0507-MexicoNearly half of the 108.3 million residents of Mexico* have a mobile phone, and about 20 percent use the Internet, but only about 4 percent subscribe to pay-TV, and less than 1 percent to Internet services. Add to that the fact that approximately 40 percent of Mexicans live below the poverty line* and business potential seems grim.

But Mexico is actually a fast-growing, promising broadband market deploying and testing high-end technologies–trials for IPTV are in motion, the mobile market is heading toward IMS and 3G development is in the early stages, just to name a few. And after last year’s Convergence

Agreement, which basically allows for fixed-line operators to enter the pay-TV segment and cable TV operators to offer voice services, new competition is promoting cable-telecom alliances, network upgrades and emerging technologies.

What follows are some brief statistics and a peek at some of Mexico’s major players.

Mexico broadband stats

• 52.9 million mobile subs**
• 20.2 million Internet users**
• 19.9 million fixed telephone lines in service**
• 4 million+ pay-TV subs**
• 700,000+ Internet subs**
• 75,000+ telephony subs**
• 200+ cable TV operators

América Móvil

• Headquarters: Mexico City
• Mexico’s largest mobile operator through subsidiary Telcel.
• Offers voice and data services.
• 43.2 million mobile subs***
• Serves 14 other countries with 124.8 million worldwide subs.***


• Headquarters: San Pedro Garza García
• Mexico’s second-largest fixed line telecom operator, behind Telmex.
• Provides local, long-distance, broadband, data and custom communications solutions, and VPN and other IP-based services.
• 792,500 lines in service***
• 416, 304 line equivalents (at 64 Kbps)***
• 104,703 Internet subs***
• Acquired Avantel for $516 million in December.
• Provides IP telephony services for Cablemás since entering a joint venture agreement on April 28, 2005.


• Headquarters: Mexico City
• Second largest Mexican cable TV operator, behind Megacable.
• Offers telephony, iTV and cable TV, and broadband and wireless Internet services.
• 709,309 cable TV subs***
• 176,182 high-speed Internet subs***
• 25,089 IP telephony lines***


• Headquarters: Mexico City
• Subsidiary of Grupo Televisa
• Provider of digital TV (with VOD and HD offerings), and broadband and wireless Internet services.
• 380,189 digital TV subs*
•  75,863 Internet subs*


• Headquarters: Guadalajara
• Largest Mexican cable operator
• Provider of digital cable (including DVR, HD and VOD offerings), high-speed Internet and telephony services.
• 750,000+ cable TV subs**
• 280,000+ Internet subs**
• 20,000+ telephony subs**
• In March 2006, RCN closed the sale of its 48.9 percent interests in Megacable and Megacable Comunicaciones de México.

Sky Mexico (Innova)

• Headquarters: Mexico City
• Subsidiary of Grupo Televisa
• Largest Mexican provider of digital DTH TV service.
• 1.43 million subs***

Telmex (Teléfonos de México)

• Headquarters: Mexico City
• Incumbent Mexican telecom operator
• Owns more than 90 percent of Mexico’s lines in service.
• Provider of telephony, and ADSL, dial-up and WiFi Internet services.
• 18.3 million lines in service***
• 2.7 million Internet subs***
• Offers various services in Argentina, Brazil, Chile, Colombia, Peru, Uruguay and the U.S.

* As of July 2006
** As of March 2007
*** As of January 2007