This month Forbes wrote about Mexico’s excellent position to bypass India and “become America’s automaton workshop,” which is a status that reflects Mexico’s IT offshoring industry’s number three ranking on the worldwide scale. Mexico is currently behind India and the Philippines, but is quickly inching up towards the number two position.
“Given that Mexico now claims to graduate 130,000 engineers every year – which is more than the U.S. – this may not be impossible,” writes Forbes.
Although the global IT market, like all markets, is currently in a state of rapid flux, there are plenty of opportunities for Mexico in the changing tide. Since most users now have access to a wide array of iPads, smartphones and social media, along with an endless array of downloadable apps, the level of sophistication has grown along with a trend toward user control, which has really raised the bar.
However,Forbes predicts that Mexico will target another emerging IT-related market, the re-automation of America’s manufacturing industry. According to the report,Chinese manufacturing has peaked and industry analysts expect manufacturing will come back to the U.S.,thanks to advances in robotics, artificial intelligence and 3D printing, which will surpass China’s labor- cost advantage.
“These technologies are becoming available and cheap, but America’s manufacturing plants aren’t geared up to take advantage of them,” writes Forbes. “This is what opens the opportunity for Mexico. It can set up automated factories across the border that manufacture at costs comparable to China. Mexican services firms can master the new technologies and help American firms design new factory floors and program and install robots. This is a higher-margin business than the old IT services.”
In this way,Mexico real estate continues to be poised for sustainable growth into the foreseeable future, as the focus shifts from outdated market strategies and old technology to new advances that will streamline the world’s modern production and manufacturing facilities.