1. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Brazil Broadband and Internet Access Markets Internet and Broadband Access Gains Momentum in Brazil Communications and IT Group “Substantial increases in subscribers for free dial-up Internet access and digital subscriber lines (DSL) are driving the demand for Internet and broadband access solutions in Brazil.”

2. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Industry Trends Overall Internet growth has not slowed down despite economic and political uncertainties in the region Competition becoming fierce among telcos, cable operators, Internet service providers (ISPs), and other new entrants to win over new clients and defend current client base Slow progress of upgrading current infrastructure such as coaxial cable and broadband wireless that are capable of supporting some of the new technologies Low-cost business models such as free Internet access and prepaid Internet cards drive business

3. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Key Features Frost & Sullivan Provides: Specific analysis by technologies {asymmetric digital subscriber line (ADSL), cable modem, and others (wireless and satellite)} segmented by enterprise and residential markets Detailed analysis on key issues influencing the adoption of broadband and Internet access in Brazil Competitive profiles and assessment of top players in the region Market share of service providers segmented by broadband and dial- up services

4. © Copyright 2003 Frost & Sullivan. All Rights Reserved. What We Offer Coverage: Brazil Proven methodology encompassing extensive primary and secondary data and research Focused information and strategies that cover business- and technology- related issues Credible strategic analysis highlighting industry dynamics Key competitive information on top companies, market positioning, and current as well as future strategies

5. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Who Will Benefit? Current Market Participants Find out how you compare to the competition Assess current and future market dynamics Determine and exploit new technology opportunities New Entrants Identify opportunities for new strategic investments Calculate time scales for strategy implementation Position yourself to capitalize on the market’s unmet needs Internet Equipment and Application Vendors Analyze possibilities for strategic alliances Determine which participants will be investing in new technologies Assess attractiveness of each country market in Latin America

6. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Alestra, S.A. de C.V. America Online, Inc. Anatel Andinet.com Avantel AXTEL, S.A. de C.V. Brasil Telecom Cablevisión S.A. Cantv.net ChileSAT Click 21 COFETEL Colombia Telecomunicaciones S.A. E.S.P. Key Market Participants Colomsat S.A. Conatel DirectNet Diveo Embratel ENTEL EPM.Net ETB S.A. ESP FiberTel Genesis Telecom GVT Horizon Serviços Digitais Hughes Network Systems, Inc.

7. © Copyright 2003 Frost & Sullivan. All Rights Reserved. Key Market Participants (Cont’d) InterCable ip2 Manquehue Maxcom MCM Telecomunicaciones MEGACABLE Metropolis Intercom S.A. Multicanal MVS Telecom NET Netizen NetUno PRIMA SATMEX Star One Subsecretaría de Telecomunicaciones de Chile SuperCable Telcel Bellsouth Telecosmo Telefónica S.A. Teléfonos de México, S.A. de C.V. Telmar Terra Networks, S.A. Todito.com TV Cable S.A. TVA VeloCom Vésper VTR Global Com

8. © Copyright 2003 Frost & Sullivan. All Rights Reserved.  Call toll free 877 GO FROST (877.463.7876)  Fax toll free 888.690.3329  E-mail myfrost@frost.com  Visit www.frost.com For More Information