UPDATE 2-Canada raises C$2.11 bln in wireless airwaves auction

Fri Mar 6, 2015 3:22pm EST
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* Telus pays most, scoops broad swathe of airwaves

* Wind wins bargain-priced airwaves as Mobilicity bows out

* Rogers, country's largest wireless operator, buys none (Adds comment from Rogers and analyst, details and background)

By Alastair Sharp

TORONTO, March 6 (Reuters) - Canadian wireless operators led by Telus Corp paid C$2.11 billion ($1.68 billion) in an auction of airwaves this week, with small operators paying far less than established players under a government plan to spur competition.

The auction structure limited Ottawa's cash haul. A U.S. auction of similar airwaves raised a record $44.9 billion in January.

Industry Minister James Moore, part of the Conservative government facing an election this year, said that assisting smaller players fuels competition and helps consumers.

But that policy has drawn criticism, as recent entrants struggle for meaningful market share.

"The government is throwing spectrum at new entrants who are not necessarily viable, ensuring that billions of dollars is being lost for a strategy that hasn't worked," said Canaccord Genuity analyst Dvai Ghose.   Continued...