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CRTC should heed European lessons on wireless competition, says Telus
[September 30, 2014]

CRTC should heed European lessons on wireless competition, says Telus


(Canadian Press DataFile Via Acquire Media NewsEdge) GATINEAU, Que. - The former head of Austria's telecom regulator says Canada should heed the lessons learned in Europe about adopting rules intended to keep wireless prices low.

Georg Serentschy has told Canada's regulator that European telecoms are now living with the unintended consequences of stimulating increased competition to keep consumers happy.

Serentschy told a CRTC panel studying Canada's wholesale wireless market that forcing lower prices in the short term has resulted in Europe having among the slowest and least reliable wireless networks in the industrialized world.

Serentschy appeared as part of a panel from Telus Corp. (TSX:T), which called on the regulator to maintain its support of the current so-called facilities-based competitive model.

On Monday, the CRTC heard from the Competition Bureau, which called for new wireless regulations designed to entice a new, fourth national wireless carrier into Canada in order to increase competition and reduce prices.



Industry Minister James Moore has said he'd like to see a fourth wireless firm in the market to compete against Telus, Rogers (TSX:RCI.B) and BCE (TSX:BCE).

But Serentschy questions whether Canada, with a population of roughly 35 million people, could support a fourth carrier when Germany and its 81 million people could not.


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