MONTREAL – Cogeco Cable could add wireless service to its mix as the country’s newest Mobile Virtual Network Operator (MVNO), a move that it said will help foster wireless competition in a market dominated by incumbent providers.
In advance of its appearance Monday at the CRTC’s review of wholesale mobile wireless services, Cogeco said in a statement that it will seek “the implementation of appropriate regulatory measures to allow it to enter the wireless market as an MVNO to offer customers more choice, better value and differentiated wireless services”. MVNOs are mobile wireless service providers that lease capacity from facilities-based wireless carriers such as Bell, Rogers and Telus.
“Given the high concentration in the Canadian mobile wireless market, Cogeco strongly believes that regulatory measures fostering the entry of MVNOs in addition to other measures will increase competition in the market and enhance consumer choice”, said Cogeco president and CEO Louis Audet, in the statement. “A regulated MVNO option would definitely be in the best interest of Canadian customers and businesses.”
Although supportive of the federal government’s facilities-based option, Cogeco said that the MVNO model would offer greater benefits to Canadian consumers through more choice, better value and differentiated wireless services. In addition, the entry of MVNOs in the market would help to increase investment in the telecommunications industry.
“Cogeco believes that in order to guarantee the presence of a fourth competitor in every market in Canada as requested by the government, a regulatory framework requiring major wireless carriers to provide wholesale wireless access network services to MVNOs is necessary”, it added.
