TIM was responsible for 48% of the Long Distance minutes in Dec/10
TIM leads the market share of Long Distance minutes (LDN) with 48.3% of the minutes used in Dec/10.
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TIM's leadership was conquered with the INFINITY plan which offers Long Distance on-net calls (inside Brazil) for R$ 0.25 by call. Note that the growth of TIM's LDN minutes used occurred without dropping other operators' traffic.
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The leadership in minutes didn't mean, however, the leadership in Long Distance revenue (LDN).
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TIM was the fourth in Long Distance gross revenue in 2010, staying behind Oi, Telefonica and Embratel, but it was the carrier to hold the biggest growth in revenue (22.2%).
| R$ Million | 2010 |
Year Growth |
| Oi | 5,610 |
-8.9% |
| Telefonica | 4,876 |
2.2% |
| Embratel | 4,345 |
-3.5% |
| Tim | 2,374 |
22.2% |
| CTBC | 148 |
21.1% |
| GVT | 240 |
12.1% |
| Total | 17,594 |
-0.7% |
TIM aggressive behavior in LDN was enabled by the acquisition of Intelig and may approach the cost of long distance calls next to local calls, setting the "death of long distance" for call inside the Brazilian territory. In 4Q10, TIM's Long Distance gross revenue by minute hit R$ 0.11 and the average price of a call from a fixed telephone to another fixed telephone reached R$ 0.10.
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Claro, which uses Embratel for its long distance operation, launched recently a plan called "Fale a Vontade", with characteristics that are similar to TIM's INFINITY plan. NET offers also plan with unlimited calls for fixed telephones in the whole country for about R$ 50.00 by month.
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