Bonum Certa Men Certa

Cablegate: “42 Percent of Argentine Firms Use Linux on at Least Some of Their Computers”

Cablegate



Summary: In a cable marked "sensitive", US diplomats look at the digital state which Argentina is in

TECHRIGHTS covered Argentina several times over the years. Argentina, being a south American nation, has been quite GNU/Linux-friendly. Here are some posts that may be relevant to today's Cablegate cable on "BRIDGING ARGENTINA'S DIGITAL DIVIDE":





According to the following cable (€¶11), "Linux is popular in Argentina due to its low cost, and 42 percent of Argentine firms use Linux on at least some of their computers." Here is the cable in full:








ZCZCXRO9151 RR RUEHRG DE RUEHBU #0748/01 0901858 ZNR UUUUU ZZH R 311858Z MAR 06 FM AMEMBASSY BUENOS AIRES TO RUEHC/SECSTATE WASHDC 4016 INFO RUEHAC/AMEMBASSY ASUNCION 5452 RUEHBR/AMEMBASSY BRASILIA 5254 RUEHCV/AMEMBASSY CARACAS 0887 RUEHLP/AMEMBASSY LA PAZ 4068 RUEHMN/AMEMBASSY MONTEVIDEO 5453 RUEHSG/AMEMBASSY SANTIAGO 5058 RUEHSJ/AMEMBASSY SAN JOSE 0428 RUEHRG/AMCONSUL RECIFE 0137 RUEHRI/AMCONSUL RIO DE JANEIRO 1940 RUEHSO/AMCONSUL SAO PAULO 2842 RUEATRS/DEPT OF TREASURY WASHDC RUCPDOC/USDOC WASHDC RHEBAAA/USDOE WASHDC RHMFISS/HQ USSOUTHCOM MIAMI FL

UNCLAS SECTION 01 OF 03 BUENOS AIRES 000748 SIPDIS SENSITIVE SIPDIS SOUTHCOM FOR POLAD AND J5 FOR JUAN RENTA USDOC FOR 4322/MAC/OLAC/BASTIAN/PEACHER E.O. 12958: N/A TAGS: ECON [Economic Conditions], EIND [Industry and Manufacturing], AR [Argentina] SUBJECT: BRIDGING ARGENTINA'S DIGITAL DIVIDE €¶1. (U) Sensitive but unclassified. Not for Internet distribution. ------- Summary ------- €¶2. (U) Argentina's IT industry is the third largest in Latin America. Argentina's IT industry enjoys many advantages and is growing quickly. IT companies expect continued rapid growth and are investing heavily in Argentina. There has been a boom in the number of small U.S. hardware and software companies in Argentina in the past two years. The growth in Argentina's IT industry has left many Argentines behind. The GOA has instituted a number of projects with mixed results to combat this digital divide. Private companies are also sponsoring programs to bridge the digital divide, and strong competition in both the hardware and software sectors is driving prices down. The private sector will likely prove more able than the GOA to bridge Argentina's digital divide. End summary. -------- Overview -------- €¶3. (SBU) Argentina's IT industry is the third largest in Latin America. Total IT production amounted to USD 1.3 billion in 2005, of which USD 250 million were exports. The IT industry is responsible for one percent of Argentine GDP, and employs over 48,000 Argentines, or 1.44 percent of the total labor force. The largest IT consumers within Argentina are the financial, government, telecom, oil, and manufacturing industries. IBM, which is the largest IT company in Argentina in terms of both sales and employment, has 3,500 Argentine employees. IBM and EDS provide services to many Latin American clients from Argentina. Intel will soon begin its first production in South America with a software development facility in Cordoba. Microsoft maintains a presence in Argentina only for public relations and marketing purposes. Smaller domestic and foreign firms produce software, hardware, and services for mostly local clients. ------------ Rapid Growth ------------ €¶4. (U) Argentina's IT industry enjoys many advantages. Argentine workers are comparatively well educated. Since the 2002 devaluation of the peso, Argentine skilled labor has been competitively priced. The relatively large domestic market allows firms to gain experience in the local market before exporting, while the predominance of the Spanish language gives Argentine companies access to important export markets. €¶5. (U) Argentina's IT sector is growing quickly. IT grew 29.3 percent in 2005, roughly triple the rate of the Argentine economy as a whole, and generated 20,000 new jobs. Domestic and export sales contributed equally to this growth as exports increased 30 percent in 2005. Revenues from hardware grew 37.6 percent, while revenues from software grew 22 percent and revenues from services grew 20 percent in 2005. €¶6. (SBU) IT companies expect continued rapid growth and are investing heavily in Argentina. IBM added 750 employees in 2005 and expects to add 500 employees per year over the next four years. IBM would like to double this number of new employees, but it is limited by the number of qualified graduates, its ability to develop new managers to supervise these new employees, and available office space. IBM is currently looking for a local company to build and lease a BUENOS AIR 00000748 002 OF 003 large new office building to house its new employees. Intel recently began work on a multimillion-dollar facility in Cordoba for 450 employees. ---------------------------------------- Explosive Growth of Small U.S. Companies ---------------------------------------- €¶7. (U) There has been a boom in the number of small U.S. hardware and software companies in the Buenos Aires neighborhoods of Palermo, Palermo Chico and Palermo Hollywood during the past two years, according to industry sources. Most of the firms are subsidiaries of U.S. companies that are based in Silicon Valley, California, Austin, Texas, and Raleigh, North Carolina. They generally employ 50 to 100 people and maintain a relatively low profile. This expansion is also being felt in the provinces. For example, a government official in the province of Salta recently told the Economic Counselor about a former Argentine employee of a U.S. software company who now operates a company in Salta providing software for U.S. companies. This is one of several such companies in that province. U.S. firms move operations or outsource to Argentina to take advantage of Argentina's relatively high educational levels and low labor costs. -------------- Digital Divide -------------- €¶8. (U) The rapid growth in Argentina's IT industry has left many Argentines behind. The population of Internet users grew 40 percent in 2005, but computer use in Argentina is still limited to the middle and upper classes. Only ten million Argentines, or roughly a fourth of the population, have regular access to the Internet. The vast majority of these computer users are concentrated in the nation's largest cities, according to a survey by Microsoft. Approximately 20 percent of the population does not have an equal opportunity to access the Internet because broadband has not reached their poorer neighborhoods. €¶9. (U) The GOA has instituted a number of projects with mixed results to combat this digital divide. Argentina's Ministry of Education together with the Massachusetts Institute of Technology launched "One Laptop Per Child" in 2005. This program intends to distribute between 500,000 and 1 million low-cost laptops to poor children in Argentina. Another Ministry of Education plan launched in 2005 intends to distribute 100,000 computers to 12,000 schools. The GOA also partly revived a plan to establish Community Technological Centers (CTCs) after abandoning it during the recession of 1999-2002. There are now 1,350 CTCs in Argentina. A lack of funding and training hampers these programs, according to the director of the Argentine Telework Association and the director of projects for the educ.ar program. An estimated 71 percent of Argentine educators have never used the Internet, and only 3 percent of Argentine Internet users regularly access the Internet from an educational institution. By contrast, 60 percent of Internet users go online in cybercafs, 41 percent go online at home, and 14 percent go online at work, with many having more than one mode of Internet access. €¶10. (U) Private companies are also sponsoring programs to bridge the digital divide. The "My PC Program," jointly funded by 40 mostly Argentine firms, is designed to bridge the digital divide by providing low-cost PCs to the nation's poor. Seven of the eight largest supporters are U.S. firms, including Intel, Microsoft, and HP. The eighth firm is South Korean. The program sold more than 20,000 PCs for approximately USD 800 per unit in April 2005. Other programs, such as Intel's "Quality in Teaching" program and BUENOS AIR 00000748 003 OF 003 Microsoft's "Alliance for Education Program" are also bringing Internet access to the nation's poor. €¶11. (U) Strong competition in both the hardware and software sectors is driving prices down. The hardware market in Argentina is extremely competitive and offers low profit margins. The number of PC manufacturers with sales and service networks in Argentina has increased from four to 17 in recent years. The software market is also competitive. Linux is popular in Argentina due to its low cost, and 42 percent of Argentine firms use Linux on at least some of their computers. Microsoft released a Spanish- language Windows XP "starter edition" to compete with Linux, further reducing the cost of a new Internet-ready PC. The impact of this competition is clear. Sales of PCs for home use increased 93 percent to reach over one million units in 2005. ------- Comment ------- €¶12. (U) The results of GOA programs to bridge the digital divide have so far been disappointing. The private sector will likely prove more successful in this area. End Comment. €¶13. (U) To see more Buenos Aires reporting, visit our classified website at: http://www.state.sgov.gov/p/wha/buenosaires







A 2009 survey in Italy showed that OpenOffice.org usage in the country is 50% among companies, with GNU/Linux at 63%. Just how understated is the impact of Free software as viewed from the States? A lot of the English-speaking news comes from there, pushing aside other claims and measurements, thus establishing a biased consensus.

Comments

Recent Techrights' Posts

Former Debian Project Leader Branden Robinson Cautions Against Cover-up and Censorship in Debian
Debian drama. Again.
It's Friday Again and Many People Leave IBM for Good (IBM Should be Reported for Illegal NDAs That Hide Layoffs)
we very seldom see anyone deviating a lot from the "template-like" narrative, let alone mentioning "layoffs" or "RA" or some other term that implies non-consensual departure
What Do People Ever Buy From Microsoft Anyway (Not PCs)?
Microsoft sells two things these days: 1) vapourware/promises. 2) its stock.
Gemini Links 20/02/2026: "Mainstream Unix, Underground Unix", Slop Staging DDoS Attacks Against Small Sites
Links for the day
 
Links 21/02/2026: "Moving Away From Cloudflare", Many Layoffs or Shutdowns in Games (Including XBox/Microsoft)
Links for the day
GNU Linux-libre is a Grown-Up Today
"before that, every distro that wanted to respect its users' freedom had to remove itself all of the binary blobs that were distributed as part of the kernel Linux's so-called sources"
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, February 20, 2026
IRC logs for Friday, February 20, 2026
Gemini Links 21/02/2026: "The Evil of Action" and Slop Bots Causing Great Harm Online (Not Just the Web)
Links for the day
Like a Shell
Overreactions can backfire
Not Only Leaders of XBox Got Sacked (Layoffs)
Phil Spencer and Sarah Bond got laid off
9PM on a Friday Night: Microsoft Says the Layoffs Are Not Layoffs
We've said for a long time that XBox is doomed this year
Gemini Links 20/02/2026: Misfin Server and Magic in Programming
Links for the day
analytics.usa.gov Reckons Windows "Market Share" Fell to Just 38%, Vista 11 Not Even a Third of Windows Users
This coming summer Vista 11 turns 5
The New Digg.com is Slop
Slop "summaries" and Serial Sloppers are drowning out the site with fake 'articles' (plagiarism)
Linus Torvalds: Bill Epsteingate Good Enough for Me to Wine and Dine With
Torvalds is more connected to Jeffrey Epstein than Richard Stallman ever was
Our Uptimes Are Always Better Than Any Site That Uses Clownflare
Clownflare as a company operates like a cult
GNU/Linux Apparently Rose to 6% in Uzbekistan
If accurate, this represents a new problem for Microsoft and a big win for Software Freedom
Sponsored Videos and 'Articles' in The Register MS, Stenography as a Service/Product
They should more accurately label these actors
The Little Clique of Sloppers/Spammers About "Linux" Got Even Smaller
Thankfully there are still genuine and legit GNU/Linux sites out there
Links 20/02/2026: Microsoft Intentionally Kills Older Hardware, "The Story of XBox" Shows How Defective Microsoft Hardware Really Was
Links for the day
Turkmenistan One of Many Countries Where Microsoft Fell to Distant Third in Search
We expect many layoffs in Bing some time soon
Don't Wait for "Red Hat Layoffs" Because After Bluewashing They're IBM RAs and Don't Wait for "IBM Layoffs" Because They're Perpetual
IBM layoffs are silent and "forever" (small trickle that never ends and is widespread - after all IBM is a very global and ubiquitous firm)
Links 20/02/2026: Standards, Science, and Politics
Links for the day
IBM Inclusivity: Red Hat Summit is for Rich Sponsors Like Microsoft and Rich Guests Who Pay $500 a Day
Nothing signals societal tolerance more than paying a large military contractor
GNU/Linux Adoption is Higher in Richer Countries
Is it because freedom is actually expensive - something that only privileged people can pursue?
Links 20/02/2026: Windows TCO Versus Deutsche Bahn, Europe Seeks More Independent Digital Future
Links for the day
IBM, Red Hat and Fedora: Don't Say "Master", It Offends People. Also IBM, Red Hat and Fedora: "Master Podman".
The hypocrisy at Red Hat and Fedora shows no boundaries
IBM Layoffs Aren't Just in IBM 'Proper'
Who is still using Lotus after the HCL move?
The Register MS Gets Paid by Gartner to Promote a Ponzi Scheme for Gartner, Microsoft, and Others
The credibility of that site will suffer because it tries to sell a major scam to its audience
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, February 19, 2026
IRC logs for Thursday, February 19, 2026
Gemini Links 19/02/2026: "Towards a Gemini Famicom Resource" and Dumping Microsoft
Links for the day
IBM Behaves Like a Company Looking for Loose Change Between Sofa Cushions
Chasing laid-off workers for dollars and even pennies, making excuses and devising loopholes (such as PIPs) to flout severance obligations
Microsoft Found Another Bailout Opportunity: Killing People
Good thing that Nadella is not racist!
No "Smart Mobs" (Social Control Media) in BRIC?
It looks like the "Social" "Media" sites tracked by statCounter see little from (or of) BRIC, and moreover it is declining fast
The Few Slopfarms We Saw Today
The sentiment has changed a lot
Links 19/02/2026: Protecting Framework Laptop 13, Hardware Drive Shortages
Links for the day
In Africa's Second-Largest Nation, Democratic Republic of the Congo (DRC), Opera 10 Times Bigger Than Firefox (and GNU/Linux Now at 5%)
This will become an accessibility problem
Links 19/02/2026: "A.I.pocalypse" Inevitable and "Butlers to LLMs"
Links for the day
An Inherently Royal (Monarchs') Legal System Where Size Matters (Big Capital Eats the Small)
This reinforces the notion that justice is only for those who can afford it
These Statistics Should Keep Microsoft Shareholders Awake at Night
Windows is, in general (all versions collectively), declining over time
Economic Failure and Other Harsh Realities Have Nothing to Do With Slop 'Innovation'
Advanced propaganda, not advanced 'AI' [...] They attack workers while insulting their intelligence
Spaniards Shutting Down MElon's Digital Weapon of "Smart Mobs"
Are the Spanish people already acting based on gut feeling and shunning/shutting out the provocation vector?
Bitcoin: government engagement contradictions
Reprinted with permission from Daniel Pocock
Richard Stallman in the United States - Part II - "Haters Gonna Hate"
we shall carry on with this series at the right pace
Typical! Solicitors Regulation Authority (SRA) Tells Victims of Fraud to Wait 10 Weeks
justice delayed is justice denied
EPO Union Leaders in Rijswijk Explain Where EPO Strikes Stand and How to Prepare for Next Week's
We have some revelations to share in a few days
statCounter: Only One in 350 Iranians Would Use Microsoft for Web Search
Microsoft is trying to fake "demand"
Slides Shown a Week Ago by the EPO's Staff Committee Ahead of the Second Very Large Strike
This coming weekend we'll drop a 'bombshell' of sorts
EPO "Cocaine Communication Manager" - Part II - Illegal Drug Addicts Mobbing the Wrong People, This Will Definitely Backfire
This year may well be the last year of Team Campinos. Nobody will hire them after that.
Mass Layoffs (But Silent Layoffs) Still Happening in IBM, You Need Only Look Closely (There Are NDAs, PIPs, 'Early Retirement' Sweeteners and IBM - Like Microsoft - Skirts the WARN Act)
the layoffs are definitely happening
Microsoft's "AI CEO" (Slop Propagandist) is Projecting, Many Microsoft "Jobs to be Replaced With All-Indian Low-Paid Staff in 12 Months"
Windows is perishing
Very Little Slop
We are not finding much slop anymore
Links 19/02/2026: Illegal Kangaroo Court for Patents Attracts Aggressive Firms, Public Domain Review Grows
Links for the day
Gemini Links 19/02/2026: Taxing the Rich, Raspberry Pi 4 Tinkering
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, February 18, 2026
IRC logs for Wednesday, February 18, 2026