Industry Canada approved a request to transfer 18 spectrum licences from Shaw Communications to Rogers Communications. Rogers will keep two of these licences, which were acquired by Shaw in the 2008 AWS spectrum auction, and provide the other 16 licences to WIND Mobile.
A transfer of Mobilicity’s 10 spectrum licences—acquired in 2008—to Rogers, which will provide all of those 10 licences to WIND in exchange for a portion of WIND’s current spectrum, was also approved.
Recent spectrum assignments in the 700 MHz, AWS-3, AWS-4 and 2500 MHz bands have provided all current and potential wireless service providers with multiple opportunities to access additional spectrum licences in the affected licence areas to meet their spectrum needs. These assignments have had a notable effect on the landscape of spectrum holdings in these areas.
These transfers, which were evaluated under Industry Canada’s Spectrum Licence Transfer Framework, will not result in an excessive concentration of spectrum in one company’s hands, nor will they adversely affect future competition.
Industry Canada notes that the requested licence transfers involve some spectrum that is currently not being used to provide services and will provide an opportunity to Rogers and WIND to put such spectrum to use for the benefit of Canadians.
In addition, Mobilicity’s customers will benefit from continued service.
As a new competitor, WIND Mobile will benefit greatly from this deal. In most of its key areas of service, WIND will now have enough spectrum to deploy the next generation of wireless services, known as long-term evolution or LTE.
This transaction will support competition by increasing WIND Mobile’s spectrum holdings in key markets in British Columbia, Alberta and Eastern Ontario. Access to sufficient spectrum is a key element in enabling wireless carriers to deploy the latest LTE data service. In addition, the transaction also provides Mobilicity with funding to make restitution to creditors. It also involves some spectrum that is currently not being used to provide service, and the transfers will provide an opportunity to put this spectrum to use for the benefit of Canadians.
