科技英语新闻:Brazilian plan to disseminate internet access underway

At first, the telephone operating companies felt threatened by the government's project, which should result in new business models for the sector, said the minister

"We are working with two alternatives, one for companies to offer cheaper services, and in this model Telebras will be a major supplier. We have a great infrastructure of cables. But if there is no agreement with existing companies, President Dilma (Rousseff) directed us to seek other partners," he said.

Although telephone companies were the ones that initiated the provision of broadband internet, cable television providers are increasing services in this market, which will help speed up spreading internet access.

Telebras President Santana stressed that so far companies that offer internet service focus on clients with higher income, while lower-income sectors are beginning to have partial access via cyber cafes.

The performance of state enterprises, Santana said, will allow small suppliers to grow and extend access to places not covered by large suppliers.

"Five companies now dominate the market for broadband internet and they control transmission networks, excluding other competitors. As the government has already hired the necessary infrastructure for various purposes, Telebras would intervene to manage it and enter the market to promote competition," Santana said.

Telebras plans to invest 5.7 billion reais (3.4 billion dollars) in ten years, of which 3.22 billion (1.93 billion dollars) will be used in the first four years of the project, coming from public funds.

"PNBL's goal for this year is to ensure access in 1,163 cities. We currently have 13 million households with internet access, and our final goal is 39 million households, which means access to about 135 million people," he said.

According to Santana, a study on the impact of the so-called "electronic government" indicated that if relative goals are met, Brazil would achieve a reduction of costs equivalent to about 1 percent of GDP.

"Over 80 percent of public purchases are made through electronic procurement. It is shown that an increase of 10 percent in access to broadband internet represents annual GDP growth of 1.3 percent and in Brazil this percentage may be even higher," he said.