Lack of connectivity seen as big barrier in LatAm IoT market

Latin America is rapidly adopting internet of things (IoT) solutions, but deficient connectivity is representing a barrier. 

In a survey by satellite operator Inmarsat, 83% of respondents in Latin America said they struggled to deploy IoT projects because of connectivity issues.

“That’s much higher than the average, which is about 75% worldwide,” Inmarsat Enterprise president Mike Carter told BNamericas.

Carter said Latin American businesses could generate a 20% return on IoT investments within five years. 

“Almost half of respondents to our survey have accelerated IoT adoption and said it has impacted positively the ability to operate and provided resilience,” he added. 

Inmarsat is operating the Elera IoT network in Latin America, which offers narrowband connectivity. 

Carter said over 80% of companies adopt at least one IoT project. Investment in agriculture is cost-driven while utilities are focusing on security. 

Because terrestrial connectivity isn’t fully suitable, mining is a very important vertical for Inmarsat, although mining companies are “quite conservative on the ground.”

Inmarsat is also providing connectivity for Brazilian rail company Rumo. And the company has connectivity contracts for electrical grids in Brazil, while a major miner in Chile is using Inmarsat technology for environmental monitoring. 

Inmarsat is working with numerous partners, including Globalsat, in key verticals like agriculture, mining, utilities and oil and gas. 

The company is eyeing regional expansion through an ecosystem of partners that can offer solutions and meet organizational demands.