Bell Canada is calling upon the federal government to address what it says are three loopholes in the country’s wireless policy framework that give an unfair advantage to U.S. wireless carriers wishing to enter the Canadian marketplace.
Bell said the loopholes relate to policies that are intended to benefit wireless startups, but in reality give major U.S. wireless carriers an unfair leg up over large Canadian telecoms.
“Federal wireless policies intended to help small startup competitors unintentionally give the same advantages to major U.S. wireless companies that want to enter Canada – advantages paid for by Canadians and denied to the country’s major wireless carriers,” said George Cope, president and CEO of Bell Canada and BCE.
“With the potential impact on the country’s airwaves and infrastructure, it’s an unprecedented situation that affects all Canadians.”
Bell said the three loopholes would allow a major U.S. telecom carrier to:
- enter the marketplace and buy twice as much new wireless spectrum in the upcoming auction of Canada’s 700 MHz airwaves at a lower price;
- get a “free ride” on networks built by Canadians without being required to build its own network; and
- acquire small Canadian wireless companies at “cut-rate” prices.
Bell is asking the government to consider closing these loopholes by allowing large Canadian telecoms to bid on the same level of 700 MHz airwaves open to U.S. firms, requiring U.S. carriers to build their networks across the country and allow major Canadian to bid against large U.S. counterparts in the acquisition of wireless startups.
