President Claudia Sheinbaum has identified digital transformation as a key strategic element of Plan Mexico, in which she aims to attract USD 277 billion in investments and capitalise on opportunities generated by the US-Mexico-Canada Agreement (USMCA). Digital transformation is also expected to be included in the new ‘Elimination of Bureaucratic Paperwork Procedures and Corruption’ law, which covers three levels of government: municipal, state, and federal.
To this end, the Agency for Digital Transformation and Telecommunications (ATDT) was established as a ministerial-level authority under the Executive Branch. In Plan Mexico, the ATDT plays a vital role in several strategic projects beyond connectivity and digital transformation, including semiconductors and aerospace.
The structure of the ATDT
The ATDT has defined its organisational structure, which includes an office dedicated to operational and project management, as well as two main coordination areas:
The Coordination for Digital Transformation
This office will oversee strategies related to digital government, including the creation of personal digital identification and electronic signatures. It will also define the digital inclusion policy, the digitalisation of procedures, administrative simplification strategies, citizen service, and inter-institutional links.
The Coordination of Digital Infrastructure
This team will be responsible for the development of technological solutions for the federal government, including establishing and implementing cybersecurity management and policies. It will coordinate all ICT-related issues, such as a shared Cloud and Data Centre for government use. The President expects these resources to be available across all three levels of government.
The Coordination of Digital Infrastructure includes the General Directorate of Telecommunications Policy, which was previously part of the SICT. The directorate covers the government’s Plan for National Connectivity, as well as the policy for universal digital inclusion, among other issues.
The ATDT also controls the National Commission for Regulatory Improvement, Mexican Postal Service, INFOTEC, and the Mexican Space Agency (AEM). It is worth noting that President Sheinbaum recently announced that she will merge the activities of AEM and Mexsat into a single organisation.
New telecommunications regulator
In addition to overseeing digital transformation, the ATDT has also been designated as the authority in charge of telecommunications and broadcasting policy. As a result, it will be responsible for regulating telecommunications and broadcasting, in accordance with the constitutional reform that eliminates the Federal Telecommunications Institute (IFT).
Congress shall determine how the new regulator will operate during the next legislative session, which began on 1 February. Once the secondary law is published, a 180-day period must pass before the reform takes effect and President Sheinbaum can issue the decree for the dissolution of the IFT.
In the meantime, there is a duplication of authority between the IFT and President Sheinbaum, which has already led to the cancellation of the 5G auction process initially planned by the IFT.
Uncertainty on telecommunications
As outlined, the ATDT is a key player in the country’s digital transformation and will become increasingly relevant in the regulation of telecommunications. However, regulatory uncertainty remains, as the IFT continues to operate with a restricted budget and within a framework of overlapping authority with the President.
This situation will become clearer as Congress defines the secondary law that outlines the characteristics of the new regulator under the ATDT, as well as other changes that may facilitate infrastructure deployment, among other aspects.
What comes next
The Mexican digital ecosystem is experiencing its biggest transformation in a decade, with new policies expected to take effect once the ATDT confirms its personnel and budget, and the government completes the dissolution of the IFT. As a result, 2025 will be a year of planning, adjusting, and adapting to new processes and projects according to the interests of President Sheinbaum.
There are a few remaining question marks regarding the 5G auction. It is unclear whether the ATDT will resume the process started by the IFT or launch a new one more aligned with the new government’s priorities. Similarly, the regulatory agenda will likely adapt to the policies set by the ATDT, requiring industry stakeholders to adapt and react to maximise opportunities.
Stay ahead of uncertainty
As the leading tech policy firm, Access Partnership can guide you through this transformative period. Our expertise in regulatory advocacy and market strategies ensures that your organisation is prepared to adapt to these transformations. As a global business, we support clients locally, nationally and internationally.
To learn how your organisation can navigate the implications of Mexico’s regulatory reforms and leverage opportunities in this evolving landscape, please contact Geusseppe Gonzalez at [email protected] and Fernando Borjón at [email protected].
