixed Internet population will be 2.4
billion; the number of global TV households will be 1.8 billion
Global Residential Services
By 2019, Time Delayed TV Will Grow the Fastest; Digital TV Will Have Highest Adoption
CAGR
2014–2019
Online Music
Social
Networking
Online Video
Online Gaming
VoIP
Digital TV
Video on
Demand
Time Delayed TV
0%
2%
4%
6%
8%
10%
0% 20% 40% 60% 80% 100%
2019 % Adoption
Source: Cisco VNI Service Adoption Forecast, 2014–2019

Residential Services
Implications / Opportunities
Residential Market Dynamics
Residential Opportunities
for Service Providers
•  More / new connections
•  Preference for mobility
•  Need to monetize increased
network demand
•  Extend content / service
reach across new devices
and connections
•  Partner and form new eco-
systems with OTTPs
•  Develop Wi-Fi / mobility
plans
•  Bolster service portfolio
with value-added IoE / M2M
applications

Global Consumer Mobile Market,
by 2019:
There will be 4.9 billion consumer mobile users
(64% of population).
There will be 9.8 billion consumer mobile
devices and connections.
Average consumer mobile user will have 2.0
mobile devices and connections (up from
1.5 in 2014).

Note: By 2019, the global consumer mobile population will be 4.9 billion.
Global Consumer Mobile ServicesBy 2019, Consumer LBS Will Grow the Fastest; Mobile Banking & Commerce Will Have Highest Adoption
CAGR
2014–2019
MMS
Mobile Social
NetworkingMobile Email
Consumer LBS
Mobile
Gaming
Mobile Banking
& Commerce
Mobile Video
Mobile Music
-5%
5%
15%
25%
35%
20% 30% 40% 50% 60% 70% 80%
2019 % Adoption

Consumer Mobile
Consumer Mobile
Market Dynamics
Consumer Mobile Opportunities
•  More / new devices and
connections
•  Demand for seamless
transition / experience
between fixed and mobile
•  Demand for Wi-Fi offload
and faster speeds
•  Need to monetize increased
network demand
•  Extend reach of traditional /
brick and mortar services
•  Shared data plans
•  Blend service offers with
online services / content
•  Developing / monetizing
Wi-Fi offers
•  Partner with device
manufacturers / content creators
(consider busy /peak demands)

Global Business Market, by 2019:
There will be 2.2 billion business Internet users
(63% of global work force).
There will be 582 million business mobile users
(17% of global work force).
There will be 5.3 billion business devices and
connections (up from 2.8 billion in 2014).
Average business internet user will have
2.4 devices and connections
There will be 1.7 billion business mobile device
and connections (up from 943 million in 2014).
Average business mobile user will have
2.9 mobile devices and connections

Note: By 2019, the global business Internet population will be 2.2 billion;
the number of business users will be 582 million.
Global Business ServicesBy 2019, Personal Video Conferencing Will Grow the Fastest; Mobile SMS Will Have Highest Adoption
CAGR
2014–2019
SMS
Mobile Email
Room Based Video
Conferencing
IP Telephony
Business LBS
Audio
Conferencing
Desktop Video
Conferencing
Web Conferencing
w/o Video
-5%
5%
15%
25%
35%
0% 20% 40% 60% 80% 100%
2019 % Adoption

Business Market Dynamics
Business Segment Opportunities
•  More / new devices and
connections—growing
demand for BYOD
•  Low penetration of
mobile devices
•  Growing demand for service
transition from fixed to mobile
•  Premium security
•  Enhance productivity,
customer support
•  Cloud services and storage—
network, computing,
infrastructure
•  Offer vertical specific
IoE / M2M services
•  Blending and bundling with
other services
Business Services

3

0
20
40
60
80
100
120
140
160
180
2014 2015 2016 2017 2018 2019
Gaming (0.05% , 0.08% )
File Sharing (11.6% , 4.3% )
Web/Data (21.3% , 15.5% )
IP VoD (23.6% , 16.0% )
Internet Video (43.4% , 64.1% )
Global IP Video Traffic Growth
IP Video Will Account for 80% of Global IP Traffic by 2019
23% CAGR 2014–2019
Exabytes per
Month
* Figures (n) refer to 2014, 2019 traffic shares

0
2
4
6
8
10
12
14
2014 2015 2016 2017 2018 2019
Gaming (0.03% , 0.05% )
File Sharing (16.0% , 5.2% )
Web/Data (23.2% , 13.2% )
IP VoD (6.0% , 10.3% )
LATAM IP Video Traffic Growth
IP Video Will Account for 82% of LATAM IP Traffic by 2019
25% CAGR 2014–2019
Exabytes per
Month

Global Video Users/ Subscribers
Online & Mobile Video Growing Faster Than Digital TV
1,000
1,500
2,000
2,500
3,000
2014 2015 2016 2017 2018 2019
Online Video ( 7.3% CAGR) Digital TV HH ( 4.9% CAGR)
Mobile Video ( 21.0% CAGR)
Users/
Subscriptions
(M)

0
20
40
60
80
100
120
140
160
2014 2015 2016 2017 2018 2019
Gaming (0.07% , 0.10% )
File Sharing (16.3% , 5.3% )
Web/Data (24.7% , 17.5% )
Global Internet Video Traffic Growth
Internet Video Will Account for 77 Percent of Global Internet Traffic by 2019
Exabytes per
Month
26% CAGR 2014–2019

0
2
4
6
8
10
12
2014 2015 2016 2017 2018 2019
Gaming (0.03% , 0.06% )
File Sharing (17.9% , 6.0% )
Web/Data (22.5% , 14.1% )
LATAM Internet Video Traffic Growth
Internet Video Will Account for 80 Percent of LATAM Internet Traffic by 2019
Exabytes per
Month
24% CAGR 2014–2019

0
10
20
30
40
50
60
70
80
90
100
2014 2015 2016 2017 2018 2019
Console Game Downloads (1.5% ,
4.6% )
Global Internet Gaming Traffic Growth
Game Downloads To Account for Nearly 5% Percent of Fixed Consumer Internet
by 2019; Currently 2% of Average and 10% of Peak Traffic
Exabytes per
Month
24% CAGR 2014–2019

0
20
40
60
80
100
120
140
160
2014 2015 2016 2017 2018 2019
Ultra-High Def (UHD) Video (0.6% , 13.9% )
High Def (HD) Video (38.6% , 53.5% )
Standard Def (SD) Video (60.8% , 32.6% )
Higher Definition Content Impacts Global IP Video Growth
Ultra-HD IP Video Will Account for 14% of Global IP Video Traffic by 2019
27% CAGR 2014–2019
Exabytes per
Month

0
2
4
6
8
10
12
2014 2015 2016 2017 2018 2019
High Def (HD) Video (15.8% , 38.6% )
Higher Definition Content Impacts LATAM IP Video Growth
Ultra-HD IP Video Will Account for 4% of LATAM IP Video Traffic by 2019
32% CAGR 2014–2019
Exabytes per
Month

0
5
10
15
20
25
30
2014 2015 2016 2017 2018 2019
High Def (HD) Video (55.8% , 69.9% )
Higher Definition Content Impacts Global IP VoD Growth
Ultra-HD IP VoD Will Account for 21% of Global IP VoD Traffic by 2019
14% CAGR 2014–2019
Exabytes per
Month

360 Immersive Video – Wild Card
•  Ideal format for user-driven sports, entertainment and
travel related video content
•  YouTube added support for 360 videos (March 2015),
making the site more useful to VR headset owners
•  Google offers 360 video production support
•  Currently a small selection of videos--more expected
as new 360 camera options become available
•  Live and VoD 360 content (4K) could have a
significant “multiplier effect” on traffic due to higher
definition and bit rates

3

Global Video Users/ Subscribers
Online & Mobile Video Growing Faster Than Digital TV
-
1,000
2,000
3,000
2014 2015 2016 2017 2018 2019
Online Video ( 7.3% CAGR) Digital TV HH ( 4.9% CAGR)
Mobile Video ( 21.0% CAGR)
Users/
Subscriptions
(M)

Global Internet and TV Users/ Subscribers
Global Residential Internet Growing; TV Household Penetration Flattening
1,000
2,000
3,000
4,000
2014 2015 2016 2017 2018 2019
Residential Internet* ( 6.8% CAGR) Total TV HH ( 1.8% CAGR)
Users/
Subscriptions
(M)
* Residential Internet users include fixed and mobile Internet users

Global Digital Media Adapters* Growth
By 2019, DMAs Will Represent 7% of Global Internet Set-Top-Boxes (STB)
By 2019, DMAs Will Represent 32% of Global Internet STB Traffic
Digital Media
Adapters
(M)
64.4
91.7
119.1
143.4
163.3
181.2
0
50
100
150
200
2014 2015 2016 2017 2018 2019
0.68
1.13
1.67
2.25
2.83
3.43
0.0
1.0
2.0
3.0
4.0
2014 2015 2016 2017 2018 2019
DMA
Traffic
(EB/Month)
38% CAGR 2014–201923% CAGR 2014–2019
* DMAs include devices such as Roku, Apple TV, Chromecast etc.

92
0
20
40
60
80
100
2015
Average Household
Cord-Cutting Household
43
GB per
Month
Global Cord-Cutting Generates Double the Traffic
A Cord-Cutting Household Generates 92 GB per Month in 2015,
Compared to 43 GB per Month for an Average Household

3

Global Average Fixed Broadband Speeds
Doubling in Speeds From 2014-2019
2014 2019
Global Mbps
BY REGION
North America
Western Europe
Asia-Pacific
Central & Eastern Europe
Middle East & Africa
20.3
21.8
21.8
7.2
23.2
22.2
6.1
42.5
43.7
49.1
16.9
48.9
45.3
14.9
Latin America
GLOBAL

LATAM Average Fixed Broadband Speeds
Doubling in Speeds From 2014-2019
2014 2019
Latin America Mbps
BY COUNTRY
Argentina
Brazil
7.2
4.4
8.3
16.9
14.9
18.6
REGION
Chile 13.4 27.8
Mexico 7.3 19.1

Global Average Wi-Fi Speeds
Wi-Fi Exceeds Average Mobile (Cell) Speeds During 2014-2019
2014 2019
Global Mbps
BY REGION
North America
Western Europe
Asia-Pacific
10.6
14.3
13.0
5.8
10.3
11.7
3.9
18.5
29.0
20.9
8.6
15.6
22.0
4.7
Latin America
GLOBAL

Mobile Network Speeds Increase 2.4X by 2019
Average Cell Connection Speed (1.7 Mbps in 2014)
Will Grow at a 19% CAGR—Reaching Nearly 4.0 Mbps by 2019
2014 2019
Global Mbps
BY REGION
North America
Western Europe
Asia-Pacific
1.7
2.8
2.0
1.4
2.0
1.6
0.6
3.9
6.4
4.7
2.9
3.5
3.7
2.1
Latin America
GLOBAL

3

Surge of Hotspots
Globally, there will be
341 million hotspots by 2018
•  By 2018, the US leads in total number of hotspots,
followed by China and France
•  Europe is the “continent of Wi-Fi” with 50% of the
world’s Wi-Fi estate in 2014. By 2018, Asia will lead.
•  Today, China has 5 times more commercial Wi-Fi
hotspots than any other country
•  Community Wi-Fi has been driven by Europe and
then North America, but Asia will catch up in 2018
Source: Maravedis Rethink and iPass Inc.

Future of Wi-Fi as Wired Complement
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
802.11
2 Mbps Max
Applications Enabled
Basic internet
802.11b
11 Mbps Max
Email
802.11b
11 Mbps Max
Rich Media Web
802.11ac
3.6 Gbps Max
High Resolution Video
Wired Complement
802.11n
600 Mbps Max
Medium Resolution Video
Number of 802.11ac Home CPE to Increase 20-fold from 2014 to 2019

0
20
40
60
80
100
120
140
160
180
2014 2015 2016 2017 2018 2019
Mobile Data (57.3% CAGR)
Fixed/Wired (11.4% CAGR)
Fixed/Wi-Fi from Mobile Devices (67.5% CAGR)
Fixed/Wi-Fi from Wi-Fi Only Devices (21.1% CAGR)
17%
Global IP Traffic by Local Access Technology
By 2019, Two-Thirds of Total IP Traffic Will Be Wireless*
33%
36%
14%
23% CAGR 2014–2019
Exabytes per
Month
* Wireless traffic includes Wi-Fi and mobile

0
2
4
6
8
10
12
14
2014 2015 2016 2017 2018 2019
14%
LATAM IP Traffic by Local Access Technology
By 2019, 77% of Total LATAM IP Traffic Will Be Wireless*
23%
47%
16%
25% CAGR 2014–2019
Exabytes per
Month
* Wireless traffic includes Wi-Fi and mobile

0
20
40
60
80
100
120
140
160
2014 2015 2016 2017 2018 2019
Global Internet Traffic by Local Access Technology
Wireless Traffic Dominates Internet Traffic
19%
42%
18%
21%
Exabytes per
Month
26% CAGR 2014–2019

3

Global Busy Hour vs. Average Hour Internet Traffic
Driven by Video, Busy Hour Grows Faster than Average Hour
0
200
400
600
800
1,000
1,200
1,400
1,600
2014 2015 2016 2017 2018 2019
Average Hour
Busy Hour
Traffic Rate
(Tbps)

LATAM Busy Hour vs. Average Hour Internet Traffic
Driven by Video, Busy Hour Grows Faster than Average Hour
0
10
20
30
40
50
60
70
80
90
100
2014 2015 2016 2017 2018 2019
Average Hour
Busy Hour
Traffic Rate
(Tbps)

Busy Hour vs. Average Hour
Busy Hour Will Be 3.3x Higher than Average Hour by 2019
2.8
2.6 2.6
3.3
2.9
2.3
2.6
3.4
3.3 3.2
3.7
3.6
3.0
3.1
1.0
1.5
2.0
2.5
3.0
3.5
4.0
Global
APAC
LATAM
NA
WE
CEE
MEA
A
x
i
s
T
i
t
l
e
Ratio of
Busy Hour
to Average
Hour Traffic

0
2
4
6
8
10
12
14
Upstream
Other
File Sharing
Web/Data
Cloud
Downloads
Internet Video
Global Upstream Traffic
Upstream is 23% of Bi-Directional Traffic
Cloud is 13% of Upstream Internet Traffic
Exabytes per
Month

Global Metro vs. Long-Haul Traffic by Topology
2014
Metro is 2.1x Long-Haul
29 EB/mo 60 EB/mo 60 EB/mo
Long-Haul Metro Access
2019

LATAM Metro vs. Long-Haul Traffic by Topology
2014
2019

Global Content Delivery Network (CDN)
Internet Traffic
0
20
40
60
80
100
120
140
160
2014 2015 2016 2017 2018 2019
Non-CDN Internet Traffic (60.6%, 38.1%)
CDN Internet Traffic (39.4%, 61.9%)
Exabytes per
Month

LATAM Content Delivery Network (CDN)
Internet Traffic
0
2
4
6
8
10
12
2014 2015 2016 2017 2018 2019
Non-CDN Internet Traffic (82.9%, 64.9%)
CDN Internet Traffic (17.1%, 35.1%)
Exabytes per
Month

3

Average Global Internet Bandwidth Usage
Average Traffic
per User
2014
16 GB per month
2019
37 GB per month
Future
75 GB per month
Average Traffic
per Household
2014
37 GB per month
2019
91 GB per month
Future
150 GB per month

Average LATAM Internet Bandwidth Usage
Average Traffic
per User
2014
15 GB per month
2019
34 GB per month
Future
75 GB per month
Average Traffic
per Household
2014
44 GB per month
2019
97 GB per month
Future
150 GB per month

83
61
120
0
20
40
60
80
100
120
140
2014 2019
Other Broadband
FTTx
35
GB per
Month
Globally, FTTx Traffic is 77% Higher than Non-FTTx
FTTx Generates 61 GB per Month in 2014 and 120 GB per Month by 2019

Higher Fixed Speeds Enable Greater Video Consumption
Video Behaviors are Consistent Across Multiple Countries
-
500
1,000
1,500
2,000
2,500
3,000
- 10 20 30 40 50 60
Fixed Broadband Speeds (Mbps)
Video Minutes
per Viewer
Linear (Video
Minutes per
Viewer)
Indonesia
India
Argentina
Italy
Mexico
Brazil
Australia
Chile
Russia
Canada
U.K.
Japan
Germany
China
New Zealand
France
Spain
U.S.
Video
Minutes
per Viewer

Global Faster Networks Enable Better Experiences
68% of all broadband
connections by 2019
Online Video
(HD movie download)
22 minutes
(UHD movie
download)
2 hours
10 Mbps
connections by 2019
Online Video
(HD movie download)
9 minutes
(UHD movie
download)
48 minutes
25 Mbps
7% of all broadband
connections by 2019
Online Video
(HD movie download)
2 minutes
(UHD movie
download)
12 minutes
100 Mbps

LATAM Faster Networks Enable Better Experiences
connections by 2019
Online Video
(HD movie download)
22 minutes
(UHD movie
download)
2 hours
10 Mbps
connections by 2019
Online Video
(HD movie download)
9 minutes
(UHD movie
download)
48 minutes
25 Mbps
3% of all broadband
connections by 2019
Online Video
(HD movie download)
2 minutes
(UHD movie
download)
12 minutes
100 Mbps

M2M Monetization and Data Plans
Beeline M2M Services – mapping,
monitoring, reporting, telemetry
targeted at fleet management, oil and
gas, point of sale terminal customers;
Global M2M roaming alliance with
KPN, NTT DoCoMo, Rogers Wireless,
SingTel, Telefonica, and Telstra –
cohesive global M2M solutions.
Telefónica UK to deploy smart meters
in the central and southern regions of
Great Britain – over 53m smart
meters by 2020; £6.7bn in net
benefits to UK through efficiency in
management and deployment and
reduced energy consumption.
CEE Region
Digital Life ($54.97/ month) home
automation and security offer.
It provides 24/7 monitoring, video
surveillance, garage controller, smoke
and carbon monoxide sensor, remote
access from smartphone, tablet, or
computer. Text and email alerts.
Mobile Shared Data Plan (10GB / $80
per month) can be shared across
smartphones, tablets, basic phones,
cameras, internet gaming devices, cars.
NA Region
WE Region NA Region

Usage Limits: Fixed vs. Mobile
Globally, More Mobile than Fixed Users are Impacted by Usage Limits
% Broadband HH
> 500 GB
% Mobile Users
> 2 GB
Global
Western Europe
Asia-Pacific
Latin America
COUNTRY
North America
7.8%
12.5%
5.8%
6.4%
5.2%
5.0%
28.3%
0.9%
1.0%
0.6%
0.8%
0.1%
1.0%
2.0%

Conclusion

Cisco VNI Global IP Forecast, 2014–2019
Key Takeaways / Summary
Global IP Traffic
By 2019, global IP traffic will reach 168 EBs/per month
(2.0 ZBs annually).
Global Mobile Traffic By 2019, 14% of IP traffic will be carried over cell networks.
Global Wi-Fi Traffic By 2019, Fixed Wi-Fi will generate 52% of global IP traffic.
Global IP Video Traffic By 2019, over 80% of the world’s IP traffic will be video.
Global Broadband Speeds
By 2019, average broadband connection speed will more than
double (20.3 Mbps to 42.5 Mbps).
Global Devices/Connections By 2019, there will be 3.2 devices/ connections per capita globally.
Global Internet Users
By 2019, there will be 3.9 Billion global internet users,
representing 51% of the global population.

Cisco VNI LATAM IP Forecast, 2014–2019
Key Takeaways / Summary
LATAM IP Traffic
By 2019, LATAM IP traffic will reach 12.9 EBs/per month
(155 EBs annually).
LATAM Mobile Traffic By 2019, 16% of IP traffic will be carried over cell networks.
LATAM Wi-Fi Traffic By 2019, Fixed Wi-Fi will generate 61% of LATAM IP traffic.
LATAM IP Video Traffic By 2019, over 82% of the LATAM IP traffic will be video.
LATAM Broadband Speeds
By 2019, average broadband connection speed will more than
double (7.2 Mbps to 17 Mbps).
LATAM Devices/
Connections
By 2019, there will be 2.9 devices/ connections per capita in
LATAM.
LATAM Internet Users
By 2019, there will be 371 Million LATAM internet users,
representing 57% of the LATAM population.

Cisco VNI Web Sites
•  Press Release
•  White Papers / FAQs
•  Cisco VNI Web-based Tools / Free Apps
IP Traffic Forecast inquiries: traffic-inquiries@cisco.com
Service Adoption Forecast inquiries: traffic-inquiries@cisco.com
IP Traffic Forecast: http://www.cisco.com/go/vni
Service Adoption Forecast: http://www.cisco.com/go/vnisa

Internet of Everything
By 2019, More Than 2 Connected Home Modules Per Household On an Average
1,781
2,131
2,578
3,191
3,997
5,025
0
1,000
2,000
3,000
4,000
5,000
6,000
2014 2015 2016 2017 2018 2019
Connected
Home
Connections
(M)

2015 VNI Complete Forecast Latin America

Empfohlen

Empfohlen

Weitere ähnliche Inhalte

Was ist angesagt?

Was ist angesagt? (19)

Ähnlich wie 2015 VNI Complete Forecast Latin America

Ähnlich wie 2015 VNI Complete Forecast Latin America (20)

Mehr von Felipe Lamus

Mehr von Felipe Lamus (20)

Kürzlich hochgeladen

Kürzlich hochgeladen (20)

2015 VNI Complete Forecast Latin America