Rogers to spend up to C$1 bln on spectrum -CEO

[Ironwalt]

Rogers to spend up to C$1 bln on spectrum -CEO
Wed Sep 19, 2007 2:05pm EDT

OTTAWA, Sept 19 (Reuters) - Rogers Communications Inc (RCIb.TO: Quote, Profile, Research) expects to spend up to C$1 billion on wireless spectrum and expects an auction to take place in the first half of 2008, its chief executive said on Wednesday.

The Canadian government has announced plans to auction off the airwaves that telecom companies use to deliver wireless services in early 2008 and could unveil rules for the auction as early as this fall.

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[Fire14]

Originally Posted by Ironwalt

Rogers to spend up to C$1 bln on spectrum -CEO
Wed Sep 19, 2007 2:05pm EDT

OTTAWA, Sept 19 (Reuters) - Rogers Communications Inc (RCIb.TO: Quote, Profile, Research) expects to spend up to C$1 billion on wireless spectrum and expects an auction to take place in the first half of 2008, its chief executive said on Wednesday.

The Canadian government has announced plans to auction off the airwaves that telecom companies use to deliver wireless services in early 2008 and could unveil rules for the auction as early as this fall.

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I wonder which frequencies they will be making available?
Usually they are the same as the US, do you think it will be 1700 or 700 Mhz ?

[Mobile Mike]

I wonder what Telus and Bell's response will be to this?

[Ironwalt]

Canada minister, telcos seen set for spectrum talks
Tue Sep 25, 2007 2:23pm EDT

By Wojtek Dabrowski

TORONTO, Sept 25 (Reuters) - Canada's largest telecom companies are set to meet with the country's new industry minister to discuss rules for an upcoming auction of wireless spectrum, sources close to the situation say.

The precise timing for the meetings between Industry Minister Jim Prentice and executives from BCE Inc (BCE.TO: Quote, Profile, Research), Telus Corp (T.TO: Quote, Profile, Research) and Rogers Communications Inc (RCIb.TO: Quote, Profile, Research) is unknown, although one source who would not speak on the record said they are happening this week.

The auction is expected to take place in the first half of 2008 and the rules could come this fall. Spectrum essentially refers to the airwaves over which wireless services are delivered.

A meeting with Prentice, who became industry minister in August, would be a key chance for the three market leaders to persuade him not to set aside spectrum space for hopeful new market entrants such as Quebecor Inc (QBRa.TO: Quote, Profile, Research)(QBRb.TO: Quote, Profile, Research).

The market leaders argue the so-called set-asides amount to a subsidy and would make competition unfair. Quebecor has argued that the big three have a stranglehold on the wireless market and that competition is being stifled.

Potentially at stake is the market leaders' dominance of Canada's wireless landscape. The wireless business is seen as the engine of growth for the companies, some of which face declining revenue from older services such as land lines and long-distance calling.

The market is already fiercely competitive and the arrival of new entrants could put pressure on the profitability of Rogers, Telus and BCE's core Bell Canada unit.

Companies planning to break into the wireless market are also likely to meet with Prentice ahead of the auction, another source said, also speaking on condition of anonymity.

The source said Prentice has not yet firmly decided whether spectrum will be set aside for new entrants.

The minority Conservative government has previously spoken out in favor of robust competition and reliance on market forces in the telecom industry.

Officials at BCE and Telus had no comment. Rogers did not return a call seeking comment.

Prentice spokesman Bill Rodgers said the minister will meet with major industry players in connection with the auction as part of the consultation process, but would not say whether he is leaning towards guaranteeing space for new market players.

Telus briefly supported possible spectrum set-asides when it was in takeover talks with rival BCE, but that position changed when it abandoned its pursuit.

The bidding battle for BCE was eventually won by a consortium led by the Ontario Teachers' Pension Plan with a C$34.8-billion buyout bid. The deal is still pending final regulatory approval.

(Additional reporting by Randall Palmer in Ottawa)

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