Daniel Aboumrad

PRESIDENT OF AMÉRICA MÓVIL LATIN AMERICA

Brazil 2015  I  Telecommunications  I  Interview

BIOGRAPHY He holds a degree in Business Administration from the Universidad Anáhuac, and has been the mastermind behind the group’s licence acquisitions and helped expand into South America to create the globe’s fourth-largest mobile operator. 

WE OFFER SERVICES TO MORE THAN 350 MILLION CUSTOMERS AND WE FORESEE AN INVESTMENT OF OVER $32 BILLION FOR THE NEXT FIVE YEARS.

Can you give us an overview of America Movil Group?

Thanks to modern technology achieved more than 300 million accesses voice, broadband and pay TV as well as 58 million hits to landlines. We are fully aware of the associated liability to the services we offer, as these are a very important factor in economic and social development of all countries where we operate. Therefore, we pay special attention to strict regulatory compliance, and respect and foster free competition, which generates greater benefits for consumers and society as a whole.

 

One of our most important goals as a company is to reduce the digital divide, which translates to multiple benefits to the community: high connectivity, communication, education, boost economic activity and entertainment, all under the most modern technology. Thus, greater possibilities of development of the people of the countries where we operate are offered. We offer services to more than 350 million customers and we foresee an investment of over $32 billion for the next five years. The quality of our service, the latest technology, competitive prices and an increasingly complete offering of products and services allow us to fulfill our mission to communicate America with the world.

 

What are your priorities for 2015?

To fulfill our Mission and Vision, we must continue as before with a aggressive investment program in order to increase our coverage, incorporate the best technology, offering new and better services, since we are convinced that our development will depend on the value that we generate for our customers in a responsible and sustainable vision with all our stakeholders and the environment.

 

That's how our strategy prioritizes: proximity to our customers; offering a greater variety of products and services with more and better options; provision of converged services; ensuring high quality service, attention, innovation, coverage and the most complete and competitive offer, within a socially responsible environment; active participation for community development in which we operate; contribution in reducing the digital divide; an increase in harmony with the environment; and a strict control of expenses.

 

How important is the development of human resources in your business?

America Movil firmly believe that every person has unlimited potential, capacity and the intrinsic desire to win, thanks to which we have become one of the largest employers in the countries where we operate. In late 2014, we reached 158,719 employees, who have a stable job, well paid, with benefits and constant opportunities for development according to the needs of each locality. Our human capital is the foundation of our present and potential future, so we try to create a professional environment of inclusion, fair, to boost creativity, promotes teamwork and fosters the full development of all staff.

 

Brazil is the largest market for telecommunications in Latin America, what is your strategy for the country?

The stabilization of financial markets that had come about at the beginning of the year and had led to a rapid appreciation of various Latin American currencies and provided certain boost to economic activity in the region came to an end at the beginning of the second quarter on renewed concerns about global economic growth and the economic situation of some European countries.

 

In some Latin American countries like Brazil, the economies slowed down more intensifying competitive pressures. Well, what's happening in Brazil? The Brazilian economy has been slowing down a little bit and the competition has been very soft. The competition has been intensifying and that's really the reason why ARPU and margins have been going down. Let’s say in long distance call maybe year-over-year the reduction on prices has been maybe 50%. So there is a lot of competition there and we hope that the competitors would be more intelligent and the market would be more rational, but that's something that I cannot tell you. In Brazil, we have been investing a lot, so we are prepared for competition and that's really what is happening with ARPUs and margins there.

 

In Brazil, we have been investing a lot and our budget is also a good budget for investment. We don’t think we need to invest more. We have been improving a lot on qualities, what we have been working a lot the last year and this year, and I don’t think we need more CapEx. It’s something that we have been doing now for this year and what we’re going to do until the end of next year. So that’s mainly what is happening. In the CapEx through America Movil, what we said is that we’re going to invest around $30 billion in three years, that was last year, this year and the next one. I think we are more or less on that range. We don’t think there is going to be big difference on what we think for the rest of this year and the next one.