Google announced its plans to launch a data center in Mexico, offering Mexican government agencies as well as private firms an option to store their data locally.
The announcement comes almost a month after the tech giant promised to spend over US$1.2 billion to build digital infrastructure in Latin America.
While Google has long been offering cloud service in Mexico, all its data centers are located outside the country. The Silicon Valley firm has two cloud regions in Latin America: one in Santiago (Chile) and another in São Paulo (Brazil).
The arrival of Google will make the Mexican cloud market even more competitive, making cloud computing affordable for most businesses across the country, said analysts.
Google is just one among many cloud providers vying to win over Mexican consumers. Earlier in June this year, Google’s domestic rival Oracle unveiled a data center in Querétaro. Microsoft said two years ago that it would launch a facility to store data in Mexico, but the US computing giant has yet to do so. Local reports suggest that Amazon is scouting for an ideal place in Mexico to build its data center.
For now, the Mexican cloud market is dominated by America Movil, a telecom monopoly, However, the company has been facing significant competition from China’s Huawei, which runs two data centers in the country.