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Vonage Moves into Brazil to Offer VoIP Service


United States’ IP telephony company Vonage has signed a joint venture agreement with Brazil’s Datora Telecom to deliver communications services in the Latin American country.

Vonage said Brazil represents a huge opportunity for VoIP service providers because the Latin American country is investing billions of dollars to increase national broadband penetration in preparation for hosting the World Cup next year.

As of today, 17 million households in Brazil have access to broadband, and Vonage says this number will grow to 40 million by 2014.

“Brazil is one of the fastest growing markets in the world for communications services, and we are excited to partner with Datora to bring new services to Brazilian consumers,” said Kimberly O’Loughlin, Vonage’s Managing Director, International Markets.

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With the telecom market in the US becoming increasingly saturated, Vonage has been  expanding into international markets.

“This is the second international partnership we’ve entered into in less than one year as part of our continuing efforts to drive growth,” O’Loughlin added.

Datora Telecom was the first company to operate VoIP services in Latin America, and the first telecom provider in Brazil to be issued a Mobile Virtual Network Operator (MVNO) license.

The company has a significant physical presence in Brazil, with points of presence in the country’s most important cities, and more than 200 interconnection agreements with leading carriers in the countries where it does business.


About Narayan Ammachchi

News Editor for Nearshore Americas, Narayan Ammachchi is a career journalist with nearly a decade of experience in reporting on politics and international business. He works out of his base in India's outsourcing capital, Bangalore.
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