Backup Power for Mobile Telecommunications: Market Analysis for Alternatively Fuelled Generators in Brazil, Argentina and Mexico

The opportunity in the markets of Brazil, Argentina and Mexico for high-efficiency, low power (2.5kW and 5kW), alternatively fuelled, extended-run backup power generator products for the mobile telecommunications industry is assessed. Although mobile penetration is very high and mobile data use is growing rapidly, there are few drivers for extended-run back-up power system adoption in these markets. Grid power is reliable in each country. Regulatory attention is focussed elsewhere besides back-up power availability in Brazil and Mexico, and installation of extended-run back-up in Brazil and Mexico is infrequent, limiting the opportunity for alternatively fuelled generator products. Despite its poor macroeconomic climate, Argentina appears to be the most attractive market, driven by government regulation requiring extended-run back-up power at all mobile network sites. Due to its dominance in Mexico, unique strategy in Brazil and major presence in Argentina, América Móvil is the recommended target customer.