The beginning of the year has been extremely dynamic in the telecommunications industry on both sides of the border.
On the one hand, we have the resounding fall in the value of a large part of the NASDAQ shares. Being the most affected, the action of Netflix, which has fallen more than 30% so far this year. This news has fallen like a bucket of ice water to investors and industry analysts. Although a significant adjustment in the streaming giant’s share price was expected, few imagined the dimension of this fall. As has been observed in recent years, the entry into the market by Disney, Apple and HBO has generated tremendous pressure on Netflix to continue increasing its subscriber base. In addition to that, the inflationary, labor and economic pressures that the world is experiencing make us think again about the viability of a market with capacity for so many different digital entertainment providers at the same time. But Netflix is not alone, Meta, Alphabet, Apple and Microsoft have also collapsed in recent days.
On the other hand, Televisa and Univision have officially confirmed the approval by the regulatory authorities of the United States to carry out the merger of their assets, which will open the doors for the creation of the largest Spanish-language media company in the world. world. The approval by the IFT in Mexico took place in September 2021, a few months after both companies announced the merger plans. From the outset, it is known that Televisa-Univision is already in the advanced stages of its streaming project, with the idea of launching it in the first half of the year and competing in the already saturated OTT market. The recently created company bets on the more than 600 million Spanish-speakers in the world and its vast library of titles and content in Spanish.
Lastly, debate continues in Mexico about the possible entry of Claro TV into restricted television. Regardless of the decision made by the IFT, the truth is that strong animosity abounds among other competitors in the industry. Additionally, as is known, a few days ago, representatives of the United States government formally expressed their concern about the possible approval by the IFT. According to América Móvil, the investment in the game is 8 billion pesos, barely 400 million dollars. We will have to be aware of this issue during the current week to see if the IFT gives any resolution in this regard.
aaja@marielle.com
