...Mature Market; Data-Driven Growth Fitch Ratings forecasts subscriber growth in Latin America to slow in the coming years as mobile penetration rates in most countries have reached near, or above, 100%. This will pose challenges for operators' long-term growth strategies as pricing pressure increases on voice due to intensifying competition. Therefore, operators will continue to focus on mobile data with smartphones to diversify the revenue mix and secure growth. Profitability Erosion Although increasing data revenue is positive, Fitch does not expect it to curb the ongoing margin deterioration for most operators as the degree of revenue contraction from the more lucrative voice segment will be higher. In addition, handset subsidies will increase to incentivize smartphone adoption for postpaid plans. In 2013, the proportion of mobile internet users in the region is estimated to be about 30% from below 20% in 2012. Declining FCF Generation Cash generation for most operators in the region...
