WHILE VARIOUS wireless executives received e-mails this week from Industry Canada officials cautioning them on speaking with the media about the 700 MHz wireless spectrum auction, both EastLink and Wind mobile confirmed Monday they will take part.
Initial deposits from any company interested in bidding on the spectrum during the auction which will kick off January 14th, are due Tuesday at noon. While speculation will likely rage on for days now, it is hoped that Industry Canada will release a public list of participants by September 25th. While it’s a lock that the likes of Rogers, Telus, Bell, Videotron, SaskTel, and MTS will bid for spectrum either nationally (the Big three), and/or locally (Videotron, SaskTel and MTS), it was an open question whether or not Wind, which is for sale and has struggled to get to the 650,000 customers it has, would be involved in the auction.
Wind’s parent company Globalive Wireless Management settled that question in a statement Monday evening saying: “Wind Mobile would like to announce its intention to enter the 700 MHz auction. We have long maintained that there is a dire need for additional wireless spectrum in Canada to ensure the long-term success of any independent wireless provider. Wind Mobile has grown into Canada’s fourth national carrier, with over 650,000 subscribers, and we have no intention of stopping now. We would like to take this opportunity to reaffirm our long-term commitment to Canada and we look forward to bringing true mobile freedom to more Canadians.”
Globalive founder Tony Lacavera visited with the Globe and Mail editorial board on Monday to set out its thoughts on the auction and the wireless market in Canada.
In an interview with Cartt.ca on Monday, EastLink CEO Lee Bragg confirmed that his company, too, will be taking part in the auction, in its existing territories, since the blocks up for auction are geographically bigger (Alberta is one block, for example). “I would definitely like some 700 MHz spectrum,” said Bragg. “That’s likely all I’m allowed to say.”
And, since Public Mobile said this summer it would take part in the auction, that leaves just Mobilicity up in the air. Most observers and analysts, however, assume the company, teetering on the edge of bankruptcy, will not be able to take part.
The final wild card will be whether or not an outsider decides to jump in. Verizon, the subject of so much speculation in the summer, has said it will not come to Canada, but 700 MHz is considered valuable, beachfront property where, for example, at the cost of a few towers on top of the spectrum, the likes of AT&T could extend its home network to certain large Canadian cities and build a competitive advantage among business clients by being able to offer free roaming to Canada.
Is that enough of an competitive reason for it or any others to get involved? Do other international telecoms believe there is a decent opportunity here for them? We’ll find out soon enough.
– Greg O’Brien
