Rackspace Announces Expansion into Mexico

Rackspace is headed to Mexico. Local media outlet Addictware reports that the San Antonio-based open cloud company has announced its expansion into the country, for the first time marketing its Fanatical Support services south of the border.

Founded in 1998, Rackspace provides hybrid cloud offerings, combining the public cloud, private cloud and dedicated metal computing to respond to each of its client’s needs. It is also the force behind OpenStack, the standard open-source operating system for cloud computing. All of Rackspace’s products are backed by Fanatical Support to ensure its customers receive top-notch customer service and assistance.

Rackspace has high hopes for Mexico, where the cloud is growing fast. Alberto Sandoval, who heads the Latin American Markets division at Rackspace, commented:

According to Gartner, Mexico’s public cloud market is expected to grow by 25% from 2012 to 2017, acquiring a value of close to US$2 billion and rendering it one of the most valuable markets in Latin America. It’s hard to ignore such a big opportunity with so much potential.

Sandoval also expressed his outlook on the region at large:

Businesses in Latin America and Mexico are opting for private, public and hybrid combinations of the cloud to resolve their current and future infrastructure needs due to the flexibility, accessibility and low cost of the cloud. At Rackspace, we know that this trend will continue, because applications and workloads continue to evolve.

As Brazil Stumbles, Mexico Gains Strength

Brazil has, without a doubt, been the most buzzed-about market in Latin America for quite some time now. But as protests proliferate throughout the country, the cracks in the system have been revealed on the international stage. This has left room for Mexico, generally considered second to Brazil, to rise to the top.

The New York Times reported on Mexico’s bounce in February, noting that the country has signed more free trade agreements (44) than any other in the world. More engineers and skilled laborers are graduating from Mexican schools, and given Mexico’s geographical and, in many senses, cultural proximity to the U.S., many companies considering it as an increasingly solid option for expansion.

Most recently, Stephen Keppel published a piece weighing the opportunities and potential of Latin America’s international markets with respect to technology. And while Brazil is definitely a force to be reckoned with, Keppel made the argument that Mexico’s legislation and location are likely to give it the edge in becoming the region’s top tech power.

Rackspace’s landing in Mexico is a significant feat, especially considering the clout of the company itself. Lesser forces, like European iZettle and accelerator 500 Startups, have also made the Mexican market a priority. And this is likely just the tip of the iceberg. In fact, we hear a certain high profile San Francisco taxi and private transportation app is on its way to Mexico City right now.