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Edition: U.S. Article Comments (1) Save Email Print Reprints Most Popular Most Shared Iran will not beg to avoid sanctions: Ahmadinejad 9:24am EDT Women tried to smuggle corpse onto plane? 06 Apr 2010 Florida says challenge to healthcare reform widens 07 Apr 2010 Japan's video game visionary: the console is dying 07 Apr 2010 Gameworld: Apple's iPad takes video gaming seriously 11:48am EDT Iran will not beg to avoid sanctions: Ahmadinejad 9:24am EDT Women tried to smuggle corpse onto plane? 06 Apr 2010 Gene found that may predict lung cancer in smokers 07 Apr 2010 Volcker: Taxes likely to rise eventually to tame deficit 06 Apr 2010 Japan's video game visionary: the console is dying 07 Apr 2010 Mexico may cut millions of cellphones to fight crime Noel Randewich MEXICO CITY Thu Apr 8, 2010 4:17pm EDT MEXICO CITY (Reuters) - Tens of millions of Mexicans could find their cellphones disconnected this weekend if the government goes ahead with a new law meant to fight crime by forcing people to register their identities. World | Technology | Lifestyle | Mexico Advertisements on government radio and television have been urging Mexicans for weeks to register their cellphones by sending their personal details as a text message, but on Thursday 30 million lines remained unregistered as the Saturday deadline neared. Analysts said that any related losses for Mexico's largest wireless operator, America Movil, would be tiny relative to the company's overall sales. Still, America Movil, controlled by billionaire Carlos Slim, is urging senators to extend the deadline for implementing the law, passed a year ago to try to stop criminals from using cellphones for extortion and to negotiate ransoms in kidnappings. "Close to 30 million people will be affected ... many of whom depend on mobile phones as their only means of communication," America Movil's head of institutional relations, Guillermo Ferrer, said in emailed comments. Most of Mexico's 84 million mobile phones are prepaid handsets with a limited number of minutes of use that can be easily bought in stores. The phones can be topped up with more minutes through street corner vendors. America Movil has 71 percent of Mexico's wireless market, along with operations in Brazil, Chile and other countries in the region. Most of the rest of Mexico's cellphone market is in the hands of Spain's Telefonica. MOBILE EXTORTION Mexico is plagued by organized crime, from drug trafficking to express-kidnappings of taxi passengers to force them to make cash withdrawals from automatic teller machines. Increased media reports of kidnappings in 2008 led to calls for the cellphone registry. Critics have said the law would be ineffective because criminals can easily register phones under other people's identities. But telecommunications watchdog head Hector Osuna said in a radio interview on Thursday authorities planned to check the legitimacy of data people submit. This week, senators refused requests from telephone companies to extend the deadline for a year, but discussions were ongoing and a last-minute vote could not be ruled out. The Reforma newspaper reported that a judge refused to give Telcel an injunction to stop the deadline. Based on average spending habits, America Movil stands to lose around $10 million in revenue per day if the 30 million unregistered lines are cut. "We think that disconnected users would look to register their line in the short term, though there could be an inevitable loss of revenues by the mobile companies," BBVA analyst Andres Coello wrote in a note to clients. Itau Securities analyst Martin Lara estimated that it would take a week, on average, to reactivate lines that were cut or to acquire new lines. That would cost America Movil 0.2 percent of projected sales for 2010. If people who depend heavily on their wireless phones for work have already registered their lines, there could be less of an effect on America Movil's revenue. America Movil's ADRs were down 1.26 percent, or 64 cents, at $50.34 in late trading on the New York Stock Exchange. (Reporting by Noel Randewich; Editing by Toni Reinhold) World Technology Lifestyle Mexico Comments See All Comments (1) | Post Comment Apr 08, 2010 4:49pm EDT I for one am sick of Mexico and all the BS with it. S. Korea one America crosses the boarder. 8 years in prison. Iran 3 American going to trial. We need the same already these little vermin are everywhere and we do nothing about it. SICK OF IT halfbaked06 Report As Abusive See All Comments (1) Add a Comment *We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language or appear to be spam and review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. More from Reuters Spring brings U.S. housing renewal as aid ends NEW YORK (Reuters) - Spring could signal a rebirth for the long suffering U.S. housing market even as the economy's weakest link is stripped of government life support. UAL/US Airways merger effort faces headwinds Apple's iPad sets strong sales pace, iAd unveiled Wall Street rises as retail sales spur economic optimism Greece plunges deeper into crisis Rescuers retreat in West Virginia mine search | Video » More Top News Watch out for bear traps Short investors should be ready to pounce after a 70 percent rally in stocks. So why have they retreated to the sidelines? Full Article Those outperforming junk stocks Fed officials warn on bubbles U.S. Markets Ex-Citigroup CEO "deeply sorry" The former head of Citi says the bank should have been better prepared for the financial crisis. Full Article Felix Salmon: Blaming Prince and Rubin Fed officials warn on bubbles Economy © Copyright 2010 Thomson Reuters Editorial Editions: Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom United States Reuters Contact Us Advertise With Us Help Journalism Handbook Archive Site Index Video Index Analyst Research Mobile Newsletters RSS Podcasts Widgets Your View Labs Thomson Reuters Copyright Disclaimer Privacy Professional Products Professional Products Support Financial Products About Thomson Reuters Careers Online Products Acquisitions Monthly Buyouts Venture Capital Journal International Financing Review Project Finance International PEhub.com PE Week Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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