In 2013, the Latin American market, which has the fastest-growing Internet adoption, has reached a tipping point with the Internet penetrating 50% of the population. Mobile penetration has also grown–Mexico’s smartphone use doubled between 2012 and 2013, leading the region in mobile traffic. In light of this growth, American marketers and advertisers are quickly expanding into the region. eMarketer predicts that mobile ad spending in Mexico will grow 87.7% in 2014 to $173 million.
Only fueling the fire, the current telecom reform in Mexico is leading to fundamental shifts in the industry that (1) reduce prices and increase quality for telecom businesses and consumers, (2) encourage industry competition, and (3) promote domestic and foreign investments. In the recently published white paper, Mexico’s Telecom Reform, our friends at ManattJones Global Strategies highlight the regulatory changes in the industry and provide insights into the variables impacting the reform’s effectiveness. The paper also discusses América Móvil’s surprisingly quick move to divest some of its assets. América Móvil is the largest telecom company in Latin America and fourth in the world.
With an effective reform, these macro-level shifts will further improve mobile and Internet access for consumers in Mexico and make the market even more appealing to foreign businesses.