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Mexico’s AI Readiness Test: What Companies Must Fix First

By Carolina Ruiz - Brier & Thorn
CEO

STORY INLINE POST

Carolina Ruiz By Carolina Ruiz | CEO - Fri, 11/28/2025 - 08:30

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Artificial intelligence is no longer a distant concept for Mexico’s business landscape. It has rapidly become a defining force in global competitiveness, reshaping industries, accelerating decision-making, and setting new standards for operational efficiency. Across Mexico, companies of all sizes are asking the same question: How fast can we adopt AI to stay competitive?

The real question, however, isn’t about speed. It’s about readiness. And the truth is that most Mexican businesses, especially SMEs, are not ready for AI, not because of a lack of tools, but because AI requires a level of organizational maturity that many companies haven’t yet built.

Understanding why requires reframing what AI truly is.

AI Is Not the New Cloud. AI Is a GPT

One of the most common misconceptions within Mexico’s business community is the belief that AI adoption will follow the same curve as the cloud migration wave. Over the past decade, cloud technologies helped Mexican companies scale infrastructure, reduce IT costs, and modernize applications without rewriting entire operating models. Cloud transformation delivered benefits even when internal processes remained largely the same.

AI is different. Fundamentally different.

AI belongs to the category of General-Purpose Technologies (GPTs), alongside the internet, electricity, and the internal combustion engine. GPTs do not simply optimize businesses, they redefine industries, talent, infrastructure, security, and culture. They force organizations to upgrade not just technology, but the systems and processes that support it.

And unlike the cloud movement, AI cannot be “lifted and shifted” onto existing structures. It learns from everything inside a company: its data, its workflows, its inconsistencies and its discipline. If it finds structure, AI amplifies it. If it finds disorder, AI amplifies that, too.

This is where Mexico faces one of its most significant challenges for AI adoption.

Mexico’s Digital Transformation Gap: Technology Without True Modernization

Digital transformation in Mexico has progressed, but often superficially. Many companies view it as a technological upgrade rather than a process-driven reinvention. This has created a digital maturity gap, where tools have evolved but the underlying operations have not.

Statistics highlight the problem clearly. A 2023 IDC Latin America report found that 67% of Mexican companies still rely on manual or semimanual processes for core operations.

EY Mexico reported that only one-third of organizations have a formal digital transformation strategy. Meanwhile, the GSMA SME Digitalization Report revealed that more than 55% of Mexican SMEs adopt digital tools without updating the processes behind them.

The consequences are predictable but serious: fragmented workflows, inconsistent data, unstructured information and weak cybersecurity. These weaknesses make organizations vulnerable and unprepared for AI.

AI can automate, predict and optimize. But AI cannot clean your data, standardize your processes, or secure your infrastructure. Those are prerequisites, not outcomes.

And Mexico is trying to adopt AI while those prerequisites remain incomplete.

Why Mexican SMEs Face the Hardest AI Readiness Challenge

Small and medium-sized enterprises (SMEs) represent more than 95% of Mexico’s businesses. They fuel employment, exports, and supply chains. Yet, SMEs face the steepest AI readiness challenges because their digital foundations are disproportionately underdeveloped.

Many SMEs operate through informal workflows, employee experience rather than documentation and processes that vary from day to day. Data lives in spreadsheets, emails or outdated systems. Cybersecurity practices are minimal or reactive. And digital talent especially in cybersecurity, data science and analytics is scarce and oftentimes expensive.

This creates a double burden: SMEs must first undergo a genuine digital transformation and then build data governance structures to make AI viable.

AI adoption without digital transformation is like building a skyscraper on sand: the height is irrelevant if the foundation cannot hold it.

Data Governance: The Most Overlooked Requirement for AI Adoption in Mexico

AI runs on data the way engines run on fuel, and in many Mexican companies, that fuel is contaminated. When data is messy, outdated, or ungoverned, AI can only produce messy, outdated, or unreliable results. It’s the golden rule of "garbage in, garbage out:" feed an algorithm poor inputs, and it will confidently deliver poor decisions.

Deloitte’s "LATAM Data Maturity Report" found that only 29% of Mexican companies consider their data quality to be “high,” and KPMG Mexico noted that almost half lack formal data ownership. The reality is that most Mexican companies operate with data scattered across disconnected systems.

When companies try to adopt AI with poor data structures, the results are worse than “no results.” AI models start to reflect and amplify the problems inside the business. They produce unreliable predictions, reinforce biases, and create false patterns. In fields like manufacturing, finance, or healthcare, these errors can be costly or even dangerous. AI cannot run on broken data. 

Mexico’s companies must therefore treat data governance as the foundation of AI readiness, not a secondary or technical issue.

This means defining data quality standards, establishing roles and responsibilities, securing data flows, validating information integrity and ensuring that data truly reflects business reality. Without these pillars, AI becomes a risk rather than a competitive advantage.

AI adoption dramatically expands the digital attack surface. Mexico already ranks among the most targeted countries in Latin America for cybercrime, and the rise of AI-driven attacks, deepfakes, AI-powered phishing, data poisoning, and model manipulation puts enterprises at even greater risk.

Many companies mistakenly believe that cybersecurity is a separate concern from AI. In reality, cybersecurity is a critical enabler of AI readiness. Poor cybersecurity undermines the integrity, confidentiality, and reliability of the very data that AI depends on.

Frameworks such as NIST CSF 2.0, ISO/IEC 27001 and Zero Trust Architecture are no longer exclusive to large corporations. They are becoming essential for SMEs, especially those involved in nearshoring supply chains where US manufacturers demand secure digital practices from their Mexican partners.

Without strong cybersecurity, AI becomes a vulnerability instead of a strength.

The AI Readiness Roadmap: What Mexican Companies Must Fix First

If AI is the next GPT shaping Mexico’s economic future, readiness becomes a national competitiveness issue. The companies best positioned in this new era won’t be the ones that adopt AI fastest but those that modernize the deepest.  

AI readiness requires a culture shift were we:

  • Stop buying tools and start fixing the way the business actually works.
  • Treat your data like an asset, not an afterthought. If you don’t trust your data, you can’t trust your AI, period.
  • Make security a default setting, not an add-on. If your data and systems aren’t protected, your AI won’t be either.
  • Write things down and standardize them. If people do the same task five different ways, AI won’t know which one to learn.
  • Build teams that understand both the tech and the business. AI won’t run itself, you need people who can guide it.

AI requires far more than enthusiasm. It requires structure. In Mexico’s case, that structure starts with modernizing business processes, securing information and establishing a culture of data discipline. Companies that ignore these foundations will struggle. Companies that invest early will gain a long-term competitive edge.

Artificial intelligence will shape the next decade of economic growth in Mexico just as electricity and the internet shaped previous generations. But unlike past technological waves, AI demands more than adoption, it demands transformation.

Mexico has the talent, the opportunity, and the momentum to lead this transition. But businesses must recognize a simple truth: AI doesn’t transform organizations. Organizations transform so AI can succeed.

Before machines take the lead, Mexican companies must get their processes, their data, and their cybersecurity in order. Those that rise to the AI readiness challenge will not only survive the coming disruption, but they will also define the future of Mexico’s digital economy.

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