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…
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CALGARY – Telus is adding Movie Central and HBO Canada content to its Optik on the go service, offering the latest seasons of HBO Canada and Movie Central programming to customers who subscribe to Movie Central. First launched in 2011, Optik on the go allows customers to view a selection of TV On Demand shows and movies on their mobile devices, tablets and laptops, at home and on the move.
With the addition of Movie Central and HBO Canada programming, Optik will now offer subscribers new seasons of popular HBO original series such as Game of…
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TORONTO – While rating the industry as “outperform”, a BMO Capital Markets report published Monday says the Canadian media and telecom business will generate $62 billion in revenue in 2012 and see an overall growth rate of about 3%, as compared to last year. Of that revenue, about 75% comes from our big four of BCE, Rogers Communications, Telus and Shaw Communications.
While wireless, wireline broadband and specialty television will continue to be the revenue drivers, overall growth will be partially offset by declines in legacy data, voice and print media, says the report. Look for the overall share of…
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OTTAWA – The CRTC says it will begin regulating Northwestel’s backbone connectivity V-Connect IP VPN service, and has ordered it to file a revised pricing model for what it charges competing internet service providers, along with a cost study justifying that price by year’s end.
The CRTC first directed Northwestel to file competitive rates nearly a year ago, but the company appealed the decision. The regulator this week responded by rejecting all of the carrier’s arguments in its decision.
“Commission concludes that Northwestel has market power in its operating territory with respect…
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TORONTO – Sixteen Candles, one of the most popular teen movies from famed 1980s movie director the late John Hughes, will be the first movie shown on Rewind, Channel Zero’s latest specialty channel brand, when it launches Saturday.
Replacing Movieola in channel lineups (the short film channel moves to its new online home) Rewind will feature flicks such as The Godfather, Blues Brothers, Ferris Bueller’s Day Off, Moonstruck, Edward Scissorhands and many others – all targeted towards Generation Xers who came of age in the 70s, 80s and 1990s. In fact, the whole first weekend is being dubbed “High School…
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IRVING, TEXAS – eRecyclingCorps (eRC), has appointed Patrick Button as vice president and general manager for Canada. Based out of Waterloo, Ontario, Button will lead eRC's Canadian operations and expansion strategy, including management of the company's existing device trade-in programs with Telus and other leading wireless operators and retailers throughout the country.
"eRecyclingCorps is the clear leader in this rapidly growing and important industry, putting money back in consumers' pockets and improving operators' bottom lines," said Button. "Having spent the vast majority of my career with some of world's largest device manufacturers, I've seen e-waste…
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WHILE VOICE IS COMMODITIZED and data is monetized as we increasingly move into a smartphone world, wireless pricing plans are undergoing radical changes in lock-step with burgeoning technology and changing consumer habits, according to a new report from BMO Capital Markets.
On November 7th, the Canadian big three national wireless carriers each unveiled new pricing plans within hours of each other. The new, simplified plans boast unlimited talk and text as well as data buckets that can be shared by family members and their varied devices that are all on the same household account. The BMO report says the shift,…
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TORONTO – Dial-around telecom discounter Telehop Communications said it posted operating income of $38,518 and EBITDA of $77,131 during the third quarter, ended September 30th.
"We have accomplished many of our early goals," said Rajiv Jagota, president CEO, in a release. "We now have a platform from which to become much more aggressive in the market. The recent landmark agreement we reached with Telus is a clear example of our ability to chart our own course and create our own opportunities."
During the third quarter, Telehop saw EBITDA rise to $77,131 from a loss of $81,517 during…
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GATINEAU – The small incumbent local telephone companies (SILECs) are urging the CRTC to reject proposals calling for changes to the local subsidy regime for lost telephony customers (lost NAS). They also say a regime that will force them to raise local rates to make up for a shortfall in toll interconnection revenue won’t work.
The large incumbents, as well as Rogers Communications and Shaw Communications, want the Commission to only allow the 50% subsidy rule to apply to lost customers who port their number to a competing carrier. The SILECs counter that this is not what the CRTC had…
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“EVERYBODY’S STARTING TO realize that this market isn’t what we thought it was going to be,” said Alek Krstajic, president and CEO of upstart Canadian wireless company Public Mobile.
The wireless business is a very tough game. It’s extremely costly to build out, quite difficult to convince customers to switch service providers, incumbent carriers have been ruthless and access to spectrum, especially the good stuff, looks to be a problem. Those reasons and a few others make it appear like a round of consolidation among the three new independent wireless providers is close at hand, likely before the 700 MHz…
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