For a country the size of Brazil, telecommunications are of fundamental importance. Considering that, at the present time, long-distance communication flows are responsible for a huge circulation of information, concluding that no country in the world can do without an efficient system of services of data transmission.
In Brazil, the sector was monopolized by Telebrás between 1972 and 1998, when its privatization took place, in a very controversial process. After all, the model followed by the country did not restrict foreign participation, nor did it set a limit on shares per buyer. In other words, the way in which the sale took place may result in the replacement of the state monopoly by the private one.
Another aspect that draws attention refers to the fact that large foreign companies acquired control of Telebrás to operate in partnership with foreign suppliers of equipment. With this, there is a great possibility that these companies will start selling to new concessionaires, to the detriment of national suppliers.
On the other hand, the opening of the monopoly seemed inevitable, given the volume of investments needed to maintain the sector. It is worth mentioning that the telecommunications industry is being renewed at a very high speed, which requires a permanent application of resources, both technological and financial. Since Telebrás could not make the necessary investments, the sale of its telephone operators became essential.
Furthermore, it is important to remember that, at the time of the privatizations, the federal government was guided by neoliberalism, according to the which State action should be restricted to essential activities, in the areas of health, education, public safety, among others.
Human Geography of Brazil - geography of Brazil
geography - Brazil School
Source: Brazil School - https://brasilescola.uol.com.br/brasil/telecomunicacao.htm
