Cable / Telecom News

Videotron to launch wireless in 2006


MONTREAL and TORONTO – Quebecor-owned MSO Videotron will join the quadruple play club in 2006 by adding wireless service on the Rogers Wireless network.

The two companies today announced the signing of a strategic relationship agreement that will enable the Quebec cable company to offer consumers television, broadband Internet, cable telephony and Videotron branded mobile wireless services.

Videotron will operate as a Mobile Virtual Network Operator, or MVNO, utilizing wireless voice and data services provided by Rogers Wireless across its GSM/GPRS network. This is the same arrangement Virgin Mobile Canada has with Bell Mobility.

The company plans to launch its mobile wireless offering in the first half of 2006, with services to include international roaming and popular options. Videotron will be responsible for acquiring and billing customers, and for providing customer support under its own brand.

“The launch of Videotron’s own wireless telephone service will satisfy consumers’ desire to get all telecom services in one place,” says today’s press release. “Customers will be able to obtain from Videotron residential phone service, cable TV, Internet access and mobile wireless service, all backed by top-notch technical support.”

Market studies and the success of Videotron’s residential telephone service launch demonstrates that consumers appreciate a one-stop shop for service, and that they want to benefit from the savings that come with bundled offerings.

Videotron has signed up over 75,000 wireline voice customers for its VOIP service, as of the end of August.

"We are thrilled that we will soon enhance our already robust and popular product set and bundled offerings to provide customers the best experience possible and a high level of satisfaction with Videotron. Our agreement with Rogers Wireless means that our customers will soon be able to benefit from wireless service as part of that package, delivered across Rogers’ powerful and extensive wireless voice and data network," said Robert Depatie, president and CEO of Videotron, in the press release.

"Our agreement with Videotron represents an extension of relationships between Rogers Wireless and Canadian companies with roots in the cable television industry," said Nadir Mohamed, president and COO of Rogers Communications. "We are pleased to be working closely with one of the pre-eminent cable companies in Canada and making it possible to offer customers in the region a more complete range of products."

"Today’s announcement firmly places Videotron’s status as a major Canadian telecom provider and positions the company to continue its growth and lengthen its string of successes in all segments of the entertainment and communications industry," added Pierre-Karl Peladeau, president and CEO, Quebecor Inc.

"Rogers Wireless operates Canada’s largest integrated wireless voice and data network and continually looks for ways to innovate and improve the customer experience. Today’s announcement is yet another innovative way for us to put the power of Rogers Wireless in more people’s hands while at the same time re-enforcing a long standing relationship with one of Canada’s most advanced and respected cable operators," said Ted Rogers, president and CEO of Rogers Communications Inc.

No details on pricing or marketing details will be announced until launch.

www.videotron.com