Is Ottawa Finally Putting an End to the Mobile Phone Service Tyranny in Canada?

[Addick]

Ottawa's wireless auction could cut cellphone rates

Updated Wed. Nov. 28 2007 5:56 PM ET
CTV.ca News Staff

Ottawa announced it will hold an auction of the wireless spectrum in May 2008, which could mean more competition and lower cellphone rates for Canadians next year.

"The introduction of new service providers will help to make Canada's wireless market more dynamic, more competitive, and more innovative so as to meet the needs of Canadians," Prentice said.

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Although they won't waive the foreign ownership rules, hopefully Vodafone enters the market! I could use my current mobile in most of the places I usually travel to without even having to switch SIM cards, and I already have a Vodafone SIM card and account.

[Bobblehead]

The thing that worried me were the potential "new" buyers, Shaw and Quebecor being 2 who were named.

[Devils'Advocate]

Telus executive vice-president Janet Yale said, "We thought this was a government that believed in market forces, that believed in not trying to create special concessions to help new entrants, and at the end of the day we believe this is not in the best interest of consumers or telecom industry overall.

You want market forces jackass, let's allow Verizon come into Canada. Eat that. Asshat. I don't think this goes far enough. I think the whole 105 should have been kept from the three existing companies. They have shown that, left to their own devices, they are willing to leave Canada as the absolute worst telecommunications infrastructure in the developed world.

[Winsor_Pilates]

5 years overdue, but hopefully it happens.

[FireFly]

Originally Posted by Devils'Advocate

You want market forces jackass, let's allow Verizon come into Canada. Eat that. Asshat. I don't think this goes far enough. I think the whole 105 should have been kept from the three existing companies. They have shown that, left to their own devices, they are willing to leave Canada as the absolute worst telecommunications infrastructure in the developed world.

And you think splitting profits even more ways will help the infrastructure? Who is going to maintain the towers we already have when every company makes less money?

I welcome the new companies but I worry what it will mean overall for the infrastructure.

[flylock shox]

FINALLY. I gave up my cellphone almost 2 years ago now - largely because I thought there was obvious collusion between the telecoms, and I wasn't going to pay their outlandish rates nor put up with their terrible customer service. I've long wondered why there hasn't been a public inquiry into anti-competitive practices among telecoms. This sounds like a slight glimmer of hopw.

Our country is so far behind in cell phone use it's ridiculous.

I wonder how long this'll take to affect us consumers.

[RW99]

In a dire situation a couple months ago, I used my bluetooth phone go online with my laptop on Rogers. 2260kb (2.2mb) and $113.00 later I really hate their rehtarded rates.

[Addick]

Originally Posted by FireFly

And you think splitting profits even more ways will help the infrastructure? Who is going to maintain the towers we already have when every company makes less money?

I welcome the new companies but I worry what it will mean overall for the infrastructure.

What I've been led to believe is that the problem isn't a lack of infrastructure but rather a lack of service provision. For example, Apple couldn't reach a deal with Rogers for the iPhone not because the Rogers network wouldn't be able to handle it but because they simply didn't want to enable all of the iPhone's functions. Even if the Rogers network couldn't handle it today, Rogers could surely afford to upgrade its network to the necessary standards. However, that's not how things work with an oligopoly...

[BlackArcher101]

Originally Posted by FireFly

And you think splitting profits even more ways will help the infrastructure? Who is going to maintain the towers we already have when every company makes less money?

I welcome the new companies but I worry what it will mean overall for the infrastructure.

Wouldn't the company that owns the towers be reimbursed somehow for their usage by the other companies wishing to move into their area? Perhaps a rental fee or something a long those lines? I'm sure they would be forced to invest in infrastructure somehow.

[FireFly]

Originally Posted by BlackArcher101

Wouldn't the company that owns the towers be reimbursed somehow for their usage by the other companies wishing to move into their area? Perhaps a rental fee or something a long those lines? I'm sure they would be forced to invest in infrastructure somehow.

Ah, except that the government has decided that all the companies also need to have automatic roaming agreements and as such, don't make much money that way. AFAIK, Bell and Telus basically make nothing off using each other's towers. Virgin has an agreement with Bell, but not Telus so Bell gets to see all that profit, not Telus. And yet Telus is also facing additional infrastructure usage.

I'm fairly certain that this is the same problem Telus is having with landlines now that they're deregulated. Everyone else is using them, but since they aren't their lines, only Telus has to repair them. The reimbursment is not what it should be so Telus loses fistfulls of money now. (The reason their landline rates are higher than everyone else's, or at least part of it.)

In any case, when you cut everyone's profit margins in half, there's no way that there is as much money going into network improvements anymore.

[Devils'Advocate]

Look. Rogers/Telus/Bell are GOUGING consumers. They have absolutely no incentive to invest their profits in improving service or reducing rates. Splitting the profits by promoting competition FORCES companies to provide the best service at the lowest rates.

Never thought I'd see Firefly arguing for protectionist policy to maintain an oligopoly. If we were concerned about splitting profits being counter-productive, perhaps the telecommunications industry should be nationalized and we can have one system run by Ottawa. That we we don't have to worry about profit splitting. Oi.

[mykalberta]

Does anyone have a stat on the number of cell towers per person in Canada compared to the US and EU?

If that number is on par, than the infrastructure is fine.

[STAMPEDRED]

Well its about time for some competition. Even as it stands now Albertans get hosed compared to Saskachewanee's even with the same service provider (roger's). I finally left Rogers for Fido, I know, big change there, but it really makes a difference on my bill, because of using the internet a couple of times and they wanted over $300 for it! I pay $30 a month for the internet at home, and they're trying to convince me it costs that much to connect for 30 seconds!!

Cheaper phone rates come home to Canada baby!

[metal_geek]

It's it a big scam anyway..

Some noname outfit is gonna buy a giant wad of the spectrum for a some ungodly sum of money... Gonna put up a bunch of towers in the big citys, sign up a whole truckload of subscribers from all the current providers due to crazy cheap rates. It's then gonna find itself in financial trouble, go into receivership, screw all the debtors and get bought up, spectum and all by one of the big players for cents on the dollar...
________
VAPIR NO2

[burn_baby_burn]

Originally Posted by STAMPEDRED

Well its about time for some competition. Even as it stands now Albertans get hosed compared to Saskachewanee's even with the same service provider (roger's). I finally left Rogers for Fido, I know, big change there, but it really makes a difference on my bill, because of using the internet a couple of times and they wanted over $300 for it! I pay $30 a month for the internet at home, and they're trying to convince me it costs that much to connect for 30 seconds!!

Cheaper phone rates come home to Canada baby!

Really? I thought you could only use Sasktel in Saskatchewan? An uncle of mine who lives in Saskatchewan uses an Alberta number for his cell phone throught Telus. He did it to avoid having to use Sasktel. Or so I thought.

[Deelow]

Originally Posted by Devils'Advocate

Never thought I'd see Firefly arguing for protectionist policy to maintain an oligopoly.

Drinking that Telus Kool-Aid maybe.
I'm sure sales are good.

[FlamesKickAss]

^^^^ that is just sick stats fotze. If you got the right plan in the states it would be worth it to use it up here

[return to the red]

Originally Posted by burn_baby_burn

Really? I thought you could only use Sasktel in Saskatchewan? An uncle of mine who lives in Saskatchewan uses an Alberta number for his cell phone throught Telus. He did it to avoid having to use Sasktel. Or so I thought.

I think it is the reverse. Sasktel won't let Telus use their towers. I know whenever the in-laws come they have no problem with reception here but as soon as I venture into Sask. I have absolutely nill coverage

[The Goon]

Originally Posted by fotze

This actually makes me feel physically ill.

I saw something similar on Global National last night, which said a data package with AT&T (5450 voice minutes and unlimited data) in the US is about $60/month, and a similar package in Canada with Rogers (fewer minutes, less data though) is just over $140.

[burn_baby_burn]

Originally Posted by return to the red

I think it is the reverse. Sasktel won't let Telus use their towers. I know whenever the in-laws come they have no problem with reception here but as soon as I venture into Sask. I have absolutely nill coverage

I use Telus and it works in Saskatchewan. The internet is the old slow system but it still works. If anything has changed I guess I'll see next week when I have to, sob, drive to Saskatoon.