Tag: minister champagne

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As TekSavvy’s application gains potential, Minister Champagne says he isn’t close to Rogers-Shaw decision

Industry Minister François-Philippe Champagne isn’t sharing any new information regarding his decision on the Rogers-Shaw merger.

At an Industry and Technology committee meeting Monday, he said he has “not made a decision yet.” He continued that he isn’t close to finalizing anything and that “there will be a decision in due course.”

The Minister is responsible for approving the transfer of Shaw’s wireless licenses to Vidéotron, which is crucial for Rogers’ takeover of Shaw to proceed.

The $26-billion transaction, along with Vidéotron’s plans to acquire Freedom Mobile, have already jumped through various hoops. It successfully fought the Competition Bureau’s push to block the merger and gained approval for broadcast aspects from the Canadian Radio-television and Telecommunications Commission (CRTC).

However, the CRTC is currently examining an application from TekSavvy arguing Rogers is giving Vidéotron “undue preference.” While this file can’t stop the mergers from proceeding, it has received widespread support, including comments from the Competitive Network Operators of Canada and OpenMedia.

Globalive also filed comments, which says the moves “are simply a result of Rogers’ efforts to clear a major regulatory hurdle to its proposed acquisition of Shaw.” The company also says the “undue preference” will hurt its efforts to re-enter the mobile market. 

“Globalive is also concerned with the negative effect these preferential arrangements will have on the development of competition for the provision of wireless services in Canada and specifically, the negative effects these arrangements will have on Globalive’s re-entry into the wireless market in Canada,” the company said in its comments.

Via: CRTC, Cartt.ca 

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Minister Champagne wants Rogers, Québecor to commit to wireless affordability: Globe and Mail

Canada’s Minister of Innovation, Science and Industry is reportedly looking for a series of “firm commitments” from Rogers and Québecor about wireless affordability.

According to The Globe and Mail, François-Philippe Champagne wants the two companies to put into writing that they’ll “maintain affordable and accessible wireless service,” and failures to do so will lead to consequences.

Rogers is acquiring Shaw under a $26 billion transaction. Québecor subsidiary Vidéotron is purchasing Shaw’s wireless licences under Freedom Mobile as part of the deal.

The mergers have passed through other approval obstacles, and Minister Champagne is the last to sign off. His conditions for approval include Vidéotron keeping the acquired licenses for 10 years and the company dropping wireless bills by 20 percent in Ontario and Western Canada.

However, Minister Champagne previously stated that he’s in no hurry to provide approval. 

The three companies expanded their deadline to conclude the transactions from January 31st to February 17th as they wait for approval.

Image credit: @fp_champagne

Source: Globe and Mail 

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Minister Champagne isn’t hurrying to approve Rogers-Shaw merger: Toronto Star

Rogers and Shaw are coming close to their proposed January 31st deadline, but Industry Minister François-Philippe Champagne isn’t rushing to grant his seal of approval.

Champagne has to approve the transfer of Shaw’s wireless licenses to Vidéotron as part of a side deal to create a fourth wireless competitor.

The Rogers and Shaw deal has overcome other sources of required approval.

The Canadian Radio-television and Telecommunications Commission (CRTC) approved the broadcast aspect of the merger in March 2022. The Competition Bureau ended its fight to stop the mergers earlier this week after the Federal Court of Appeal rejected its request to overturn the Competition Tribunal’s ruling backing the telecoms.

Champagne told the Toronto Star he has looked at the Federal Court of Appeal’s decision “but wants to more fully understand” it.

The Minister’s conditions of approval include Vidéotron lowering wireless bills in Ontario and Western Canada and retaining the spectrum licenses it acquires for ten years.

“Discussions about making sure that these conditions are enforceable [have taken place]. And the thing that I can say — I’m a lawyer, so we will make sure that these undertakings are binding,” Champagne told the publication. He confirmed various enforcement options, to occur if requirements aren’t met, are being examined.

“As the regulator, I am not bound by any deadline,” Champagne said.

Image credit: @fp_champagne

Source: Toronto Star

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Telecom advocates disappointed in federal court’s dismissal of Competition Bureau’s appeal

The largest telecom merger in Canada is one step closer to gaining approval, and various organizations are voicing their concerns.

The only person to stop this merger now is Innovation Minister François-Philippe Champagne after the Federal Court of Appeal rejected the Competition Bureau’s push to overturn the Competition Tribunal’s decision.

The bureau long sought to block the merger, stating the approval will lead to higher wireless bills for Canadians. It took its case to the Competition Tribunal, which backed the telecoms. The bureau appealed the decision, stating the tribunal committed legal errors.

Specifically, the bureau argued the tribunal focused on Vidéotron’s acquisition of Freedom Mobile and not Rogers’ takeover of Shaw. However, the court sided with the tribunal’s decision in a quick hearing that only lasted a couple of hours. The bureau says it won’t appeal the decision.

The Public Interest Advocacy Centre (PIAC) said it’s “horrified” by the “instant dismissal.”

“The public can only be suspicious that the powers that be want this deal to close — even if it means a decade of high wireless and internet prices for Canadians,” John Lawford, PIAC’s executive director, said.

During the tribunal’s hearing, it was revealed that Rogers would lease its wholesale wireline access rates to Vidéotron at lower rates than what the Canadian Radio-television and Telecommunications Commission (CRTC) has mandated.

Last week, TekSavvy filed an application requesting the CRTC to examine this factor, and the bureau tried to bring this application up at its appeal.

In its reaction, TekSavvy maintained its position. “The Rogers-Shaw merger is based on an unlawful side deal with Vidéotron that will kill competition and raise consumer prices,” the company tweeted, saying the CRTC has to investigate before Minister Champagne makes a ruling. “[The] court decision doesn’t change that.”

The company previously called on Minister Champagne not to approve the transfer of spectrum licenses from Shaw to Vidéotron, citing the impact it will have on independent service providers (ISPs).

OpenMedia’s campaigns director Matt Hatfield echoed this statement in reaction to the federal court’s decision. “We’re seeing a collapse of independent ISPs that create positive price pressure on telecom giants, and we’re now on the verge of adding Shaw to that list. In 2022 alone, we lost over a half dozen independent providers to big telecom buyouts.”

This is leading to increased prices and less competition, Hatfield said. The solution lies in “services-based competition,” including fair wholesale internet pricing and opening up MVNOs.

Minister Champagne said he would deliver his decision in “due course.”
The approval clears the way for the Rogers and Shaw merger to a near conclusion, a process that has taken nearly two years. The company hopes to close it by January 31st.
“We welcome this clear, unequivocal, and unanimous decision by the Federal Court of Appeal. We continue to work with Innovation, Science and Economic Development Canada to secure the final approval needed to close the pro-competitive transactions and create a stronger fourth wireless carrier in Canada and a more formidable wireline competitor,” a joint statement from Rogers, Shaw and Québecor states.
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Industry and technology committee will conduct a second review on Rogers-Shaw merger: report

The industry and technology committee in the House of Commons is reportedly getting set to hold a second public hearing into Rogers’ merger with Shaw.

The committee had already examined the matter and published a report in March 2022 recommending the merger not be approved.

Sources told The Globe and Mail that the second public hearing would involve Vidéotron’s takeover of Freedom Mobile, an aspect that didn’t exist when the committee made its initial recommendations. The parties signed a definitive agreement in August for $2.85 billion.

As the publication notes, the parties don’t need the committee’s approval for the merger to move forward. However, it could influence Industry Minister François-Philippe Champagne, whose approval is required. Champagne has reserved his response while legal proceedings between the Competition Bureau and Rogers and Shaw continue. The Minister has previously said he’ll support Vidéotron’s acquisition of Freedom if the company keeps its wireless licenses for 10 years and lowers wireless bills.

The Globe further reports the committee hearing will examine how Vidéotron was selected to acquire Freedom Mobile. The companies reportedly received several other offers for the carrier, including a $3.75-billion offer from Globalive Capital Inc.

Source: The Globe and Mail 

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Minister Champagne must block Rogers-Shaw merger to protect ISPs, TekSavvy says

Source: https://www.newswire.ca/news-releases/teksavvy-launches-super-fast-fibre-internet-service-in-tupperville-851678510.html

TekSavvy calls on Industry Minister François-Philippe Champagne to block Rogers’ $26-billion takeover of Shaw.

Peter Nowak, the independent service provider’s (ISP) spokesman, says the Minister must take action before ISPs are “squeezed out.”

The merger, which will also see Vidéotron acquire Freedom Mobile, previously received approval from the Canadian Radio-television and Telecommunications Commission (CRTC). The Competition Bureau, another entity that must provide approval, sought to block the merger.

Unsuccessful in its initial bid, the bureau will present its case to the Federal Court of Appeal on January 24th. It was the Competition Bureau’s efforts to block the merger that revealed Rogers’ plans to rent its broadband network to Vidéotron at “preferential rates,” TekSavvy says.

“With competitors leaving the market, the federal government’s own data confirms Canadian internet prices are skyrocketing during an unprecedented cost of living crisis.”

The Minister previously stated he’ll wait to see how the legal proceedings go before making any decisions.

Image credit: TekSavvy

Source: TekSavvy

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This week in Canadian telecom: Rogers’ takeover of Shaw hits another roadblock [Oct. 22-28]

This past week was a busy one for telecom news in Canada. Government bodies announced high-speed internet projects, companies completed planned network expansions, and the Rogers-Shaw merger dominated headlines.

As a recap, here’s almost everything that happened in Canada’s telecom sector this week.

Business

Rogers CEO Tony Staffieri is confident the company’s deal with Shaw will close. In an interview with The Globe and Mail, Staffieri spoke on selling Freedom Mobile to Québecor’s Vidéotron. “Québecor will have a better cost structure than they would have had on their own.”

Innovation Minister Francois-Philippe Champagne laid out conditions that Québecor would need to implement for Champagne to accept Vidéotron’s acquisition of Freedom Mobile. The first is that Vidéotron must hold the acquired wireless licenses for 10 years. The second condition states wireless bills must drop by 20 percent, keeping in line with wireless prices seen in Quebec. In a press release, Québecor’s CEO said the company “intends to accept the conditions.”

In more merger news, the second round of meditative talks between Rogers, Shaw, and the Competition Bureau has failed. The Bureau filed to block the merger between the two companies, stating it would reduce competition. The Bureau also hasn’t reacted favourably to Rogers’ move to sell Freedom Mobile to Québecor. While Rogers says this will address concerns, the Competition Bureau has not gotten on board. The parties will now head to a hearing next month.

SaskTel has expanded its 5G network to several rural communities in Saskatchewan, including Crooked River, Quill Lake, and Cut Knife. Residents and businesses in the area will be able to access speeds up to 1.2Gbps.

Telus has completed PureFibre work in Leduc, Alberta, under a $45 million project. Connecting 13,000 homes and 2,000 businesses, residents will have access to faster upload and download speeds and various other features.

Bell has launched a new program focusing on funding projects that utilize its 5G and fibre networks to deliver new technological solutions. Named Bell Ventures, companies that receive investments under the program can access Bell’s “technological expertise” and use its network for cases.

Rogers has added speed caps to its 5G+ plans. Introduced earlier this year, the plans utilize the 3500 MHz spectrum. While similar plans were presented by Telus and Bell as well, Rogers is the last of the Big Three to add speed caps of 250Mbps or 1Gbps.

Telus and its international faction have acquired U.S. mobile app company WillowTree. The $1.2 billion (USD) deal will see the company absorbing WillowTree’s offices in 13 countries worldwide.

Government

The Governments of Canada and Ontario have invested $56 million in high-speed internet projects for eastern Ontario. Bell and Cogeco have been tasked with projects that will benefit 16,000 homes once completed. The investment is part of a July 2021 partnership between the two governments.

Deals

Koodo has launched ‘Pick Your Perk’ plans, allowing customers to select one free add-on to their plans. There are five options for customers to choose from, including options to roll over data or unlimited international SMS.

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Champagne lays out conditions for Videotron’s acquisition of Freedom

Industry Minister Francois-Philippe Champagne has rejected the original merger proposition put forward by Rogers and Shaw.

“Today, I officially denied that request,” Champagne said Tuesday evening. “My decision formally closes that chapter of the original proposed transaction.”

But the merger is still open to be completed, granted Champagne’s conditions attached to the sale of Freedom Mobile are approved.

Champagne’s conditions include Videotron agreeing to keep wireless licenses it acquires from Freedom for 10 years. He also expects wireless bills to drop by 20 percent in Ontario and Western Canada, keeping in line with Quebec.

“A new service provider needs to be in it for the long run,” Champagne said.

A response released by Quebecor CEO Pierre Karl Péladeau signals the company is open to accepting Champagne’s conditions.

“We intend to accept the conditions stipulated by the Minister and incorporate them into the new version of the Rogers-Shaw/Quebecor-Freedom Mobile transaction, which has already been negotiated,” Péladeau’s statement read.

“They are in line with our business philosophy, which has proved highly successful in Quebec, where we have taken a significant market share in a very short span of time.”

However, critics are not in support of Champagne’s plans. OpenMedia says the Minister is backing telecom companies and failing Canadians. Speaking on the condition to lower wireless prices, OpenMedia says Champagne’s office hasn’t shared methods for how they will monitor and enforce the rule.

“Any version of the Rogers-Shaw deal means higher prices and fewer choices for ordinary consumers,” Matt Hatfield, OpenMedia’s campaigns director, said in a press release.

Champagne provides only one avenue of approval for the merger. The Canadian Radio-television and Telecommunications Commission (CRTC) approved the broadcasting part of the merger earlier this year. The third avenue of approval, through the Competition Bureau, will be examined later this week when the parties enter a scheduled meditation.

According to The Globe, the parties will discuss a settlement proposal from Rogers to see the company sell its fibre-optic infrastructure to Quebecor. Doing so will reportedly quash concerns the company doesn’t have enough infrastructure outside of Quebec to support the growth of Freedom Mobile.

However, the mediation may end with no resolution, as seen in the past. If that’s the case, the parties will enter a hearing with the Competition Tribunal early next month.

Source: The Canadian Press, Quebecor, OpenMedia, The Globe and Mail 

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Nova Scotia’s Premier says carriers offered ‘poor participation’ during Hurricane Fiona

Nova Scotia’s Premier is calling out Canada’s telecommunications companies on their “poor participation and support” before, during, and after Hurricane Fiona.

Premier Tim Houston shared details in a letter sent to François-Philippe Champagne, Canada’s Minister of Innovation, Science and Industry.

The letter states the Province’s Emergency Management Office (EMO) began preparing for Fiona’s landfall one week before it arrived and requested representatives from its infrastructure partners be sent to the Provincial Coordination Centre.

“Given the expected impacts on power and telecommunications, having a representative attend in person was imperative for optimal collaboration.”

Initial requests were left unanswered. Complaints from EMO led Bell to send one representative who was present in person for two days before working virtually. Eastlink, Rogers, and Telus participated virtually but failed to send a representative in person following the initial response. It was only after three days of public and media pressure did representatives attend in person.

Houston says cellular and landline services have improved, but some cell towers are running on generators, and reliable service isn’t available in Cape Breton.

While other key companies, including Nova Scotia Power and the Canadian Red Cross, were willing to participate in press briefings to share updates with residents, telecom companies were not. When a rep is made available, they’re unable to answer questions, he said.

“I’m asking you, as the Minister who oversees these companies, to consider all potential legislative and regulatory means to hold telecommunications companies accountable for participating in emergency planning, preparedness, response, mitigation, and recovery to the fullest extent possible,” Houston concludes in his letter.

Bell released the following statement in response to Houston’s statement.

Image credit: @TimHoustonNS/ Twitter

Source: @TimHoustonNS/ Twitter

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Minister Champagne requests Canadian Security Telecommunications Advisory Committee address network reliability

The Minister of Innovation, Science, and Industry says his direction to have telecom companies implement an agreement to provide services during outages was just the first step to improving network reliability.

François-Philippe Champagne took to Twitter to announce he recently met with the Canadian Security Telecommunications Advisory Committee and directed them to develop measures for reliable network connectivity across the country.

“I will continue to hold Canada’s telecom companies accountable, and keep Canadians updated on this important work,” Champagne tweeted.

“We will do everything to strengthen the reliability of our networks and address affordability and competition.”

Earlier this month, 13 telecom providers signed an MOU to guarantee various assistance, including emergency calls, in the event of major outages. Champagne directed the companies to take this action after Roger’s July 8th outage that saw its network go down nationwide.

Despite Champagne’s announcement, it’s unclear what the specifics of his meeting with the advisory committee were and what he plans on doing next to ensure network reliability, in fact, improves.

Image credit: @FP_Champagne/ Twitter

Source: @FP_Champagne