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Mexico Spectrum Licensing
Onda Analytics Limited, Feb 2010, Pages: 33
The Mexican telecoms regulator, Cofetel, has announced the tender for 1700MHz and 1900MHz spectrum. The auction provides an opportunity for both existing operators to increase their total spectrum allocations and for new operators to enter the mobile market. Currently the mobile market is dominated by Telcel, a subsidiary of America Móvil, while Telefónica is the only other major force in the market, with both Iusacell and Nextel being minor players. Both Telcel and Telefónica require more spectrum to meet growing demands for 3G services such as mobile broadband.
The auctions also create the potential for new entrants into Mexico’s mobile market. This could include cable operators, adding mobile services to their existing offerings, or new entrants joining the Mexican market for the first time.
This report looks at the state of the Mexican telecoms market at the moment and the potential outcomes of the spectrum licensing process. The report considers the fixed, broadband and mobile markets and the key players in Mexican telecoms market overall. The report then considers each of the potential outcomes of the licensing process. Each outcome is described and the implications for both the licence award winners and existing operators is analysed.
Key questions answered
- What opportunity presents itself in the Mexican market as a result of the spectrum auction?
- What is the current state of the Mexican telecoms market?
- Which companies are best placed to exploit the opportunity?
- How might the licensing affect existing player in the market?
- How are the market dynamics likely to change following the spectrum awards?
Key data
- Socio-economic indicators for Mexico (population, age distribution, GDP per capita growth)
- Fixed line, broadband and mobile subscribers in Mexico, 2006-2009
- Broadband market share by technology in Mexico, 2006-2009
- Mobile operator market share by operator in Mexico, 2006-2009
- Mobile ARPU in Mexico, 2006-2009
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