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Government IT Development

The fourth revolution reaches the Latin American countryside

The most critical revolutions in Latin America happened in the countryside. The Latin American fields have witnessed social inequalities, but also justice claims. Now, a new revolution is being developed from the Argentine pampas to the Rio Grande. The leader is the Internet of Things (IoT).

The fourth technological revolution is coming to the countryside with sensors to predict the rain, monitors that show the characteristics of the soil, moisture meters. All these devices would be linked to a big data platform that would analyze and interpret the results with Artificial Intelligence. The AgTech in Brazil and Argentine shows how they can be used.

Modernization of the field in Latin America would have a global impact

Innovations in the field would have an economic impact on the world, not only in Latin America. Since 2000, the region has surpassed North America as the main exporter of agricultural products in the world. In most products, Latin American countries have a surplus and, according to forecasts, the region’s export quota will grow 25% by 2028.

The IoT would drive this trend. These technologies bring new possibilities in the management of rural production. Satellites with more accessible services allow crop monitoring. Modern harvesters let you know productivity by field (unit by area). Smart irrigation solutions measure the level of water in the soil to avoid waste and reduce expenses. The main economic powers of the region have begun to take the first steps for this revolution.

The governments of Brazil and Argentina have promoted the use of this technology in recent years. Brazil has presented pilot projects to promote the technologies of the field in the country, while Argentina plans a reform in its legislation that allows reducing the costs of the technological devices. The revolution is just beginning.

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Government IT Development

Argentina must eliminate barriers to the expansion of IoT in the countryside

Argentina’s agricultural sector exports an average of $40 B a year. This makes it an ideal laboratory for the development of new technologies focused on increasing productivity and facilitating the decisions of agricultural workers.

Argentina has had success stories in the modernization of the countryside. After adopting biotechnology, agricultural production went from 40Mt in 1990, to 120Mt at present. Now, the country hopes to achieve similar results with the IoT.

“Satellite and remote sensing technologies have been used in Argentina for some time. Producers are eager for technology, “said Gervasio Pineiro, professor of the faculty of agronomy at the University of Buenos Aires and a researcher at Conicet, an organization dedicated to the promotion of science and technology.

The large local agricultural producers, which constitute about 10% of the total, use cutting-edge technologies; another 40% make partial use of innovations, while the remaining 50% do not use them, Pineiro estimates.

The software uses a range of satellite images and applications from smartphones to nanosensors, for example, that measure soil conditions and connect remotely to artificial intelligence systems that, thanks to the information collected, can generate parameters according to Past and recorded events, which allows us to anticipate problems.

Currently, there are some Argentine companies that promote the use of this technology. “But agricultural producers consider what technology to incorporate based on the profits they receive. They are willing to try, but if it is very complicated and the profits do not increase, they will return to their traditional system, “Pineiro warns.

AgTech startups in Argentina

In Argentina, a variety of companies already offer products and services developed in IoT for different tasks. In agriculture, there are developments for monitoring soil, temperature, irrigation, harvesting, and fertilization, among other areas; while in livestock there are solutions for monitoring, feeding, sanitation and reproduction.

One of the most successful emerging companies is SmartCultiva, which exports equipment to 18 countries, among which the United Arab Emirates represents 80% of its market. By using nanosensors, it allows producers, both in the field and in greenhouses, to obtain real-time data on temperature, humidity levels, light levels, CO2 levels, pH, total dissolved solids, oxygen in the water and other parameters.

It works by deploying 26 nanosensors in the field (powered by solar panels), which collect data and then send it, via GPRS, 4G, radiofrequency or WiFi, to a cloud platform that processes them and presents them to decision-makers.

Martín Bueno, the co-founder of SmartCultiva, who also participates with his sensors in the NASA project to bring humans to Mars in 2030, points out that, for example, those who grow wheat are interested in knowing the soil moisture at three levels different. ; and those who have vineyards need to know the altitude, soil moisture, and relative humidity. For this reason, there are sensors with specific characteristics that collect the information required for different types of agriculture.

Good stresses that technicians or agronomists in the field are key to defining what type of sensor should be used and what information should be collected. “They are the ones who are going to decide that an alarm should sound when the temperature is exceeded or when the pH level is higher. We provide the system and it is the agronomist who molds it according to needs. We do not advise you on how to proceed, decide what should be done. “

In March Expoagro 2019 was held, the largest agribusiness show in the region. There, the main innovations in machinery and technology received awards, among which there were also IoT developments. MuSensor for precision livestock, from the company Campo Preciso. This system includes smart collars to monitor animal health and detect heat, disease, behavior, and activity.

Another company, Kilimo, received an award for an IoT device that produces a water balance for each lot, in addition to the soil analysis that, through the application of Big Data, recommends strategies according to the needs at each specific point on the earth.

There are still few AgTech companies in Argentina

The number of local technology companies linked to the field is low compared to what is happening in other sectors, such as fintech, commerce or logistics, according to the study ‘The Agrotech Revolution in Argentina’, published by the IDB and the CREA group in 2018 .

The slow development in Argentina corresponds to three factors:

  • High prices on technological products at the regional level, which limits the adoption of sensors and wireless connectivity.
  • Low speed on 4G connections, according to OpenSignal. Even the 5G network will not be a priority for companies, which will seek to improve and expand 4G before adopting 5G.
  • The scalability of enterprises, as they are limited to physical conditions such as soil characteristics, climate, as well as the particularities of agricultural workers.

Pedro Vigneau, deputy secretary of agribusiness markets of the Ministry of Production, said that a law on the “knowledge economy” is necessary to allow the development of the agricultural industry in the country. The government will present to the congress a bill on tax exemptions for companies in the “knowledge industry”, that is, in the areas of software, biotechnology, robotics, audiovisual, export consulting services, artificial intelligence, and video games, among other segments.

Despite the economic crisis that Argentina is going through, the agricultural industry is expected to produce a record harvest this year and continue to lead exports. With the changes mentioned above, the interest of entrepreneurs in developing new and better tools to take full advantage of this key area of the economy.

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Government IT Development

AgTech in Brazil is at an early stage

Although several of AgTech technologies are beginning to be adopted in Brazil, the country is still at an early stage in the use of IoT, according to the head of the agricultural informatics unit of the Brazilian Agricultural Research Corporation (Embrapa), Silvia Massruhá.

The head of Embrapa considers that Brazil’s challenge is the fact that they already have many types of devices. “But they are not connected because there is no connectivity in the field, or because the data is heterogeneous, or because there is no way to integrate into the application,” she explains. According to the IIC 2018 household survey conducted by the Internet Steering Committee, while the percentage of Brazilians connected in urban centers reaches 80%, in rural areas it is 59%.

Embrapa has started pilot projects for Brazil. One of them focuses on the monitoring of pests and diseases. By monitoring and forecasting the weather with the use of weather stations, the objective is to prevent the incidence of Asian rust in soybeans. “The system will be given the correct date to apply the pesticide depending on the weather, in an intersection with the disease data. We will measure whether this helped reduce costs and increase productivity,” explains Silvia Massruhá.

Another project, also coordinated by this public company, involves the optimization of known ways in the “crop, livestock and forest integration” sector. This methodology would allow a soybean producer, for example, to find other uses for the soil, such as planting pastures for cattle during the time the land remains dormant.

The IoT systems in the pilot project will measure various aspects of this integration. The oxen will have implanted chips and, through this equipment and others (such as scales), the data will be crossed with other aspects, such as food, to identify their development and the best moment of sacrifice. The test will be carried out with producers in five states: Mato Grosso, Mato Grosso do Sul, Goias, Sao Paulo, and Piaui.

In Rio Grande do Sul and Minas Gerais, a third pilot project seeks to optimize milk production, with procedures such as livestock feed monitoring and milking automation. In the end, milk will be compared with others without the adoption of these technologies to assess whether these solutions have improved the quantity and quality of the product.

The CPQD technology development center carries out a project with an agricultural company that installs sensors on tractors and other equipment to monitor machine performance. The system will track the distance traveled, fuel consumption and any problems to identify maintenance demands.

“Imagine if you are in the middle of the field and the machine breaks down. The producer has to stop the harvest, remove the machine, and send another. If it is possible to take all their data and predict that they have a very high possibility of rupture, the person can request maintenance before something happens,” explains CPQD innovation director Paulo Curado.

Challenges in public policies in Brazil

Researchers, people in business, and authorities point out that agriculture is one of the sectors where IoT technologies are experiencing a faster evolution. “There is a lot of potential in Brazil for agriculture. It is one of the priority areas and is strengthening in the coming years,” says the president of the Brazilian Association of Internet of Things (Abinc), Flávio Maeda.

The area was chosen as a priority in the National Internet of Things Plan, launched in June. The document describes generic guidelines, without going into details about what measures state agencies will take to stimulate these technologies in the field.

The proposals and projects will be prepared by a group created for this purpose, called Câmara Agro 4.0. Directed by the Ministries of Agriculture (MAPA) and Science, Technology, Innovations and Communications (MCTIC), it will also have the participation of other agencies, researchers and industry associations and companies in the country.

According to the secretary of innovation, rural development and irrigation of MAPA, Fernando Camargo, the members will evaluate actions on several fronts. The most important thing will be the expansion of connectivity in rural areas, given the territorial extension and the contingent of people still outside the Internet in these places. According to the ICT Households 2017 survey conducted by the Internet Steering Committee, while the rate of households with access to the web is 65% in urban regions, in rural areas it drops to 34%.

The Chamber should also focus on programs to encourage the acquisition and dissemination of innovative technologies. One of them is to stimulate the creation and growth of technological startups. The objective with the dissemination of these technical solutions is to increase productivity in the field. Currently, there are 338 AgTech startups in Brazil.

“We need to encourage startups to increase the production chain within the area of agribusiness.” 

Marcos Pontes, head of MCTIC.
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Government

Huawei comes back: Trump allowed US companies to make business with it

At the G-20 summit, US President Donald Trump met with the president of the People’s Republic of China Xi Jinping intending to advance in the solution of the trade conflict that both countries have maintained since last year.

As one of the results of this meeting, Donald Trump stated that his government would allow US companies to sell products to Huawei, a Chinese technological giant that was banned last May by the White House.

“We sell a tremendous amount of products to Huawei,” said Donald Trump after the meeting with Xi Jinping.

A breath for Huawei

This news will be a relief for the company led by Ren Zhengfei, who a few weeks ago told the press that Huawei’s phone sales fell 40% outside of China after the sanction imposed by the United States government.

Ren Zhengfei also commented that Huawei’s production would be reduced by $ 30B, one third less than in 2018.

“In 2021 we will recover our vitality to serve humanity,” said the Huawei CEO before the announcement by the president of the United States.

US companies affected by Huawei ban

But the veto that Donald Trump imposed on Huawei affected not only the Chinese company but also an entire industry that has the Chinese manufacturer as one of its main customers.

Micron Technology, which sells memory chips, said it had lost $ 200M for the veto. Huawei represents 13% of its sales.

Broadcom, a producer of cellphone chips, also reported that the ban on Huawei reduces its sales forecast by $ 2B. This company has sold one billion dollars in electronic components to Huawei only in this fiscal year.

Semtech, developer of chips for smartphones and optical components for communications, says the Chinese company accounted for 16% of its revenues last year.

The smaller companies are the most affected, such as the manufacturer of optical components NeoPhotonics. In 2018, 46% of this company’s revenues came from sales to Huawei.

In recent days, the technology industry in the United States expressed concern that the damage caused by Donald Trump’s policy is irreversible due to the loss of confidence of Chinese companies towards American distributors, who could redouble their efforts to design their own chips or to buy from neighboring countries such as Japan, South Korea or Taiwan.

Walden Rhines, executive director emeritus of Mentor, a unit of Siemens, said for the New York Times that “the United States runs the risk of becoming the seller of last resort for China.”

Income from intellectual property, also at risk

The development of the intellectual property has also been at risk due to Trump’s veto. In 2018, Huawei paid more than $ 6B in royalties to take advantage of the intellectual property of other companies, of which 80% were American firms, as the company mentioned in the document “Respecting and Protecting Intellectual Property: The Foundation of Innovation,” published this week.

Now, American companies have also lost the confidence that their Chinese partners had for the development of new products, as has been the case of Efficient Power, a company that makes chips with the same semiconductor used for LED lights.

This company, which aspired to obtain 80% of its income from China, has had to face a new problem with its customers, who continue to buy their products, but prefer not to ask for chips with technical specifications that can create a dependency relationship to long term with the company.

Intellectual property should not be politicized

Song Liuping, legal director of Huawei, expressed a few days ago his concern about the politicization of intellectual property:

“Intellectual property is the cornerstone of innovation, and its politicization represents a threat to global progress.”

Song warned that if intellectual property is used as a political weapon, confidence in the patent protection system will be at risk. The executive also mentioned that “If some governments selectively block the way for companies in intellectual property issues, they will negatively impact global innovation.”

Song recalled that in the past 30 years, no court has found Huawei guilty of intellectual property theft. These statements are a response to US allegations that blame Huawei for corporate and political espionage.

Huawei, a player that promotes innovation

Song Liuping stressed the vital role that Huawei has played in innovation. At the end of 2018, the company reached 87 805 patents, 11 152 of these are used in the United States. The company’s legal director emphasized Huawei’s commitment to “share our technology with the world. That includes 5G and American businesses and consumers. Together, we can make our industry advance and develop the technology that we all need. “

Huawei owns 20% of the patents that revolve around the 5G network. These patents, which are about 2 570, include chips, terminals, and infrastructure. The possible delay of the 5G network worldwide was one of the most mentioned consequences after the veto, but because of the weight that Huawei has in the development of new technologies, this technological delay can affect other industries, such as self-driving cars, as commented in United States media.

However, Huawei Technologies’ global vice president, Ken Hu, reaffirmed Huawei’s commitment to expanding 5G technology: “I can clearly say to everyone that in the 5G issue we will not be affected at all, neither in the contracts that we have signed or in which we are going to sign”.

At the Mobile World Congress in Shanghai, the executive mentioned how the technology giant has managed to sign 50 commercial contracts for 5G, 28 of them in Europe, 11 in the Middle East, 6 in the Asia Pacific, 4 in America and 1 in Africa.

Donald Trump’s announcement at the G20 summit, allowing US companies to sell again to Huawei, puts an essential piece of telecommunications innovation back on the board. However, tension and uncertainty still do not disappear. Trump refused to say that he would remove the blacklisted company from the US Treasury’s list.

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Government

Renewable energies in Latin America: betting on the future

The transition from fossil fuel to renewable energy is one of the objectives of sustainable development. In Latin America, several countries have shown their commitment in the energy transition with investments in this sector, making it one of the most dynamic regions in the matter, according to the International Renewable Energy Agency.

From 2011 to 2030, energy consumption in Latin America will have increased by 80%, due to the demographic increase, the greater adoption of electrical appliances and higher industrial demand. Central America will be the subregion with the most considerable increment in energy demand, by 120%.

Energy transition in LatAm: a must

This increase in energy demand will make the production of energy with fossil fuels untenable in the long term. These fuels are the leading causes of the rise of greenhouse gas emissions, representing 60%; they also produce land degradation, pollute the water, and contribute to the acidification of the ocean.

The cost of fossil fuels is higher than the investment to move to clean energy. Floods, fires, and droughts are one of the indirect consequences of their use. Food security is also at risk, and they harm health because of air pollution. The scenario makes it mandatory to adopt clean energies to represent 80% of energy sources in 2050.

In recent years, Latin American countries have adopted measures to achieve this transition. For example, since 2007, the production of wind energy has increased by five. However, despite advances, fossil fuels account for more than 75% of energy production in the region, while renewable energy does not exceed 1%.

Different governments have sustained the commitment of the transition. In the Report on the Global State of Renewables 2018 showed an increase in investments in the region. In the 2018 report, Brazil and Mexico were the countries that stood out, with a similar investment of 6 billion dollars in each one.

Without considering these two countries, the investment of the region was 13.4 billion dollars. Chile and Argentina were the countries where there was a greater increase in the investment of clean energy. Recently, Chilean President Sebastián Piñera announced a decarbonization plan, which aims to close 28 coal plants in the country by 2040, without impacting the consumer price. The Global Climatescope report noted that “Chile’s exceptional natural resources, stable government, and healthy economy make it attractive for investment in clean energy. The government has set ambitious long-term goals to add clean energy capacity and has begun to implement policies to foster an environment in which renewable projects are more competitive. ” Other Latin American countries are already more advanced in the transition. In Uruguay, 90% of its energy sources are renewable.

Still not enough investment in clean energies

The pace of the energy transition is not yet enough to meet the objective of avoiding an increase in the global average temperature of 1.5º C. In some cases, there are setbacks. In 2018 the energy produced with coal increased when it had been reduced in previous years, according to data from the World Economic Forum, while the growth of renewable energies worldwide stagnated, according to data from the International Energy Agency. In Mexico, the administration led by López Obrador has relegated the production of renewable energies and has increased the investment in thermoelectric plants that work with fossil fuels. Coal will be the energy that will receive the most investment, 10,416 million pesos, according to the director of the Federal Electricity Commission, Manuel Bartlett. This decision can only be explained by the influence of Armando Guadiana, president of the energy committee in the Senate and businessman with coal mines.

The slow transition and setbacks have aroused concern among the population. Activists, such as Greta Thunberg, have criticized the lack of reliable measures by governments to stop the emission of greenhouse gases into the atmosphere and younger generations are very concerned about the situation, to the point of organizing global demonstrations demanding more significant progress for fulfilling the Paris agreement. Green companies and innovations in clean energy have a broad field of long-term growth.

Activist Greta Thunberg has inspired a global movement against climate change.
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Government

Trump’s tariffs: a new threat for market

The US Presidente Donald Trump repeats a well-known cantata since he took office: Tariffs will rise. However, this threat comes at a time when no one was waiting for it.

In recent months Trump had concentrated his efforts against China, and relations with Mexico had a better tone thanks to the USMCA, about to be approved.

Trump’s stance is difficult to understand. Imposing tariffs on the countries that sell you is like asking the owner of a supermarket to pay you for the right to buy things. Maybe he’ll do, but it will make you buy your products more expensive.

Trump’s stance also has an electoral tuff. All attempts to build a wall on the border between Mexico and the United States have been blocked by both the Congress and the Supreme Court of the United States. Trump resumes his electoral rhetoric and wants to show that his threats work.

Markets worried about tariffs against Mexico.

The increase in tariffs hits international trade harder because of the surprise of the measure. Although at the beginning of his presidential period, Trump found a victim in Mexico to retaliate his anger, the ratification of the USMCA promised to change this situation.

“The threat of tariffs on Mexico was completely off the market’s radar,” said Cliff Hodge, director of investments at Cornerstone Wealth Group. “No one has been talking about tariffs on Mexico.”

The threat, which would not enter into force until June 10, has already had its effects on the market. Dow Jones fell 1.4% on Friday, along with the S & P and Nasdaq.

The unforeseen tariffs shake the technological industry, who see Mexico as an alternative to China. The Verge commented that GoPro had planned to move its production to Mexico due to the economic war between China and the United States.

The primary industry affected was the automotive industry. The production of cars depends a lot on free trade between Mexico and the United States. The United States has imported $59B in parts from Mexico, while last year Mexico received 2.7 million finished cars and trucks with an approximate value of $52B, according to data from the US Department of Commerce.

This year, sales in the automotive sector have fallen, so they will probably prefer to cushion tariffs instead of increasing prices, with a reduction in the profit margin.

The consequences in Mexico are also felt. On Friday, the Mexican peso fell sharply against the dollar (3.5%). The president of Mexico sent a letter to his counterpart, where he asked to avoid confrontation.

“Tariffs are not an appropriate tool to address serious immigration challenges, The most effective way to address these concerns is for the administration and Congress to pass a permanent solution to fix the United States’ broken and outdated immigration system.”, commented Jason Oxman, CEO and president of the Information Technology Industry Council (ITI).

Analysts from the United States considered that Mexico could respond with an increase in tariffs. However, this seems not to be the case.

In the port of Veracruz, López Obrador announced that he would take measures to control the migratory flow, concerning human rights, to avoid an economic war with the United States.

This statement could prevent the conflict from escalating, but it is also a bad sign. It would make us think that threats are a useful diplomatic tool to solve problems that are incumbent in both countries.

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Government

Huawei, a victim of a trade war

Google surprised the tech world on May 19th with the announcement about the suspension of business with Huawei, a company that has been subject to persecution during the Trump administration.

Since Trump was a candidate, he has accused China of “raping” the United States. In this year, his government has attacked the Asian giant with an increase in tariffs on Chinese products. Markets around the world have trembled at the uncertainty of how the conflict will be resolved and how long it will last. China is ready for a war of attrition, while Trump wants at least a small victory to American voters.

Given the urgency of the U.S. government, Trump added Huawei to a list of firms that are prohibited from trading with U.S. companies, which led to Huawei can no longer receive the latest Android updates, or buy essential components for their products such as Qualcomm and Intel processors.

In this trade war, the United States has accused Huawei of committing espionage in collaboration with the Chinese government; has pressured other countries not to adopt Huawei’s technology, claiming security dangers, and ordered the CFO of the company to be arrested for allegedly trading with Iran. Huawei has denied all the accusations, but this has not saved him from being a victim in the crossfire of the US-China trade war.

The particular savagery of the Trump administration against Huawei seems to stem from the rapid growth of the Chinese company. Huawei has 30 years in the market, but recently its sales have exceeded those of Apple and have taken a significant percentage of sales to Samsung. To its rapid growth are added the advances it has made with the 5G network, which will have vital importance in the future because it is the network that would be used for the Internet of Things.

What is Huawei’s answer?

Google’s announcement will stop this upcoming Huawei race. Also, we add that other companies that sell microcomponents to Huawei have joined the ban. Rosenblatt Securities analyst Ryan Koontz believes that Huawei will have severe problems without those essential components made in the United States unless it has a large reserve stock.

Huawei CEO Ren Zhengfei told the media that “We were already prepared for this.” “Given the probability that we could no longer use these systems, we anticipate. It was our plan B, but of course, we prefer to work with the ecosystems of Google and Microsoft. “

Since April, Huawei had announced that it was working on an alternative for Android. An anonymous source told the South China Morning Post that “The company started building its operating system after a U.S. investigation into Huawei and ZTE in 2012.” The same source said that “Huawei also has its operating system for tablets and personal computers.”

“Huawei has been working hard on developing its App Gallery and other software assets similarly to its work on chipset solutions. There is little doubt these efforts are part of its desire to control its destiny, “said Ben Wood, from the CCS Insight consultancy. However, not all are optimistic about what may result.

Vlad Savov says in The Verge that “Trying to sell smartphones without the collaboration of Google in modern times is a spectrum that goes from bad to disastrous. Windows Phone, Palm OS, MeeGo, Symbian, Bada (later Tizen), and BlackBerry O.S. are some of the corpses that Android has produced. “

What will happen to the users?

Huawei said it will continue to provide updates and support to all its products that are now on the market.

Huawei has made substantial contributions to the development and growth of Android around the world. As one of Android’s key global partners, we have worked closely with their open-source platform to develop an ecosystem that has benefitted both users and the industry,

Huawei will continue to provide security updates and after sales services to all existing Huawei and Honor smartphone and tablet products covering those have been sold or still in stock globally. We will continue to build a safe and sustainable software ecosystem to provide the best experience for all users globally.

Huawei’s Press Release

Google has confirmed this information. Trump decided to sign a three-month window before applying the measures. However, it is likely that Huawei prefers not to rely more on the United States.

China seeks new markets

The rhetoric of the United States, where it points to China more as an enemy than as a commercial partner, has motivated China to secure new markets, a wise decision in a moment that the U.S. is treating more tech companies of China.

Creating new markets has been part of the plan for the New Silk Road, a plan to create business opportunities in developing economies such as Latin America. This initiative could reduce the blow for Huawei, a company that obtains half of its income from sales abroad.

China has had a growing interest in Latin America in recent years. The Asian giant’s investment in the region increased by more than 15 billion dollars in the first half of last year, while in the United States, China investment fell below 2 billion dollars, according to TechCrunch.

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Government

The refoundation of the Digital Creative City in Jalisco

The Digital Creative City (CCD) began as an ambitious project of President Felipe Calderón and Jalisco Governor Emilio González Márquez. They announced it in January 2012, at the end of the six-year term, and it was retaken by the successive administrations, now with another party in power.

The CCD came across reality from its inception. The chosen area is a point of the city where crime, poverty, prostitution, and sale of drugs are common. In part, the project seeks to transform the area by attracting technology innovation companies.

To give a new impetus to the Digital Creative City, the government of Enrique Alfaro has announced its launch in the Jalisco Talent Land. The current government plans to correct the failures of the current CCD, present at the beginning of its development.

“We have redefined the recent creation of the Agency of Creative and Digital Industries of Jalisco. We are ready to detonate the activities and investment services in this strategic sector of the economy of the future and thus trigger the rebirth of this emblematic center, “said the governor of Jalisco on Tuesday.

History of the Digital Creative City

In its initial conception, the CCD sought to be an innovation hub where the technology industry and software development of Jalisco would be under one roof, taking advantage of the fact that there is already a presence of tech industries in the state. The promise was to turn it into a hotbed of Mexican talent and a long-term incubator. Likewise, MIT sponsored the project to turn Guadalajara into one of the most innovative cities on the planet.

In 2015, the project received funding of $ 500K from the Inter-American Development Bank (IDB) to promote the benefits and development opportunities of the companies that would be installed in this center.

Alejandro Guzmán Larralde, coordinator of the economic cabinet of Jalisco, told a Mexican journal that “The original concept [of the CCD] was born well, along the way it was thought that Having only two buildings called Ciudad Creativa was going to attract many players, but the reality was not like that “.

Change of administration, change of course

With the transition of powers in Jalisco, the Digital Creative City began a process of reflection to correct errors in its development. Just in November of last year two of the three buildings that will make up the CCD around the Parque Morelos were completed. Due to the delays, the companies that planned to settle in this innovation center to date have not specified their arrival.

During 2019, the CCD buildings will be upgraded to achieve 60% occupancy of the spaces. Guzmán believes that by the second half of 2020, Ciudad Creativa Digital will be operating at 100 percent.

“We are working in stages. First, we are interested in holding the area of innovation and technological development represented,” said Guzmán Larralde. For a second stage, other creative industries such as fashion, jewelry and gastronomy will be integrated.

Jalisco Talent Network, the organization behind the innovation and entrepreneurship fair Talent Land, will be the first to be formally installed in this new stage of CCD.

The Jalisco government estimates an investment of 25 million pesos to complete the project.

Guadalajara CCD.