AWS to Support Mexican SMEs
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AWS to Support Mexican SMEs

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Perla Velasco By Perla Velasco | Journalist & Industry Analyst - Thu, 06/29/2023 - 17:48

With the growing significance of technology, Mexican SMEs face the risk of losing their competitive edge in the market. To address this challenge, AWS has committed to offer companies both technology services and counseling to guide them through a technification process. 

SMEs are an important pillar of Mexico's economy, representing 52% of the country's GDP. Mexico has 4.9 million SMEs, of which 1.2 million were born in 2021. It is crucial for this sector to remain competitive in a constantly evolving technological environment.

“We do not often stop to think that SMEs are the backbone of the Mexican economy. They have extraordinary dynamism. SMEs represent seven out every 10 jobs in Mexico,” said Rubén Mugártegui, Director General, Amazon Web Services México, at the “Increasing SME Profitability Through the Cloud” event, organized by the company on June 29.

AWS integrates SMEs as a paramount part of its strategy and aims to help Mexico's economy leverage the competitiveness that technology offers. “Another important aspect to the relationship between SMEs and technology is that despite what they represent to the economy, less than 20% receive adequate training to develop in a competition-driven tech environment,” shares Mugárgueti.

Adopting a cloud-first approach can bring significant benefits to this sector, according to Mugárgueti. However, he acknowledges that the challenge of convincing SMEs about the advantages of embracing technology is primarily rooted in cultural and informational factors rather than the specific technology itself. "The decision to migrate to the cloud is not just up to one person but the entire company. To achieve a successful migration, clear goals must be set to understand how it will impact the business. Cloud does not solve anything if there is no roadmap to adopt it," he says. 

AWS has a network of partners that can support SMEs throughout the process of adopting advanced technological operations. The company emphasizes that these partners can handle the necessary technological solutions to help organizations achieve benefits such as cost optimization. This allows the enterprise team to focus on their core tasks with confidence, knowing that cloud strategies can deliver the desired results.

AWS’ advantages for SMEs depend on the capacity of the contracted service and, as part of its strategy to support these players, AWS has reduced its costs to be more accessible. “We have identified that IT budgets are not growing in Mexico, so we are focusing on becoming more accessible.” Furthermore, the company has identified five key pillars to analyze in an effort to optimize costs for SMEs during their technification journey. In the first place, size is important for determining the appropriate computing resources needed for an operation, whether new or existing. Second, it is crucial to accurately align resources with the chosen technification strategy. Third, increasing elasticity allows for flexibility in deploying services based on demand, ensuring cost-effectiveness during peak periods. Fourth, understanding the required storage type is essential for cost modeling, which directly impacts business operations. Finally, continuous measurement and evaluation play key roles in driving relevant improvements.

Photo by:   garloon

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