Paraguay’s Power Play: Sparking South America’s Next Tech Boom!

Paraguay, a country located between Brazil and Argentina, is aiming to become the Silicon Valley of South America. Gabriela Cibils, a Paraguayan tech leader, is at the forefront of this mission. Growing up, she noticed that Paraguay was not very focused on technology, but her parents worked in the tech industry, which inspired her to pursue a career in the field. Gabriela studied computing and neuroscience at the University of California, Berkeley, and spent eight years working in Silicon Valley, the famous tech hub near San Francisco. Despite her success in the United States, she chose to return to Paraguay to help develop its technology sector. Now, as a partner at Cibersons, a global technology and investment firm based in Asunción, Gabriela is working to put Paraguay on the map and attract major tech companies from around the world.

One of Paraguay's biggest advantages is its abundance of cheap, renewable electricity. The country gets almost all its power from hydroelectric sources, mainly the massive Itaipu Dam on the Paraná River, which supplies 90% of Paraguay's electricity and 10% of Brazil's. Because Paraguay produces more electricity than it needs, its energy prices are among the lowest in the world. The government hopes this will attract global tech firms, especially those involved in artificial intelligence, which require huge amounts of energy for data centers. Sebastian Ortiz-Chamorro, a software entrepreneur, points out that hydroelectric power is both renewable and reliable, making it more attractive than wind or solar energy for companies that need a steady supply of electricity. In addition to the Itaipu Dam, Paraguay has another large hydroelectric plant called Yacyretá, and private companies can build their own smaller facilities if needed.

The Paraguayan government is actively working to make the country appealing to tech investors. President Santiago Peña has met with companies like Google and OpenAI to discuss potential investments. Minister of Technology and Communication Gustavo Villate highlights Paraguay's young population, renewable energy, low taxes, and economic stability as key selling points. The government is planning to build a new digital park near Asunción's main airport, which will include lakes, a childcare center, and other facilities. The first stage of the project will cost around $20 million, with private companies expected to invest in the rest. The park will also host a new University of Technology, a joint venture between Paraguay and Taiwan, to train more young people in tech skills. Vanessa Cañete, president of the Paraguayan Chamber of the Software Industry, says they are working hard to create a large pool of software engineers and programmers. She is also passionate about encouraging more women to study computer engineering and founded Girls Code, a non-profit that offers programming and robotics workshops for young women. To help software developers communicate with international clients, they receive English lessons for up to four years. While there are still challenges, such as bureaucracy and adapting contracts, Gabriela Cibils believes that with innovation and by leveraging Paraguay's strengths, the country can become a major player in the global tech industry.