ICT
From The Report: Mexico 2018
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Mexico’s telecoms sector is the second largest in Latin America after Brazil in terms of subscriber numbers, contributing approximately 2.4% to GDP in the third quarter of 2017. Penetration of products and services, such as mobile phones, broadband internet and pay-TV, are also on the rise, having ranked well below the global average until 2015. The rollout of a 5G network demonstrates Mexico’s expanding wireless and mobile data market, though it may take some time before 5G can be effectively monetised in a segment with little room for new subscriber growth. Furthermore, Mexico’s IT services and software sector reported a compound annual growth rate of 12% between 2010 and 2016, with its market value estimated at $11.3bn in 2016. In addition, Mexico placed 13th out of 65 countries in terms of the best locations to provide IT, business process outsourcing and call centre services. The uncertainty surrounding a new North America Free Trade Agreement deal and the slowdown of investment in certain sectors is unlikely to have a significant impact on IT and telecoms; however, the outcome of the elections may lead to uncertainty until Obrador’s new administration’s investment plans are unveiled. This chapter features an interview with Sergio Rosengaus, CEO, KIO Networks.

Articles from this Chapter

Overview

Efforts continue to focus on breaking up market monopoly and Levelling the field: boosting sector performance
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Mexico’s telecoms sector is the second largest in Latin America after Brazil in terms of subscriber numbers, contributing approximately 2.4% to GDP in the third quarter of 2017. Between June 2013, when significant telecoms reforms were introduced by the government, and September 2017, sector revenues swelled by 66.7%, or MXN451m ($24.7m), according to a third-quarter 2017 report from sector watchdog the Federal Institute for Telecommunications (Instituto Federal de Telecomunicaciones, IFT), the…

Interview

Digital transformation: Sergio Rosengaus, CEO, KIO Networks, on the success of upgrades to the telecoms network and cybersecurity
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Interview :Sergio Rosengaus How have telecoms network upgrades undertaken in recent years benefitted the industry? SERGIO ROSENGAUS: The government did very well by initiating the Red Compartida, or Shared Network project, in 2015. Mexico needed a substantial upgrade to its telecommunications network, and this endeavour has been a cornerstone of its modernisation. Three main pillars – better network quality and wider reach for the whole country, more competitive prices, and higher-quality…

Overview

Key to competitiveness: Robust infrastructure, tech parks and talent drive growth
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Mexico’s IT services and software sector reported a compound annual growth rate of 12% between 2010 and 2016, with its market value estimated at $11.3bn in 2016, according to ProMéxico, the country’s investment and export promotion agency. In 2017 Mexico placed 13th out of 65 countries in terms of the best locations to provide IT, business process outsourcing (BPO) and call centre services, according to US-based global management consultancy AT Kearney. Among the factors contributing to the…

Analysis

Smart cities: Fostering public and private engagement to transform urban centres into tech-savvy environments
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Several initiatives are under way to transform Mexico’s major metropolitan areas into so-called smart cities, combining technology and government policy to create better economies, a cleaner environment and to improve mobility and governance in order to enhance the quality of life of their inhabitants. Among the benefits are greater efficiency and reduced paperwork, as well as increased transparency in public administration. These changes will facilitate a better connection between citizens and…