Interview with Felipe Herzog, Director of Public Affairs at American Tower

Felipe Herzog: There are several major challenges that Latin America faces in terms of connecting its population, including: (i) regulatory barriers: some countries in the region have regulatory barriers that hinder the expansion of internet access; (ii) infrastructure limitations: many rural and remote areas lack the necessary infrastructure for reliable internet connectivity, such as cell towers; and (iii) affordability: internet services can be expensive, making them inaccessible to low-income populations.

Infrastructure sharing can help address these challenges by allowing multiple operators to share the same infrastructure, such as cell towers or fibre optic cables. This can reduce costs for operators, making it more affordable to expand connectivity to underserved areas. Additionally, infrastructure sharing can help improve coverage and quality of service, especially in rural areas where new infrastructure construction can be customized. By promoting infrastructure sharing agreements between operators, governments in Latin America can help bridge the digital divide and ensure that more people have access to connectivity. Additionally, efforts to improve digital literacy and address regulatory barriers can further support the expansion of Internet access in the region.

Felipe Herzog: Yes, I agree that both revenue and costs will play a crucial role in the successful implementation of 5G networks in Latin America, including in Brazil. Monetization is a key consideration for telecom operators when deploying 5G networks, as they need to see a return on their investment in upgrading infrastructure and spectrum licenses. This includes generating revenue from new services and applications that 5G enables, such as enhanced mobile broadband, IoT connectivity, and low-latency applications. At the same time, costs are a significant factor that can impact the deployment and operation of 5G networks. These costs include not only initial investment in infrastructure but also ongoing operational expenses, such as maintenance, energy consumed, and spectrum fees. In the case of Brazil, where 5G deployment is more advanced compared to other countries in the region, operators will need to carefully balance revenue generation and cost management to ensure the successful implementation of 5G networks. This may involve sharing infrastructure, exploring new business models, partnerships, and value-added services to maximize revenue potential, while also reducing operational costs.

Felipe Herzog: In terms of the next few years, American Tower is likely to continue expanding and upgrading its networks to support growing demand for connectivity, including the deployment of 5G technology. This will require significant investments in infrastructure, including towers, fiber-optic cables, and other network assets. Bottlenecks that American Tower may face in the region include regulatory challenges, such as permitting and licensing processes, as well as environmental and zoning restrictions that can impact the deployment of new infrastructure. To address these challenges, American Tower is going to work closely with government regulators and policymakers to streamline permitting processes and create a conducive regulatory environment for infrastructure investment. American Tower also supports the movement called “Antene-se” which advocates before municipalities for the updating of antenna law. Up to now, more than 700 municipalities have already updated antenna legislation. Building strong relationships with local communities and stakeholders can also help address environmental and zoning concerns. Investing in innovative technologies and solutions, such as small cells, distributed antenna systems, and edge computing, can help enhance network capacity and coverage, especially in urban areas with high demand for connectivity. Collaborating with mobile operators and other stakeholders to deploy shared infrastructure and leverage economies of scale can also help optimize resources and reduce costs.

American Tower is a global leader in wireless communications infrastructure and offers a range of differentiators for its customers:

1. Extensive infrastructure options: American Tower has an extensive network of communication towers, antennas, and other equipment that provide comprehensive and reliable coverage for customers.
2. Expertise and experience: With years of market presence, American Tower has the expertise and technical knowledge to offer customized and efficient solutions to meet each customer's specific needs.
3. Global scale: American Tower operates in various countries around the world, providing customers with the opportunity to expand their businesses into new markets and receive support in different regions.
4. Technological innovation: The company constantly invests in technology and innovation to offer state-of-the-art infrastructure solutions, ensuring operational efficiency and quality service for customers.
5. Strategic partnerships: American Tower maintains partnerships with telecommunications operators, internet service providers, and other companies in the sector, allowing it to offer integrated and collaborative solutions to meet market demand.
6. Commitment to sustainability: The company is committed to sustainable and responsible practices, seeking to minimize the environmental impact of its operations and to contribute to the sustainable development of the communities in which it operates.