OT? América Móvil . . . suffers as reforms sink in
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América Móvil, the mobile operator that the 73-year-old Mr Slim spun off from his Telmex fixed-line company in 2001, now controls about 70 per cent of Mexico’s mobile telephone market. Telmex controls about 80 per cent of all fixed-lines.
Industry analysts say the precise effects on Mr Slim’s company of the proposed constitutional reform are still unclear – not least because it needs to pass through congress, as do other supporting secondary laws.
In addition, two factors will inevitably soften any resulting blow.
The first is that América Móvil’s impressive expansion abroad in the last decade – it now has more than 300m subscribers in at least 18 countries – has reduced its dependence on the Mexican market. The company says that Mexico now accounts for about 35 per cent of its roughly $60bn in annual revenue.
The second is that the proposals create opportunities for Mr Slim finally to offer his Mexican clients television services in a “triple-play” package of internet, telephone and television.
That is something that current rules prohibit him from doing, and which he says is a necessary part of being able to compete successfully in today’s world of technological convergence.. . .
https://www.ft.com/intl/cms/s/0/216885d6-8c36-11e2-b001-00144feabdc0.html