Mexico’s STEM Talent: An Opportunity for InvestorsBy Jorge Ramos Zwanziger | Mon, 07/12/2021 - 12:24
Mexico’s science, technology, engineering, and math (STEM) workforce has been growing at a fast pace as every year over 110,000 engineers graduate from Mexican universities, according to shelter IVEMSA. This means that over 20 percent of all graduates in Mexico are engineers, which is more than what the workforce can readily incorporate. However, IVEMSA argues that this talent pool is attracting the interest of different tech corporations and venture capitalists in the world towards Mexico, either to invest or draft talent.
According to the US Bureau of Labor Statistics, “Employment in computer and information technology occupations is projected to grow 11 percent from 2019 to 2029, much faster than the average for all occupations.” This might mean that demand for talent in the area will keep increasing at a rate that the US may not be able to satisfy. “Recruiters are feeling the pressure, from the chief executive officer down to the hiring manager, and are working extremely hard to find that tech talent,” said James Atkinson, Vice President of quantitative analytics and data science at research and advisory firm Gartner Inc, according to the Wall Street Journal.
The World Bank published a few years ago that Mexico’s information technology outsourcing industry had been growing at an annual rate of 10-15 percent and said that the country is the third-largest exporter worldwide of information technology services. IVEMSA argues that this is the reason for which Mexico’s increasing tech talent pool can benefit tech companies. “Many Mexican universities offer outstanding STEM programs, some of which are ranked higher than major US universities. They produce a deep, highly skilled talent pool—at a lower cost,” reads the company’s website. This means that companies in the US and other foreign companies can take advantage of the large talent pool available in Mexico.
The vision is shared by other companies. According to a CodersLink Report ‘Tech Salaries in Mexico,’ the country has three major tech talent hubs: Monterrey, Mexico City, and Guadalajara. The last one has been called the Mexican Silicon Valley, as it is a hub for innovation and technology in the country. CodersLink named Nuevo Leon an “investment magnet,” particularly due to its proximity to the US border, while Mexico City offers its own line of benefits as one of the largest cities in the world. CodersLink advises investors to grasp Mexican talent, which is less expensive particularly when adding all the inexpensive benefits that must be given to collaborators in the country.