MONTREAL – Saying it will create about 1,000 new jobs, Quebecor Media and its cable and telecom division Videotron said today that they will invest between $800 million and $1 billion over four years to roll out its new wireless network.
A big chunk of it has already been spent buying spectrum, however, during this summer’s advanced wireless spectrum auction when Quebecor bid $554 million to cover its home province, as Cartt.ca reported.
The new High Speed Packet Access (HSPA) network should be up and running in 12 to 18 months, QMI CEO and Videotron president and CEO Robert Depatie said this morning at a press conference in Montreal. The projected expenditure includes the cost of acquiring spectrum and operating licenses, building out the network and initial operating costs.
"This project is of more than technical interest; it is a watershed event in the history of Quebecor Media and Videotron," said Peladeau. "Today, mobile telecommunications have become an instrument of economic, cultural and social development. So what we are announcing is not just the building of a new telecommunications network; with this network, we are laying the foundations of a new business model for Quebecor Media and all its subsidiaries.”
When it comes to the consumer offering, “(i)t will be economical, simple and transparent, which is to say there will be no hidden fees. I can say without hesitation that at this time no other Canadian company is in a position to go as far as Videotron when it comes to integrating technology and content, for the benefit of local consumers and small businesses."
"There is a considerable advantage to being a new market entrant in this industry: our network will be designed using the latest technology and it will be readily upgradeable, meaning a fast transition to 4G," he said. "We will therefore be equipped to offer consumers an unparalleled customer experience, with wireless Internet services at speeds of up to 3 Mbps across Videotron’s service area."
A hundred experts will be added to the Videotron engineering department’s current staff of 800 professionals for the purpose of designing, supervising and controlling this network, noted today’s press release.
"Our goal will be to make sure that Quebecers and Canadians soon have access to services that are standard fare in other countries and are drivers of economic growth and social vitality. We therefore plan to make a massive investment to support the development of Quebec voices and mobile content on all the new digital platforms, content which will be a valuable economic and cultural asset for Quebec,” added Peladeau.
(Ed Note: Reading between the lines here and looking at Videotron’s cheap, popular VOIP phone service, we’d expect some low, low pricing.)
Videotron has chosen Nokia Siemens Networks (NSN) as its supplier for the next five years, too, the company announced. “NSN is providing us with an advanced ‘Generation 3.75’ solution that uses base stations that are smaller and faster than conventional facilities, more flexible to install and consume less energy. This solution also supports remote network management capabilities which will let Videotron add or move bandwidth without sending personnel to the site,” reads the release.
– Greg O’Brien
