Mexico’s telecom sector shifts again as Televisa buys AT&T for US $2 billion

In a major, though expected, telecom shake-up, Grupo Televisa and Fintech Holdings have agreed to acquire AT&T’s mobile telephony business in Mexico for US $2 billion. 

The announcement was made on Oct. 13, though the deal is subject to regulatory approval. However, the parties expect to finalize the transaction during the first quarter of 2027.

When they do, a consortium will be formed in which Televisa and Fintech — the latter an  investment firm owned by Mexican businessman David Martínez — will each hold a 50% stake.

The move had already been anticipated by industry members. For a year, the U.S. subsidiary had signaled its intention to sell its Mexican franchise as part of a broader strategy to concentrate its investments in the United States, where it seeks to expand its fiber-optic and 5G mobile networks. 

According to Televisa, AT&T will receive the payment in cash upon the closing of the transaction, subject to adjustments and other contractual and contingent benefits. The buyers will finance the acquisition through a combination of their own funds and secured debt, with no recourse against the consortium.

For Televisa, the transaction represents an opportunity to incorporate a large-scale mobile operation into its existing portfolio of fixed-line connectivity and pay-TV services. AT&T Mexico has approximately 24.7 million subscribers and ranks as the second-largest mobile operator in the country.

The deal could turn the media giant into the first company to achieve a setup known as “quadruple play,” meaning it would offer bundled internet, television, fixed-line, and mobile services. The aim would be to strengthen its competitive position against Telcel, which is part of América Móvil, owned by business tycoon Carlos Slim.

“[Televisa’s] position is significantly strengthened by this transaction, with a view to the coming years,” head of Spectrum Intelligence Rolando Alamilla told the  newspaper El País.

 The telecommunications market in Mexico is now concentrated among a handful of companies. More than half of all mobile phone users are served by Telcel, followed by AT&T, Movistar and Grupo Walmart (Bait). 

During her Thursday morning press conference, President Claudia Sheinbaum said she viewed the transaction as “a good thing,” and explained that the acquisition of AT&T by Televisa and Fintech Holdings will help competition and improve internet services in the country.

“What we want is for there to be competition, for investment to take place, and for the internet to be better,” added Sheinbaum.