India's Zoho plans to expand footprint in Latin America

Indian software company Zoho plans to invest US$20mn over three years in Latin America to expand its business, open offices and deploy one or two datacenters.

The first datacenter, with 1MW and two locations, is expected to start operations either this year or in the first quarter of 2025.

“We have to finish two more datacenters globally and the next one is in Mexico,” Fernando Sotelo, director of strategic alliances and customer experience for Latin America, told BNamericas.

Zoho also plans to build a second datacenter in another of the countries where it operates. A location is not yet defined, but alternatives are being evaluated based on the number of Zoho users in a given territory, availability of renewable energy and connectivity infrastructure.

The company also plans to expand its staff in Latin America and will open 20 positions during the second quarter. Most hires are planned for Mexico and Colombia, although the company will also continue expanding in countries where it has a presence and open offices in other markets.

“We want to be seen as a local company,” Sotelo said. Zoho recently opened its headquarters in Mexico with capacity for 200 people – practically the company's entire staff in the region. The project required investments of US$20mn.

Zoho also has a presence in Chile and Colombia.

The company has 100mn users globally and 700,000 clients. Latin America revenues grew 40% in 2023, with the company eyeing a 60% increase this year.