WhatsApp: operators discuss the end of free access to the app – 07/17/2023 – Market

Executives from the three main operators in Brazil —Tim, Vivo and Claro— signaled that the companies are debating the end of unlimited access to predetermined applications in the contract. The three telephony giants offer unlimited access to WhatsApp.

This service leveraged the sale of plans in the country, where 62% of people only access the internet via cell phone. Exchanging messages via WhatsApp is the main use of cell phones in Brazil. Both data are from the TIC Households survey, carried out by NIC.br (Dot BR Information and Coordination Nucleus).

Operators, in general, sell data packages, with a consumption ceiling. By agreement with technology companies, they exclude certain apps from the consumed data count.

The president of the Claro Brasil group, José Felix, called the strategy a mistake at an innovation event in telecommunications held in June. Felix said at the time that his company has spent millions to maintain data consumption on big tech platforms.

To maintain these plans, operators assume the costs of providing data to attract customers or charge application providers. A report by InternetLab shows that the strategy increases the average price of plans and encourages what researchers call technological dependence, as it encourages the use of certain applications.

Felix said that the principle of net neutrality, determined by the Civil Rights Framework for the Internet, needs to be reviewed, so that new agreements take into account the disparate sizes of the main technology companies, such as Meta, Google and Apple.

Experts, however, claim that the “zero rating” plans are a violation of net neutrality by confining users to certain internet niches.

wanted by SheetClaro states that it does not comment on this topic or the speech of its executive.

The operator offers plans with unlimited access to WhatsApp, Waze, Instagram, TikTok and Facebook.

Tim guarantees free access to WhatsApp and Deezer in prepaid and postpaid plans, which also include unlimited Instagram, Facebook and Twitter. Questioned by the report about the intention to end the zero rating plans, Tim preferred not to comment on the matter.

TIM’s revenue director, Fábio Avellar, told Broadcast, from Estadão, that having unpaid traffic always generates a loss. The company needs to assess whether the strategy attracts enough customers to pay the cost, he said.

The operator was the company that most installed antennas for the 5G signal so far and is looking for ways to offset this investment, said Avellar at the time.

Vivo is the operator that least offers unlimited access to applications. The company’s customers have unlimited access to WhatsApp only. Some postpaid plans include Waze.

“More and more we have reduced the offer of applications with unlimited use for the market, because we understand that there is a need to remunerate the investment made in the network”, said to Broadcast the vice-president of Vivo’s business, Alex Salgado.

The company confirmed to Sheet work to reduce the number of applications with open access.