Argentina has a well-educated and tech-savvy population, and a thriving entrepreneurial community, with one of the highest rates of unicorns per capita in Latin America. The ICT market is a mature sector with one of the highest broadband penetration rates in the region; major communications networks are digital but competition for broadband and mobile telephone services remains limited. A major challenge is the need to connect an unequally distributed population in distant, remote, and low-density areas where satellite services may have opportunities.
In 2024, the administration deregulated the telecommunications market by repealing a 2020 decree that designated telecommunications as an essential public service and removed price caps and controls for telephone, cable television, and internet services. The new decree requires ICT service licensees to set fair and reasonable prices, cover operating costs, and provide efficient services. It also authorized the entry of foreign satellite internet service providers to promote investment, competition, and high-quality service provision.
After the October 2023 5G spectrum auction in which the three main telcos, Claro, Telecom, and Telefónica, acquired portions of the spectrum, the Milei administration announced it would launch another auction for the portion of spectrum originally assigned to Enacom (the regulator). This auction will present opportunities for U.S. companies that provide solutions in sectors such as the Internet of Things (IoT) and artificial intelligence (AI) for specific vertical industries such as automotive, energy, metal-mechanics, smart cities and e-government implementations.
Sub-Sector Best Prospects
Telecom Infrastructure
In the telecom sector, investments focus on four areas: enhancement of the 4G+LTE network and deployment of the 5G network; expansion of broadband Internet access; expansion of data transmission/broadband and content over cellular networks; and satellite services (for remote and rural areas of the country). The current fiber optic network covers more than 36,000 km with 88 percent of the fiber “lit” (active), but many localities are still in the dark, and Internet speed is 15 percent lower than regional peers. The Federal Internet Plan network will use state-owned telecommunications and satellite company ARSAT’s fiber optic network as a provider of data transport services at a wholesale level and offer access to local internet service providers, co-ops, municipalities, and SMEs. The Argentine government is implementing a “cloud first” policy by investing in and developing a robust national data center through ARSAT.
IT Services
IT services offer opportunities for U.S. companies in network implementation, management and maintenance, legacy applications, RTE (real-time infrastructure) implementation, remote operation processing, back-up, critical mission services, disaster recovery systems, Internet and network security systems, digital asset management, storage, utility computing, and information systems for rural areas. Cloud computing and virtualization-related services will continue to have high demand in 2025. The outsourcing of software development and call/contact centers continues to see new investments, exports, and increased sales in the domestic market. Other market conditions will foster growth in IT services, such as the increased use of online platforms for sectors such as banking, e-commerce, and government, which have increased awareness related to information technology security.
Cybersecurity
Cybersecurity technology adoption in Argentina behind more mature markets such as the UK, U.S., or Brazil. According to Statista, the Argentina cybersecurity market is expected to grow at a CAGR of over 8 percent to reach $2.6 billion by 2029.
Both public and private entities within the country have recently experienced more regular cyber-attacks. The leading sectors for cybersecurity in Argentina include banking, energy (particularly within oil & gas), telecommunications, manufacturing, retail, and, very recently, the public sector.
In February 2023, Argentina signed the Second Additional Protocol to the Budapest Convention on Cybercrime. Subsequently, the Argentine Central Bank issued a regulation on minimum requirements for the management and control of information technology and security risks.
The Federal Cybersecurity Agency was restructured as a directorate in 2024 and, in 2025, was designated as Argentina’s lead agency for cybersecurity governance, including responsibility for the country’s computer incident response team (AR-CERT) and chairing Argentina’s interagency Cybersecurity Committee. It reports to the country’s intelligence secretariat SIDE.
Opportunities
The Argentine government will continue investing in infrastructure and improving the country’s long-delayed implementation of fiber to the home (FTTH). The state-owned company, ARSAT, continues to connect over 1,200 towns in the country with its main fiber network. This will present opportunities for U.S. companies that provide solutions in sectors such as IoT and AI for specific vertical industries such as automotive, energy, and metal-mechanics, smart cities, and e-government.
The upgrade of ARSAT’s data center will also present opportunities for servers, storage, network, software, and new support infrastructure at the data center for reliability, including cybersecurity training and implementation.
Web Resources
Argentine Chamber of Software and IT Services Companies - CESSI (Spanish)
For additional information, including market analysis, trade events, contacts, and the products and services that the U.S. Commercial Service can provide to help you succeed in the Argentine market, please contact ICT Industry Specialist Marina Millet.