Telecoms & IT

With the initial signs of effective reform now reaching the market, Mexico’s telecommunications and IT sector is seeing the competitive progress that had eluded it for several years. Although long-time dominant player América Móvil remains the undisputed industry leader, the asymmetric laws introduced by the government are slowly opening the market to more effective competition. This is galvanising market players and reducing prices for consumers, as well as spurring interest among foreign investors. Prices for mobile telecoms fell by 17% between February 2013 and January 2015, according to the Federal Institute for Telecommunications, while prices for global telecoms services fell 15% over the same period. However, market shares for América Móvil have remained fairly steady, particularly in mobile, a trend expected to change in 2016 once competitors are granted access to América Móvil’s wholesale services and infrastructure to complement their own facilities.