Will Claro exceed Tim?
In 2006 Vivo lost market share, and the difference from Tim decreased from 9.5 million cellulars in Dec/05 to 3.6 million in Dec/06.
Even though since April/07 Vivo has grown, with the operation of GSM networks, its leadership continued threatened in the 1st semester of 2007. The acquisition of Telemig and Amazônia Celular changed the situation, Vivo is in advantaged of 8.6 million cell phones compared to Tim.
Market Share July/07
Vivo consolidated its market share leadership, the sema doesn't happen with Tim which is in the 2nd position. In 2006 Tim and Claro grew in net adds (5.2 million).
In 2007 (Jan-Jul) Claro had net adds of 2.9 million cell phones and Tim 2.5 million. Since April/07 Claro has been having net adds superior to Tim.
The difference between Tim and Claro was 1,713 thousands cellulars in March/07, decreased to 1,131 thousands cellulars in July/07.
Teleco's prediction point that this kind of behavior which keeps the difference between Tim and Claro could decrease to 500 thousand cellulars in Nov/07. Claro couldn't exceed Tim in Dezembro of this year or in the begining of 2008. This situation get worse because of high monthly churn (3.2% in 2Q07) presented by the operator.
The brand Tim is stronger and its national coverage guaranteed space in the corporative segment. However, Telecom Italia's financial difficulties which chocked with the entrance of Telefonica in its control group, seemed to affect the performance of the operator in Brazil.
Cellular growth was sped up in the last months in Brazil with a bigger aggressiveness of Vivo and Oi. To follow this growth it's necessary shareholders to increase investments in the acquisition of customers, duly warned the company to lose value.
Claro counts on the support of America Móvil and has been presenting improvement in its earning keeping growth leadership. After lose to Telefonica the battles for Telemig/Amazônia Cellular's acquisition and Telecom Italia participation, only remains to Claro growth sped up to diminish the distance that separates it from Telefonica (Vivo) in Brazil.
In Argentina, CTI (América Móvil) is the 2nd in market share, behind Movistar (Telefonica) and keeps increasing advantage compared to Telecom Personal (Tim), that place the 3rd position.
Claro must also be the 1st operator with 3G (WCDMA/HSDPA) network operation in Brazil which could improve its image with consumers. It might start operations in Sept/07.
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