We want Globalive to launch their Wind Mobile brand. We are also excited to see the other new entrants Dave Wireless and Public Mobile enter the market. All these new options ultimately brings us Canadians more choice and will hopefully lower our rates.
All day today Globalive, TELUS, Rogers and Bell are behind closed doors doing in-camera questions and closing arguments. I’ve been listening to the audio hearing from yesterday’s CRTC hearings into Globalive’s foreign ownership and although there are many notable quotes, there are a few that stick out in my mind… all based around the implications if Globalive did not launch.
At 14:25 in the TELUS video:
Len Katz, Vice-Chairman of Telecommunications for the CRTC asks the TELUS representatives “If Globalive were to launch, has TELUS figured out its impact on what it would be on TELUS? And how big would that be?”
TELUS responds: “No, I mean, they will be a competitor, they obviously have some of these things they are talking about, um,, and we’ll compete with them”.
Katz: “Let me put it this way, Will TELUS make more money or less money if Globalive launched?”.
TELUS: “I don’t know. It’s another competitor, it depends on how they launch”.
Katz also asked the same question to Rogers reps… “What would be the impact on Rogers if Globalive entering the market, figure between 5 and 7 million subscribers I think was mentioned in conversations this morning. What would be the impact on Rogers?”.
Rogers Reps: “Well, um, I mean I’m sure Globalive will do a credible job. We face competition everyday. We’re going to face it with or without Globalive and I think the market will be very competitive with them and very competitive without them.”
Katz: “So you’re saying it doesn’t have any impact on you?”
Rogers Reps: No, I mean, I wouldn’t say no impact. Obviously every competitor are ones we take seriously. But, it doesn’t look to us that they are going to be anywhere near the force that say Videotron is going to be in the marketplace.”
Katz: “So what do you want us to do? There’s the jobs, we are talking about Canadian control, Canadian interests. There’s about 300 Canadians, 230, 240 somewhere between that where Globalive has employees. And they have quite a bit of stake in this. What are you looking for? This company to restructure to meet the rules? Looking to send the proposal to be shelved, killed? Other than the people in this room there are a lot of people who have something at stake here.”
Rogers Reps: I think you have to reduce their role as a combined debt and equity holder because it’s, there economic interest is too overwhelmingly huge. You have to make the veto’s a little more reasonable.. and then those 5 other items that I identified that are just not consistent with Canadian ownership and control.”
A 10:52 of the Bell statements “Mr. Chairman, you asked TELUS and Rogers when they appeared, What would they do in your shoes. The answer lies in Industry Canada’s own AWS policy framework. Industry Canada contemplated this possibility and provided the way forward. The spectrum is to be forfeited and returned to industry Canada… Industry Canada will then re-auction the returned spectrum…. Bell Canada is prepared buy up to 50% of it for up to 50% of the price payed by Globalive”.
Industry Canada already gave the green light for Globalive to launch and made it clear with their intentions at the start of the Wireless Spectrum auction: “Our government’s intentions are clear: to achieve lower prices, better service and more choice for consumers and business. We believe in relying on market forces to the maximum extent feasible because competition benefits consumers, and consumers benefit most when markets are as competitive as they can be.”
So what are your thoughts?
There has certainly been an incredible amount of excitement for their WIND Mobile brand. Lots of jobs have been created, contracts have been signed and people are ready to sign up. As wireless consumers do you believe Globalive should/will launch their network?