Friday, December 7, 2012

World’s Richest Man Faces Clampdown




According to Bloomberg: Carlos Slim, the world’s richest person, is confronting a mounting backlash from the same Latin American countries that made him wealthy as authorities rein in his expanding mobile-phone empire.

A wave of telecommunications regulation has swept Latin America in the past four months, and Mexico’s new president pledged last week to stimulate competition against Slim. In Brazil, institutions that monitor the phone industry are also gaining teeth, while populist politicians in countries such as Argentina and Colombia are spurring rule changes.

The result has been a series of rulings and orders that have cut into profitability at America Movil SAB (AMXL), Slim’s biggest company and the most widely used wireless carrier in the Western Hemisphere. Slim, 72, has personally fought back against the trend, saying it will hurt his ability to invest in new technology -- an argument that’s holding less sway with government officials in light of his company controlling more than a third of the market....

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