Mexican Wireless Steady Growth
Mexican Wireless Markets are very promising, but will this make the country any less corrupt and violent?
30 March 2001, 6 pm GMT
The Mexican wireless mobile market has recorded impressive growth, jumping 87% to end 2000 with over 14 million subscribers, says the Yankee Group today.
Analysts predict that the subscriber base will grow by a compound annual growth rate of 18% over the next five years, reaching slightly over 35 million in 2006.
That means while roughly only one out of every seven Mexicans had a wireless mobile
phone at year-end, one out of every three will have one by 2006.
That's good news for the manufacturers, sure.
The entrance of new PCS operators in Mexico during 1999, coupled with the spread of pre-paid services, has spurred growth over the last two years and the arrival of multi-national giants Vodafone and Telefónica Móviles in 2000, will add further fuel to the competitive fire in 2001.
Analysts expects to witness considerable consolidation in the market over the
next 12-18 months, as operators jockey to gain national footprints.
Portatel and Unefon are likely to be the first acquisition targets.
With penetration surging to 20% by the end of 2001, the Yankee Group believes that operators will need to expand their market focus to sustain growth.
As Yankee Group analyst Carlos Guzman states, "2001 will see a shift in strategy as operators move to capitalize on the C and D markets which represent almost 83% of the total population. This will trigger growth in regions of Mexico that have previously been under-served. Operators will also begin rolling out services to the untapped corporate segments and create niche markets as 2.5G arrives in Mexico."
Despite the hype of 2.5 and 3G migration, over 60% of Mexico's subscriber base is still analog. Nevertheless, Telcel, Iusacell, and Pegaso have made bold announcements about 2.5G network deployment.
Researchers expect that Mexico will be among the first markets in the region to roll out 2.5G services, with GPRS and 1XRTT roll outs in early 2002.
Anyone who has visited Mexico, knows how unbelievably wonderful place it is.
Anyone who has lived and worked there knows how plagued the country is with all the typical ailments of third world countries:
despite the rather gentle nature of its native population, corruption, violence and social abuse reign, often with the complicity of foreign investors.
Does the arrival of communication technology make any difference?
Do you know that virtually in every Mexican home there are indigenous people who work
as slave labour, with no contract and no
rights?
Content-wire would like to encourage corporations who are entering new markets to take an interest in local socio-economic conditions. Technology can bring progress.
You can make a difference.
Don't be indifferent, take a stance.
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