- POSTED: 15 Jul 2014 04:04
President Enrique Pena Nieto enacted a law that aims to open up Mexico's telecommunications industry to competition.
MEXICO CITY: President Enrique Pena Nieto enacted a law on Monday that aims to open up Mexico's telecommunications industry to competition.
The Congress approved the enabling legislation on Wednesday, hours after telecoms giant America Movil, owned by billionaire Carlos Slim, announced plans to shed its dominant share of the country's telephone phone market.
At a ceremony at the national palace, Pena Nieto said the new law "fosters competition, productivity and innovation."
America Movil currently has an 80 per cent share of the traditional telephone market, and holds 70 per cent of the mobile phone market.
Its market share must drop below 50 per cent to meet the requirements of the new law.
Televisa, the other major telecom affected by the law, has a 70 per cent share of the broadcast TV market and 60 per cent of the cable TV market in Mexico.