América Móvil

América Móvil, S.A.B. de C.V
Sociedad Anónima Bursátil de Capital Variable
Traded as BMV: AMX
NYSE: AMX
NASDAQ: AMOV
BMAD: AMXL
Industry Telecommunications
Founded 2000
Headquarters Plaza Carso, Mexico City, Mexico
Area served
 South America/North America
Key people
 Carlos Slim Helú, (Chairman)
Daniel Hajj Aboumrad, (CEO) Iran Campbell Jr, (General Manager)
Products Fixed-line and mobile telephony, broadband and fixed-line internet services, digital television, IT and network services
Revenue Increase US$ 59.3 billion (2012)[1]
Increase US$ 7.1 billion (2012)[1]
Number of employees
 158,694
Subsidiaries Page Plus Cellular, Telmex, Claro, Telcel, TracFone Wireless.
Website www.americamovil.com

América Móvil is a Mexican telecommunication company headquartered in Mexico City, Mexico. It is the fourth largest mobile network operator in terms of equity subscribers and one of the largest corporations in the world. América Móvil is a Forbes Global 2000 company. A venture of Carlos Slim, América Móvil provides services to 289.4 million wireless subscribers, 34.3 million landlines, 22.6 million broadband accesses and 21.5 million PayTV units as of the end of 2014.[2]

Company information

The company's world headquarters are located in Mexico City, Mexico. Its Mexican subsidiary Telcel is the largest mobile operator in Mexico, commanding a market share in excess of 70 percent. The company operates in many countries in Latin America and in the Caribbean including: Jamaica, the Dominican Republic, El Salvador, Guatemala, Honduras, Nicaragua, Peru, Argentina, Uruguay, Chile, Paraguay, Puerto Rico, Colombia and Ecuador under Claro subsidiaries. In Brazil it also operates under the trademark Claro and other subsidiary Embratel. It owns 30% of KPN Telecom in the Netherlands and has done a bid on 100% of the shares. Since September 2012 it owns 23% of Telekom Austria.

América Móvil acquired 100 percent of Jamaican mobile operator Oceanic Digital, under the brand name MiPhone in August 2007.[3] On November 15, 2005, the company signed an international pact with Bridge Alliance to jointly deliver various international services.

In the United States, it operates through its subsidiary TracFone Wireless under the brands TracFone, NET10 Wireless, Straight Talk, SIMPLE Mobile and Telcel América. It is one of the leading national pre-paid wireless service provider in the U.S.

As of December 2010, the company was one of the top four telecommunications companies in the world and boasted 290,000 kilometres of fiber optic cable, making it the largest in infrastructure.[4]

With annual sales of over $47 billion (As of April 2012), the company is currently the largest company in Mexico by revenue, more than the next five largest companies combined.

With annual profits of over $5 billion (As of April 2012), the company is currently the most profitable company in Mexico, more than the next three most profitable companies combined.

With assets of over $67 billion (As of April 2012), the company is currently the largest company in Mexico by assets with Banorte very closely behind them with assets of over $59 billion (As of April 2012) It is highly likely that the company will buy a group of companies with at least $29 billion in assets in 2013 in the pension, insurance, payroll, currency exchange and mutual funds industries to secure their position as the most asset rich company in Mexico.

With a market value of over $93 billion (As of April 2012), the company is currently the most valuable company in Mexico, more than the next three most valuable companies combined.

In September 2013, AT&T announced it would expand into Latin America through a partnership with America Movil.[5]

Alleged Cost

Lack of competition in telecommunications in Mexico is estimated to cost the economy of Mexico $25 billion a year,[6][7] although this finding has been disputed by economists and academics such as Hausman & Ros, where the authors conclude the opposite: there was in fact a consumer surplus of $4 – $5 billion USD with respect to comparable countries.[8]

Telmex acquisition

In January 2010, it made an offer to buy Carso Telecom and Telmex International in order to better compete against Spain's Telefonica and Malaysia's Telekom Malaysia. The acquisition was approved by the CFC (Comisión Federal de Competencia) Antitrust Office in Mexico on February 11, 2010.

América Móvil had once been Telmex' mobile division, but since its spinoff in 2001 it had grown far larger than its former parent.[9]

América Móvil global wireless customers

As of Dec 2014:[10]

North America
Central America and The Caribbean
South America
Global wireless customers 289.449 million

América Móvil in the world

América Móvil in the World

América Móvil wireless technology by country

South America

Caribbean

Central America

North America

KPN acquisition attempt

In early August 2013, América Móvil offered to take over the remaining 70% stake of the Dutch telecommunications company KPN for 7.2 billion Euros ($9.49 billion). América Móvil currently owns close to 30% of KPN. The Dutch government has warned against this acquisition quoting it as a threat to national security. The Dutch government’s intervention comes after the council representing employees of KPN urged authorities to halt América Móvil’s planned bid.[11]

Complete Report on AMERICA MOVIL

Key Highlights
THE AMERICA MOVIL GROUP
AMX’s PAY-TV OPERATIONS IN LATIN AMERICA / BUSINESS STRATEGY

See also

References

  1. ↑ 1.0 1.1 "Financial Tables". Yahoo Investor Relations. Yahoo! Inc. Retrieved July 5, 2010.
  2. ↑ "América Móvil 4th quarter results 2014". Retrieved 22 Feb 2015.
  3. ↑ Business News Americas staff reporter. "AMX buys Jamaican operator Oceanic Digital". BNamericas.
  4. ↑ "Buzz in the air as AMX comes of age". Financial Times.
  5. ↑ Sinead Carew (18 September 2013). "AT&T to expand in Latin America with America Movil deal". Reuters.
  6. ↑ "Telecoms reform would boost competition and growth in Mexico, says OECD". OECD. January 30, 2012. Retrieved March 12, 2013. The “OECD Review of Telecommunication Policy and Regulation in Mexico” says that the lack of competition has led to extremely high prices for consumers and businesses and slowed the take-up of new services.
  7. ↑ Stryszowska, Marta, (2012), "Estimation of Loss in Consumer Surplus Resulting from Excessive Pricing of Telecommunication Services in Mexico", OECD Digital Economy Papers, No. 191, Éditions OCDE. Accessed 16 May 2014.
  8. ↑ http://www.americamovil.com/amx/es/cm/news/2012/Hausman-RosOECDRebuttalFinal.pdf
  9. ↑
  10. ↑
  11. ↑ Dolia Estevez (13 September 2013). "Dutch Government Issues Warning On Takeover Of Telecom Firm KPN By Mexican Billionaire Carlos Slim". Forbes.

External links