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Canada Telecommunications Report Q3 2015

99 Pages BMI Research July 01, 2015 SKU: BMI5618333

BMI View: The regulator has blocked attempts by Rogers, Bell Wireless and Telus to acquire the smallerplayers in the market, such as WIND and Mobilicity, resulting in the new entrants struggling to remainafloat and offer challenge to three established operator. In this environment BMI believes it to be unlikelythat a fourth large operator will emerge. In the frequency auction in March 2015, WIND, Eastlink andVideotron all managed to boost their spectrum holdings significantly, but BMI is still sceptical of theemergence of a strong fourth market player. With some of the highest ARPUs in the world, a low-coststrategy would have some success in attracting subscribers. However, the Canadian market ispredominantly postpaid and 3G/4G focused, with customers willing to pay higher rates for better quality,speed and coverage.

Key Data

Since the second half of 2014 Telus has outperformed all other operators in terms of net additions with413,000 new subscribers up to Q115, meanwhile MTS was the only operator to shed subscriptions. Allother operators have reported net additions over the last nine months.

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Canada Telecommunications Report Q3 2015

BMI Research
July 01, 2015

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