Despite pricing pressures, wireless incumbents remain in good shape - Canaccord Genuity

TORONTO - The past year has been a strong one for Canada’s big three telcos (see Figure 1 below), but new wireless pricing plans will cut into Average revenue per user (ARPU). In particular, a new Rogers Wireless price plan (see Figure 2) launched on November 7 and matched immediately by Telus and Bell, along with a maturing smartphone market and looming threat from Wi-Fi could combine to slow future growth. This according to research from analysts Dvai Ghose and Sanford Lee in Canaccord Genuity’s latest Daily Letter to investors. “On the surface, one could conclude that these new rate plans...