Our business MODEL
We are the tower company with the highest number of sites in Mexico. Wew ork with long-term agreements that provide both stability and income that are protected against generalized movements in prices.
There are three main factors that determine the company’s income and profitability: Number of towers, Occupation per tower and Fixed Cost Structure.
1
Growing Market
Increase in demand of towers
Several analysts foresee that the explosion in the traffic of data for intelligent terminal equipment will continue to fuel the demand for an increased radio-communications infrastructure. Mobile operators will have to continue investing in the expansion of the capacity of their networks to keep up with the increase in demand for data plans and the migration of users to LTE.
2
Competition Benefit
+ Occupation = Lower costs for operators
During the past few years, the global trend in the telecommunications industry was a simultaneous expansion of customers and networks where coverage was the great differentiating factor. Nevertheless, the evolution in the market has led operators to share network infrastructure, redefining their strategy towards differentiation in service.
3
Increase in Profitability
Shared costs = Fixed Cost Structure
In view of the fact that most mobile telephone companies regard Site Infrastructure sharing as advantageous, instead of individually assuming installation and management costs in this segment of the industry, we open doors for our assets to be marketed to two or more customers, thus increasing investment profitability.
Solid
INFRASTRUCTURE
Telesites has a portfolio composed of 12,874 sites, with four types of towers (mast, guyed, self-supporting and monopole) and strategic locations which enable us to offer the best and most complete network in the Telecommunications market.
Growth of
1,000*
towers per year
* Estimate of at least 1,000 towers per year during the next 5 years
Most experienced tower builder in Mexico
12,874
towers at the end of 2015
QUALITY
operation
We have more than 16 years’ experience in the construction and operation of towers in our country. We have a workforce composed of engineers, architects and management staff capable of coordinating one of the largest tower constructions in the world, of efficiently operating our portfolio and of providing specific follow-up to the needs of each customer.
223*
Employees at the end of 2015
* Includes outsourcing
High
GROWTH POTENTIAL
We are in a market of close to 25,000 telecommunications towers which the IFT (Federal Telecommunications Institute) estimates will demand a growth of more than three times its current size.
The penetration of mobile data presents exponential growth and demands that justify the expansion of the telecommunications network in the country.
MARKET SHARE*
- Telesites
- American Tower
- Others
TELECOMMUNICATIONS MARKET IN MEXICO
| Technology | Operator 1 | Operator 2 | Operator 3 |
|---|---|---|---|
| 2G | 92% | 80% | 75% |
| 3G | 87% | 73% | 69% |
| 4G | 50% | 14% | 10% |
Source: IFT
87%
mobile penetration in Mexico vs 119% in Latin America
Up to the second quarter of 2015, with figures from the IFT
* Calculations obtained from AMT public information,
starting with an approximate of
25,000 total towers in the market.