LatAm’s tech is at an all-time high and it’s getting better.
Technology is transforming the world as we know it, especially in Latin America, where the 2020 Covid-19 pandemic has served to boost digital transformation in the region, generating fertile soil for innovation.
Over the past 5 years, Latin America has experienced exponential tech growth, presenting great opportunities across the region. As a result of the internet usage and mobile adoption’s “boom” in LatAm, plus the pandemic conditions, a powerful class of entrepreneurs is emerging, creating jobs and new income sources and delivering higher quality massive solutions to handle the region’s biggest problems while lowering prices.
Expectations are settled in the region’s economic growth by 2021
LaAm was starting to thrive, then Covid-19 pandemic crisis came along to shake the region’s productive foundations, reducing growth expectations all over Latin America. Nevertheless LatAm is a promising market, both in terms of population and economic potential.
Source: LatAm Digital Transformation Report 2020 — Atlantico
Due to a rising digital penetration and a great entrepreneurial ecosystem with a large technical talent, a pro-innovation regulation and promising funding programs, expectations are settled in the region’s economic growth by 2021.
The entire region has made huge progress in improving the ease of doing business.
LatAm Digital Transformation Report 2020 — Atlantico
Latin America’s tech market has been rapidly growing at an average YoY rate of 65% since 2013 and governments are responding. The entire region has made huge progress in lowering corruption and in improving the ease of doing business.
As evidence of it, the time to open a business in most of LatAm’s countries had lowered to reach the European Union’s standards.
Venture Capital investment in LatAm is at an all-time high due to emerging startups’ potential.
Latin America has proven its capability to turn ideas into solutions, and solutions into sustainable tech growth. Regional startups’ performance has helped local venture funds out-perform global benchmarks and attract global investors to the region.
Certainly, the explosive appearance of over 13 regional unicorns (startup companies with a value of over $1 billion) in the past 3 years has led to a huge attraction of talent. Students are looking to startups and technology companies to start their careers and most of them are eager to start their own.
People’s eager to innovate is the major regional asset to keep up the digital transformation in Latin America. The majority of innovative solutions to market problems often originate in small, or even “singular” organizations that tend to be innovative by necessity, so connecting innovative organizations with venture capital funds or larger organizations presents an ideal equation for innovation.