I am recovering a July post from Homo Zapping, an independent news blog in Mexico, which reported that President Peña Nieto is trying to set up a big data project that would bring together information from government files and social networks. This project could be in charge of Google, Inc., EMC Computer Systems and Kio Networks with an annual cost of 100 million USD.
On the other side, Amazon announced today that Kindle Store will be available to Mexico. In fact, Amazon has been selling Kindle ebooks since the beginning to Mexico, but they localised the costumer experience.
In addition, announced that it has a deal with Ministry of Education to host content in indigenous languages like Nahuatl and Mixteco.
Amazon is also negotiating contents with major local publishers like Fondo de Cultura Economia (a Government funded book-house), Porrua (the major and oldest publisher of legal textbooks and many classics) and Ediciones Era (a publisher of many big name Mexican writers).
And finally, Amazon declared to be open to sell other “categories”. Mexico’s installed capacity for manufacturing would allow Amazon integrating one North America retail operation under NAFTA. Under recent Telecom Reform, Amazon could also render cloud services, as law allows 100% of foreign investment in telecom licenses, and have a cross-border Ad platform.
Just to add on the landscape here, Mexico has 47 M internet users, 4 M internet mobile users, 33.5 M registered taxpayers and 40 M social network users. That is big time big data to have it analysed and a critical mass for launching an e-commerce platform.
Forbes calculates a potential market of e-commerce in Mexico of 1 B USD. Somebody has to awake this market from its slow growth and certainly you can trust credentials of Jeff Bezos.
This Administration is updating the National Digital Agenda focusing on deploying a better and more efficient eGovernment infrastructure and reducing the digital divide. So far, the agenda still in discussion in the Congress and diverse fora, but always on the line of defining an open public policy for using ICTs.
However, the fine line of success for internet services and e-commerce is to grow trust into users. The users are those who impulse the internet with their purchases and interactions. They are the ultimate creators of jobs. The secret to bloom is updating commercial laws in parallel with public policies. It is urgent to simplify registrations of internet services companies and to provide for a detailed regulation on social media and data mining. After all, trust is the foundation of the internet and users perceive otherwise.
Finally, there are no coincidences in the world of the internet companies. They step on each other´s backyards all the time. So, whether Google and Amazon dream of Mexican market or just electric sheep, it is pretty clear there is going to be big business.