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Brazil promises SA investment

Nicola Mawson
By Nicola Mawson, Contributing journalist
Johannesburg, 16 Aug 2010

Brazil will invest in joint ventures and share intellectual property with local companies if the Department of Communications (DOC) selects its television standard.

Industry has been testing digital broadcast on the European DVB-T standard in preparation for a switch from analogue to digital. However, in April, the department controversially decided to review the 2006 decision to use DVB-T and is now pondering using the Brazilian upgrade to the Japanese ISDB-T standard.

However, industry has warned that if the DOC opts for the different standard, it could set back the digital migration process by years, and cost the country millions more in investments.

Brazil has offered to sweeten the change over, and says it will invest in joint ventures and share intellectual property to aid the local sector implement ISDB-T. The country also wants to create an international ISDB-T forum, and expand its standard in Africa.

Investment promise

Andre Barbosa Filho, the special to the chief office of the office of the presidency, says the South African government has been offered the opportunity to allow Brazilian companies to set up joint ventures, which would be partially funded by Brazil. However, there is no concrete amount on the table.

Brazil is targeting ISDB-T for adoption in the entire Southern Africa Development Community, and wants several African countries to use the standard, which would allow the South American country to develop bigger economies of scale, bringing manufacturing costs down.

Barbosa Filho says “Africa is not just a market,” but rather an opportunity for Brazil to share its intellectual property and transfer skills. He says stimulating the Brazilian manufacturing sector can develop jobs in Brazil, and could have the same effect in SA.

In addition, says Barbosa Filho, Brazilain companies and tertiary institutions would be willing to train local companies to produce electronic broadcasting equipment. “We could shake hands and work together.”

So far, several South American countries, with a combined population of about 500 million, have elected to adopt the Brazilian standard. DVB-T, however, has been adopted by more than 120 countries and is in use on every continent.

* Nicola Mawson was hosted in Brazil courtesy of the Brazilian Embassy in SA.

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