Canadian wireless companies still worried rules favour foreign competitors

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VANCOUVER (NEWS1130) – Canada’s big three wireless companies aren’t saying much publicly about Verizon‘s decision not to pursue opportunities north of the border other than that they’re concerned the door is still wide open for foreign competitors.

The US telecom giant confirmed yesterday it has no interest in entering the Canadian wireless market at this time, calling speculation it would participate in the upcoming wireless spectrum auction “way overblown.”

Bell, Rogers, and Telus had joined forces in a campaign warning they would be at a disadvantage if Verizon were allowed into the market under the current wireless rules, which they say favour foreign entries.

Telus says those rules haven’t changed.

“Just because Verizon isn’t coming doesn’t mean another large foreign company such as SoftBank, which is entering the US through their purchase of Sprint, might not want to come to Canada and take advantage of rules that, literally, would give them up to half of this 700 megahertz spectrum,” Telus executive vice-president Josh Blair tells the Canadian Press.

Verizon is instead focusing on its US market, having agreed to buy the 45 per cent stake in Verizon Wireless owned by British cellphone carrier Vodafone.

The Harper government says the upcoming auction of wireless spectrum (the radio waves needed to make cellphone networks operate) will be a clear win for consumers because it will encourage competition from new players.

Rogers is the parent company of News1130.

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