Jalisco Aims to Become a Supplier of AI Components

Jalisco is seeking to replace Asian imports of inputs for semiconductors, electronics, and artificial intelligence (AI), with a goal of US$700 million in local production, according to information shared by State Governor Pablo Lemus following his participation in the Fifth Mexico-United States Binational Convention.

“We are working with all the companies operating in Jalisco—such as Jabil, Google, Flex, Intel, and Micron Technology—to ensure that the equipment they use and currently import from other countries is now produced in Jalisco, primarily by small and medium-sized businesses,” Lemus explained.

“We estimate that there could be around 700 million dollars being generated in Jalisco as part of the supply chain, directly for the electronics industry and, primarily, for artificial intelligence as well,” he added.

“We are working to ensure that small and medium-sized companies in Jalisco can obtain international certification and gain direct access to the electronics industry’s supply chain.” The lack of credentials creates a bottleneck for manufacturers that have the production capacity, “but which a multinational company cannot procure unless they have that certification.”

According to Ildefonso Guajardo, former federal secretary of the economy, although Mexican exports of computers and computer equipment are increasing, “unfortunately, what is growing are modular electronic components for computer equipment, to which only 5% of domestic content is added.”

Artificial intelligence should be viewed as a sector “that will lead to the next stage of integration” in North America, by linking supply chains that currently operate through individual efforts by country, said Ivonne Mejía, president of Microsoft Mexico, during her remarks at the forum.