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Latin American Multichannel TV Market

Latin America's turbulent economic conditions and underdeveloped media technology have largely kept the region behind the cutting edge of new media innovations. But with 21.1 million multichannel TV households spread across 19 key territories, its $6.1 billion subscription TV business is showing growth in some extended services and two-way upgrades.

Kagan Research forecasts progress in upgrading to digital cable networks from analog and introduction of interactive TV platforms. ITV enables commerce, gambling, contests and other two-way services. Also, a merger of the region's two struggling DTH platforms should promote growth.

Like most developing regions, Latin America is dominated by incumbent analog cable systems, with sluggish development of alternative platforms such as Internet protocol television (IPTV), projected for just a few territories such as Brazil and Argentina.

The region's four leading multichannel territories are Mexico, Brazil, Argentina and Chile. Mexico is a compelling case study because of its strong economic growth that has produced almost 5.3 million pay-TV households at YE2005, accounting for one quarter of the region's multichannel homes.

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