Samsung, LG, Alcatel have factories in Brazil. Foxconn is building a factory in partnership with someone and will produce apple stuff here. Even microsoft and sony build things such as xbox and playstation here (more like assemble but still get incentives). Simply building a Jolla factory with BNDES support will not give them a foothold since everyone else is doing the same thing.

To succeed in the Brazilian market they need the following: * Cheap devices. The Jolla phone is more expensive than Android competition, even higher end devices such as Moto G. * Whatsapp support is a must in here. People will decide against a device if it doesnt have whatsapp client. * Agreement with some carrier to push it. * Localized stuff * Multi-sim support. Many Android devices have two or three (and even four) simcard slots so that people can use a simcard for each carrier and call everyone for free. There is a moto g with dual sim in here.

Right now, IIRC, Jolla has no multi-sim support, no carrier agreement, no cheap device. Being cheaper than iPhone is not enough, it needs to be cheaper than ~R$300 (close to USD 130) to succeed in here.

PS: I am working on this market right now. This are trends I've been experiencing here daily.