Speaking on the sidelines of the World Economic Forum in Latin America, during June 2016, Loly Gómez, Regional Manager for North Latin America at BT Global Services, said BT would now look to expand its business in Mexico as the country moves out of a period of regulatory reform and towards greater economic stability.

Gómez said BT has no interest in providing fixed-line or broadband services for consumers, but would focus efforts on offering data services, including storage solutions, to operators and other large companies.

Mexico is coming to the end of two years of reform around regulations on dominant companies in sectors such as broadcasting and telephony. Gómez said clearer rules and an opening of the market are creating the right conditions for long-term investment, and BT would look to reposition its business in the country.

Gómez also said BT would look to replicate its collaboration with the Colombian government, under which it helped improve connectivity to remote areas through the development of satellite infrastructure (BTwatch, passim). To this end, she said BT had already met with Ildefonso Guajardo, the Mexican Secretary of Economy, to discuss BT’s potential contribution to efforts to extend connectivity to the remotest parts of the country.

Reflecting the growing importance of Mexico, Gómez also said BT would look to appoint a new Country Manager for Mexico and Central America, based in Mexico City, and that an announcement would be made “shortly”.

Backing her comments, Gómez pointed to 24% revenue growth in Mexico in the year ending 31 March 2016, and predicted this could increase to 60% for FY16-17.

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BT trying again in tough market to crack

Gómez’s comments restate BT’s long-flagged ambitions to target growth in Latin America, and Mexico specifically, although the telco has failed to reach previous goals for the growth of the business in the country.

In November 2014, a Bloomberg report indicated that Jennifer Artley (Chief Operations Officer at BT Americas) and Jorge Marchena (erstwhile General Manager of BT Global Services for Mexico, Central America and the Caribbean) had met with regulators to discuss growth prospects, as well as the new laws being introduced in the country to promote competition and foreign investment.

That meeting closely followed comments from Marchena, in which he laid out plans for BT to double its business in Mexico during 2015 through expansion of one of the company’s existing alliances with local telcos Alestra, Axtel, and Bestel – efforts that do not appear to have effectively materialised, despite some improvement in FY15-16 revenue.

While the Mexican market may be about to enter a period of investment and heightened competition, BT will see considerable competition from other more established challengers with closer regional links.

Since the last BT declaration that Mexico is ripe for investment, the anticipated overhaul of the Mexican telecoms market has been completed. The new rules are designed to curb the dominance of Carlos Slim’s América Móvil, which controls incumbent fixed and mobile operators in the country, leading to a more competitive environment. As a result of the legislative changes, América Móvil spun off its towers business into a separate entity, raising the prospect of rivals more easily sharing the incumbent’s infrastructure. However, Slim’s businesses are expected to maintain investment plans; and major altnets, such as AT&T (via its November 2014 acquisition of number-three mobile operator Iusacell) and Telefónica Group, have also made significant pledges to build up infrastructure in the country (Telefónicawatch, passim).

Image: © Bloomberg.

About

About BTwatch

Report: #277
Covering: June 2016
Published: July 2016
Next report: August2016
For more information visit: BTwatch

Table of Contents

3 Executive brief
5 BT Group
7 Digital Britain
10 Legal and regulatory
12 Operations
13 Partners
14 Pension
16 People
18 Corporate responsibility
20 BT Consumer
21 Advertising
22 Broadband
23 Legal and regulatory
25 BT Sport
27 Devices
28 EE
29 Channel
29 ESN
30 Legal and regulatory
31 Networks
33 Operations
34 Devices
34 Partners
35 BT Business & Public Sector
36 IT services
37 Public sector contracts
38 BT Ireland
38 Products and services
39 Suppliers
41 BT Global Services
42 Contracts
42 BT International: Americas
44 BT International: Europe
45 Security
46 BT Wholesale & Ventures
47 Tikit
49 Openreach
50 Networks
51 PIA
52 Fibre
52 Suppliers
53 Competitors
55 Further reading
60 Index

Index

Symbols

2Touch 39

A

Adtran 6
ADVA Optical Networking 45
Advertising Standards Authority 21, 27
Agilisys 37
Alestra 43
Alternative Networks 29
Amazon
– Amazon Web Services 39
Amazon.com 39
América Móvil 43
Apple 30, 36
Argos 30
Arriva 34
AT&T 13, 43
Auchan Holding 44
– Gallerie Commerciali Italia 44
Axtel 43

B

Balfour Beatty 12
Bestel 43
BioBeats 16
BlackBerry 39
– Good Technology 39
Broadband Delivery UK (BDUK) 7, 9, 12
Broadband Stakeholder Group 22
BT Group 5, 6, 9, 10, 12, 16, 18, 21, 24, 33, 39, 45, 52, 53
– BT Business & Public Sector 29, 35, 36, 37, 39
– – BT Business Direct 36
– – BT Engage IT 36
– – BT Expedite 16
– – BT iNet 36
– – BT Ireland 38
– – BT smartnumbers 38, 39
– BT Centre 33
– BT Consumer 20, 21, 22, 27, 52
– – BT Cloud 42
– – BT Home Hub 21, 27
– – BT Infinity 27
– – Home Hub 6 27
– – Plusnet 22, 23
– BT Global Services 6, 13, 16, 37, 41, 42, 43
– – BT Americas 43
– – BT Assure 45
– – BT Benelux 42
– – BT International 42, 44
– – BT Italia 44
– – BT One Voice 39
– – BT Security 45
– BT Pension Scheme 14, 15
– BT Technology, Service and Operations 13
– – Adastral Park 16
– – Azure 42
– BT Wholesale 16, 46, 51
– BT Wholesale & Ventures
– – BT Facilities Services 12
– – Tikit 39, 47
– Directors
– – Hoettges, Timotheus 10
– – Hudson, Isabel 16
– – Rake, Sir Michael 6
– EE 10, 16, 21, 22, 23, 28, 29, 30, 31, 33, 34, 39, 52, 53
– – 4G Calling 31
– – 4GEE Wi-Fi 34
– – Emergenc Services Network 29, 30, 34
– – MBNL 53
– Executives
– – Ainley, Katherine 47
– – Allera, Marc 33
– – Artley, Jennifer 43
– – Bannon, Colin 51
– – Cimini, Gianluca 44
– – Foley, James 38
– – Gómez, Loly 42
– – Hanif, Mansoor 34
– – Hughes, David 16
– – Hughes, Mark 45
– – Jeavons, Peter 16
– – Lord, Andrew 45
– – Marchena, Jorge 43
– – O’Neill, Colm 37
– – Patterson, Gavin 10
– – Peacock, Jason 13
– – Sears, Mat 16
– – Selley, Clive 50, 52, 53
– – Whitley, Tim 16
– Ex-executives
– – Quartermaine, Mark 29
– – Slaven, Helen 16
– Openreach 6, 9, 39, 49, 50, 51, 52, 53
– – Equality of Access Board 16

C

Carbon Disclosure Project 19
Carbon Trust 18
Carillion 12
Check Point Software Technologies 45
Cisco
– Meraki 38
Cisco Systems, Inc. 13, 38, 39, 45
CityFibre 50
CK Hutchison 30
– Three Group
– – Three UK 10, 22, 29, 30
Communications Workers Union 12
Competition and Markets Authority 24, 53
Competition Appeal Tribunal 24
Competition Commission 10
Conservative Party (UK) 6
Consip 44
Corus 14
Cradlepoint 31

D

Dell 36
Department for Business, Innovation and Skills
– Vaizey, Ed 6
Department for Culture, Media and Sport (DCMS, UK)
– Broadband Delivery UK (BDUK) 7, 8, 9, 10, 12
Deutsche Fußball Liga 25
– Bundesliga 25
Deutsche Telekom 6, 10
– T-Mobile 16, 30
Digital Britain 7, 9, 10
Dimension Data 13
DocSolid 47

E

Eagle Eye 16
EEF 9
EMC 13
European Telecommunications Network Operators Association (ETNO) 10
European Union 6, 10, 14, 18, 22, 23
– European Commission 24

F

Federation of Small Businesses 10
Financial Services Authority 39
Football Association 25
Fortinet 45

G

G-Cloud 39
Glastonbury Festival 31
Goldman Sachs 39
Gusto Telecom 31

H

Hewlett-Packard 36
Highlands and Islands Enterprise 10
HighQ Solutions 47
HP Inc 13, 36
HSBC 39
Huawei Technologies 21, 52

I

Icomera 34
Internet Central 51

J

JPMorgan Chase 39
Juniper Networks 13

K

Kingston Communications (KCOM) 22

L

Liberty Global 27
– Virgin Media 21, 22, 23, 27, 50, 53
Lloyds Banking Group 39
London Borough of Hammersmith and Fulham 37

M

Macquarie 14, 15
Microsoft 42
Ministry of Defence (MoD) 39
Mobile Broadband Network Ltd (MBNL) 53
Monteray 12
Morgan Stanley 39
Motorola Solutions
– Airwave 29, 30

N

National Health Service (NHS, UK) 39
NetDocuments 47
Netformx 13
Network Rail 9
Nokia 34
Nomura 39
North Supply 39

O

Ofcom 23, 24, 25, 29, 53
– Physical infrastructure access (PIA) 51
Open Internet Forum 22, 23
Orange 16, 30, 39

P

Palo Alto 45
Parseq 39
Pensions Regulator (UK) 14

Q

Qualcomm 34

R

Resilient plc 39
– smartnumbers 38, 39
Royal Borough of Kensington and Chelsea 37
Royal KPN 45
RSA Insurance 16

S

Salesforce 39
Samsung 30
Sckipio 51
SK Telecom 30
Small World Consulting 19
Sprint 13
SSE plc 53
Standard Life 16
Superfast Cymru 12

T

TalkTalk Telecom Group 21, 22, 24, 25, 27
Technology
– 3G 30, 31
– ADSL 52
– Broadband 7, 9, 12, 18, 22, 23, 24, 25, 27, 33, 34, 38, 42, 50, 52
– CRM 44
– Ethernet 53
– Fibre 7, 9, 24, 25, 50, 51, 52, 53
– – Fibre-to-the-cabinet (FTTC) 51, 52
– Fibre-to-the-premises (FTTP) 50, 53
– G.fast 6, 50, 51, 52
– ICT 18, 37, 44
– Internet of Things 22, 45
– IP 13, 18, 44
– ISDN 39
– LTE 29, 30, 31
– Microwave 27, 33
– OTT 10
– Quantum key distribution 45
– R&D 16
– SIP 39
– Tetra 29, 30
– Unified Communications 37
– VDSL 52
– Vectoring 51
– VoIP 44
– VoLTE 31
– Wi-Fi 21, 27, 31, 34, 38, 44
Telefónica 10, 22, 29, 43
– giffgaff 22
– O2 UK 22, 29
Telstra 13
Tesco 22
Tiscali SpA 44
Toshiba 45
– Toshiba Research Europe 45
Transport for London 37

U

UEFA 25
University College London 36

V

VMware 39
– Airwatch 39
Vodafone 10, 22, 23, 29, 39, 44
– UK 10, 22, 23, 29

W

Walt Disney Company, The
– ESPN 25
Westminster City Council 37
WIK Consult 23
World Economic Forum 42
WPP 21
– Maxus 21
– MEC 21