Latin America Bandwidth Market Assessment

What are the most recent traits in Latin America’s wavelength market?

We’ve been analyzing traits within the international wavelength market for many years, with knowledge in our Wavelengths Pricing platform going again to 1999. This publish supplies an in-depth take a look at Latin America, inspecting the evolution of connectivity pricing and outlining key subjects related to wavelength pricing dynamics throughout the area.

Wavelength costs proceed to drop

The transport market in Latin America continues to be dynamic. On key routes from hubs like São Paulo, Bogotá, and Mexico Metropolis to the USA, high-capacity gross sales at low per-unit prices are typical. But in areas with much less demand, much less established infrastructure, or extra restricted provider competitors, 10 Gbps capacities and decrease are nonetheless widespread.

Usually talking, a constant development throughout Latin America is that costs are declining steadily. Throughout all routes we monitor connecting the U.S. and Latin America, the weighted median worth for 100 Gbps wavelengths fell a median of 20%, compounded yearly, from 2022-2025. The weighted median worth for 10 Gbps, compared, fell simply 12% throughout that very same interval. Though 10 Gbps is a crucial product in lots of markets, we extra usually see 100 Gbps because the capability of selection in Latin America. And within the markets the place provide and competitors are strong, the price of 100 Gbps has fallen impressively.

Value erosion stays commonplace throughout all main routes in Latin America. However the price of abrasion varies by route. The under determine helps us visualize this higher by exhibiting latest worth decline on key Latin American routes. From 2022-2025, we noticed the weighted median worth of 100 Gbps on these routes fall a median of 21%, compounded yearly.

Weighted Median 100 Gbps Wavelength Costs on Key Latin American Routes

As you may see above, Miami–São Paulo and Dallas–Mexico Metropolis proceed to be probably the most competitively priced routes within the area. These are each very established markets the place provide, demand, and competitors are ample. One noteworthy distinction between them is that Dallas–Mexico is a shorter terrestrial route, which results in decrease prices (and, in flip, decrease costs for patrons) than a subsea route like Miami–São Paulo.

Individually, steep worth erosion has introduced the Buenos Aires–Miami and Lima–Miami routes in keeping with others within the area. From 2022-2025, the weighted median worth of 100 Gbps on Buenos Aires–Miami fell 30%, compounded yearly. For Lima–Miami the worth of 100 Gbps fell 22% over the identical time interval. This comes as each markets have seen elevated competitors and international carriers providing extremely aggressive costs.

Bogotá–Miami connectivity can also be competitively priced and can seemingly get even cheaper. The weighted median value for 100 Gbps on Bogotá–Miami in This autumn 2025 was down 21%, compounded yearly, from 2022.

Market vary

Evaluating common costs on completely different routes is a helpful train. Equally, understanding the vary of costs on a given route can assist reveal deeper dynamics at play. Within the under determine we see such a worth vary for Miami–São Paulo from 2022-2025. Let’s take a look and focus on what the info inform us.

Weighted Median & Value Vary for 100 Gbps Wavelengths on Miami–São Paulo

For a few years, Miami–São Paulo has been Latin America’s de facto predominant route for connecting to the USA. Consequently, this route has attracted numerous opponents promoting capability at a variety of costs. And over the previous few years, the vary of costs has stayed comparatively constant. In This autumn 2022, the very best worth reported to us was $45,000, round thrice greater than our reported low. That’s practically the identical as in This autumn 2025, when our most worth for Miami–São Paulo of $20,000 was 4 instances the low. Throughout that three-year span, worth decline was quicker for the minimal worth (-30%) than for the weighted median (-21%) or most (-24%). This helps what we’ve heard from contacts within the business who word that costs on this route have turn out to be extraordinarily aggressive. Though Miami–São Paulo is a well-established market with excessive obstacles to entry, the worth for 100 Gbps transport retains falling at spectacular charges.

What’s subsequent for bandwidth pricing in Latin America

After a number of years of sluggish progress, Latin America and the Caribbean are starting to see a wave of latest subsea programs deliver extra capability to {the marketplace}. This consists of lately launched cables like Firmina and others like CSN-1, TAM-1, MANTA, TIKAL/AMX-3, CELIA, and Undertaking Waterworth anticipated to enter service within the coming one to 2 years. This elevated provide will push 100 Gbps costs downward, particularly on routes with ample competitors. After that, we count on 400 Gbps gross sales to turn out to be extra widespread on established routes with robust demand within the area.

On two such routes, we anticipate worth erosion to stay regular within the coming years. On Miami–São Paulo, we forecast 100 Gbps costs to fall 12%, compounded yearly from 2025 to 2032. And on Bogotá–Miami we count on erosion to be barely faster over that point interval at 16%.

Forecasted 100 & 400 Gbps CAGR Value Decline on Key Latin American Routes

As soon as the 400 Gbps market on these routes is healthier established, we count on worth erosion to outpace that of 100 Gbps. From 2025-2032, we forecast 400 Gbps costs will fall a median of 15% on Miami–São Paulo and 20% on Bogotá–Miami, compounded yearly.

Past these established markets, we count on costs to proceed to fall all through the area. And in markets the place new capability is anticipated to come back on-line, larger capability purchases will turn out to be extra enticing to prospects. For international locations like Mexico, meaning 400 Gbps gross sales will turn out to be extra widespread. In smaller markets like most Caribbean islands, that may finally imply 100 Gbps wavelengths are offered extra incessantly.

You will discover this knowledge and evaluation and extra in our Wavelengths Pricing platform. Check out the video tour under. (And you can too try the opposite pricing we now have obtainable in our Community Pricing Database.)