With the news from this morning that Globalive will be launching as early as next week, the big 3 (Rogers, Bell and TELUS) did not fare so well on the TSX today. I’m no stock trader but seeing the charts below only show a down cycle and that cannot be good.
We reached out to Rogers, Bell and TELUS. Each organizations Spokesperson states the following:
Bell: “It’s disappointing as we think Globalive quite clearly does not meet the requirements for Canadian control. We will be taking a close look at the reasoning behind this decision.”
Rogers: “We believe competition is good for Canadian consumers. We’ve always thrived in a competitive environment and we’re ready to meet the competition head on.”
TELUS: Michael Hennessy, TELUS senior vice-president of Regulatory and Government Affairs stated “We are disappointed with Cabinet’s decision to give one competitor a unique advantage, after bidders that spent $4 billion in the last auction were explicitly told that the rules prohibited foreign ownership and control. This decision has implications extending well beyond the telecommunications industry, given it creates a precedent on what constitutes compliance with foreign control restrictions.”