Mexico’s Slow AI Adoption Due to Ethical Concerns: AI Week

Artificial intelligence adoption in Mexico remains slow, with only 2% of business revenue dedicated to the technology, hindered by investment constraints, ethical concerns, and cybersecurity issues. Despite these challenges, Mexico is making strides in AI awareness, with 67% of the population understanding the technology. AWS plans to open a major data center in Queretaro by 2025, while BBVA has expanded its AI factory to Mexico.

Internationally, Elon Musk and his platform X are facing legal action from nine EU countries over violations related to AI data use. Meanwhile, generative AI has the potential to transform productivity in Latin America, yet the region’s minimal investment in AI highlights the need for Mexico to increase its investment and develop a robust national AI policy.

Ready? Here is your AI, Cloud & Data Weekly Roundup!

Mexico

Mexico's AI Adoption Slows from Investment, Ethical Concerns

In Mexico, the adoption of AI remains slow, with only 2% of business revenue being allocated to this technology, according to a study by KPMG. While 43% of companies are generally aware of AI, only 38% are planning to implement it without certainty. Key barriers include limited investment, ethical concerns, and cybersecurity challenges.

AWS Queretaro Data Center to Start Operations by 2025

Amazon Web Services (AWS) has announced that its new data center in Queretaro, Mexico, will begin operations in 2025. This center aims to establish itself as a key technology hub for the Americas by offering over 240 cloud services.

Mexico Leads in AI Adoption Despite Cybersecurity Challenges

Mexico is emerging as a leading force among developing nations in the adoption of AI, despite facing significant challenges related to cybersecurity and technology regulation. While developed countries often exhibit more caution due to privacy concerns, the Inclusive Internet Index reports that 67% of Mexicans understand AI, and 47% view its impact positively.

BBVA Expands AI Factory to Mexico to Boost Global Development

BBVA has expanded its AI factory with the opening of new centers in Mexico and Turkey to drive global product and process development. The strategy focuses on leveraging internal computer code and global collaboration, enabling BBVA to enhance service personalization and optimize internal operations through generative AI and strategic alliances.

International

Elon Musk, X Sued by Nine EU Countries Over AI Data Claims

Nine European Union countries have filed a lawsuit against Elon Musk and his platform, X, for allegedly using user data without consent to train its generative AI, Grok, in violation of the General Data Protection Regulation (GDPR).

Bridging the AI Divide In Latin America

GenAI holds the potential to boost productivity and impact up to 38% of jobs in Latin America, according to the International Labor Organization (ILO). However, the region’s investment in AI is significantly low, at less than 1.7% of US levels, exacerbating existing inequalities and stifling economic growth. Mexico, despite its promising digital infrastructure, faces challenges such as a shortage of tech skills and a need for greater public sector innovation, to capitalize on AI’s potential. Therefore, to address these challenges, Mexico must significantly increase its investment and develop a national AI policy.