Mexico City has always been the industrial leader and business center of the country. It is by far the biggest Mexico hub when it comes to economic and business activity. With over 21 million residents, the city continues to draw talented individuals from all over Mexico to find opportunities in CDMX.
When demand for tech talent exploded in 2020 and 2021, this hub was a natural first step for companies looking to expand and find remote tech talent. Its thriving cultural life, deep financial roots, top-tier schools, and political presence gives U.S.-based organizations direct access to the best Mexico and the rest of Latin America have to offer.
Of course, other Mexican cities have gained traction and made a notable splash in the tech world as well. Tech hubs like Guadalajara has gained enough attention that it is often referred to as the Silicon Valley of Mexico. There are a lot of Latin American software developers coming out of Mexico and its various tech institutions and universities. In many ways, however, CDMX is still the leading outsourcing destination for software and tech recruitment in Mexico.
Our Mexico Tech Salary Report 2023 details unique insights of the leading Mexican tech cities and tech in Mexico.
Why is Mexico City (CDMX) important to the tech world?
After the industrial collapse of the 1980s, foreign investment grew through the 1990s due to a more liberal political ecosphere and a recognition of CDMX’s strategic positioning in the rest of Latin America.
By the end of the 20th century, CDMX was considered the gateway to doing business in Latin America, with most major U.S. companies establishing some sort of office or presence in the city.
While CDMX grew as a place of financial, cultural, and political power, tech giants like Microsoft, Apple, Google, and HP began building offices in the city. Ventures like StartUp Mexico began seeding innovation and top universities in the city grew their software engineering graduates to a point where more talent was graduating from Mexico City than any major U.S. city.
Mexico City is important to the tech world because it has a large pool of talent, a strong infrastructure of financial and political support, and exists as a leader in the rest of Latin America.
However, the biggest reason CDMX is important to the tech world is not because of the tech presence per se, but because of everything else that makes Mexico City significant. Mexico City has a professional, metropolitan, and corporate air with a growing local startup ecosystem. The city has become ideal for ecommerce, fintech, and education startups. The fintech sector, for example, became particularly resilient and robust.
A cultural, financial, and political Mexico hub
Simply put, Mexico City is where things are happening in the Latin American world. Every major financial institution is in Mexico City. The best universities are in Mexico City. World renowned artists, innovators, and entrepreneurs call Mexico City home and it shows no signs of slowing down.
For a firm wanting to grow an outsourcing presence in Mexico, the greatest appeal and asset of CDMX is that there is an embedded culture of collaboration, cross-pollination, and innovation happening there.
In recent years, thanks to increased investment and entrepreneurial activity, Mexico City has seen growth in a variety of different areas and sectors. Take for example the growth of the FinTech sector in Mexico spurred by the high demand of better and more convenient banking options. This demand was not unique to Mexico and permeated all throughout the Latin American region, spawning dozens of Fintech startups from Mexico to Brazil to Argentina.
According to Statista, there were 650 fintechs in Mexico in 2022. Technology seemed to provide the solution for a region that had a history of low trust in banking institutions and low bank account penetration. Yet, in Mexico the number of people using the internet continues to rise, creating areas of opportunities for entrepreneurs and companies looking to use technology to solve people’s banking needs. Fintech is just one example.
Mexico City: The gateway to success in Latin America
CDMX is a leader in Latin America, has a high level of cultural similarity to the U.S., and is under a 6-hour flight from just about any major U.S. airport. Particularly for companies hoping to establish a long-term presence in Latin America, CDMX is a great choice.
As a company expands and looks to outsource further into Latin America, like Brazil or Argentina, having an established office in CDMX makes the jump into other areas of Latin America easier. Not only does it cut down on travel time for organizations, but it gives them a chance to build a presence that already has a foothold in the Latin American culture and economy.
Mexico City by the numbers
According to our 2023 survey, the average salaries by position in Mexico City look something like this:
- Full stack developer – $3,565/month ($8,250/month in U.S.)
- Data Analyst – $4,054/month ($8,618/month in U.S.)
- Back End Developer – $3,405/month ($7,250/month in U.S.)
The above salaries are for semi-senior developers and professionals with 6-10 years of experience. Of course, all salaries vary greatly depending on experience, specialization, technologies used, etc. The average salary in 2023 for the central region—with Mexico City at the center— is $3,960.
Major tech companies in the area:
- SAP
- Microsoft
- Cisco
- Globant
- Robert Bosch
- Uber
- Amazon
- IBM
- Oracle
- Honeywell
- Salesforce
- Apple
- HP
- Intel
Whether you are looking to expand your team through near sourcing, hire new tech talent, or build, operate, and transfer a new division of your company, Mexico City has a lot to offer.
CodersLink empowers scaling companies to build, grow and manage remote tech teams in Latin America. Through remote staffing and direct placements, we ensure the best companies find the best talent to continue growing their technology teams, fill skill gaps and respond to scaling needs.
