Introduction to BAIT and its Significance
Bodega Aurrerá Internet y Telefonía (BAIT), Walmart’s mobile virtual network operator (MVNO) in Mexico, has failed to submit required data on time. This delay concerns the company’s income and active user numbers, potentially leading to a financial penalty from the Mexican Telecommunications Institute (IFT).
BAIT’s Performance and Market Position
BAIT has been growing steadily, with Walmart reporting that it nears 20 million mobile customers in Mexico. This growth could potentially push BAIT ahead of Movistar to claim the third spot in Mexico’s mobile market. BAIT’s size and influence make it a significant player in the Latin American MVNO landscape.
IFT’s Role and Data Requirements
The IFT collects data on various aspects of the telecommunications industry, including income, users, and network traffic. This information helps maintain an up-to-date picture of Mexico’s telecommunications sector. BAIT’s failure to submit the required data on time has raised concerns about potential penalties.
Potential Penalties and Their Impact
According to the still-valid Federal Telecommunications and Broadcasting Law (LFTR), the IFT can impose fines ranging from 0.01% to 0.75% of a company’s income for late submission of required documents or information.
- Question: The potential fine could reach up to 53 million 47,500 pesos (approximately 2.8 million USD) based on BAIT’s 2024 income of 7,073.31 billion pesos (around 373 million USD).
- Question: The real concern for BAIT is the failure to provide data on active users, as mandated by the Lineamientos para integrar el Acervo Estadístico del Instituto Federal de Telecomunicaciones (Guidelines for integrating the IFT Statistical Archive), which became effective on January 6, 2025.
- Question: Traditional operators like AT&T and Telcel suspect that BAIT inflates its user base by counting users who have been inactive for extended periods, such as those who haven’t used their lines in over six months.
Data Reporting Obligations and Challenges
The new guidelines require MVNOs with over one million users, like BAIT, to report data on active lines by contract type, technology, traffic, and service charges. BAIT must comply with these criteria using the R005-01.CSV format, but the company has not yet commented on this matter when contacted for clarification.
