published weekly by Angus TeleManagement Group
Number 462: December 20, 2004
Publication of Telecom Update is made possible by generous
financial support from:
** ALLSTREAM: www.allstream.com
** AVAYA: www.avaya.ca/en/
** BELL CANADA: www.bell.ca
** CISCO SYSTEMS CANADA: www.cisco.com/ca/
** ERICSSON: www.ericsson.ca
** MITEL NETWORKS: www.mitel.com/
** SPRINT CANADA: www.sprint.ca
** UTC CANADA: www.canada.utc.org/
IN THIS ISSUE:
** We're Taking a Break
** Ottawa Tables Do-Not-Call Bill
** Bell Predicts Big Shift to New Services
** Telus Sees Wireless-Driven Growth
** Nortel Reports Slip in Sales
** SuperPages Retreats
** AOL Enters VoIP Market
** Winnipeg Firm Offers $14.95 VoIP
** Bell Plans 3G Wireless Service
** RIM Loses Another Round
** Ted Rogers Gets Contract Extension
** Canadian Firm Takes Over NANPA Fund
** Unbundled Access to Bell ADSL Approved
** MTS-Allstream Slams Bell CSAs
** Telus Takes Stake in IP Unity
** Telehop Enters Atlantic Provinces
** Telus to Buy Back Shares
** TeraGo Buys Regional Carrier
** Onlinetel Moves to Cuts Costs
** Telecom Executive Roundtable
WE'RE TAKING A BREAK: Telecom Update is taking a winter break. The
next regular issue will be published on Monday, January 10.
OTTAWA TABLES DO-NOT-CALL BILL: Bill C-37, tabled December 13 by
Industry Minister David Emerson, will empower the CRTC to establish a
national do-not-call list, and to impose fines of $1,500 per call on
individuals, and $15,000 on corporations, for violating telemarketing
rules. The cost of operating the list is to be recovered from
** After the bill passes, the CRTC will hold public
consultations on how the list will operate, how much
it will cost, and whether any types of calls should be
exempt. The list is unlikely to be operational until
late 2005 or 2006.
BELL PREDICTS BIG SHIFT TO NEW SERVICES: At a conference for
investment analysts last week, BCE CEO Michael Sabia said that the
percentage of Bell Canada revenues coming from new services such as
wireless, video, high-speed Internet, and IP networking would rise
from 40% today to 55% in 2006.
** Bell and Microsoft have announced a "strategic initiative"
which will integrate telecom services and Microsoft
software for small and mid-size businesses. The two
companies plan a joint incubation lab to develop
additional integrated services, and to operate customer
** BCE Inc. has raised its annual common share dividend by
10%, to $1.32 per share. This is the company's first
dividend increase in over a decade.
TELUS SEES WIRELESS-DRIVEN GROWTH: Telus Corp. last week forecast that
its 2005 earnings per share will be 8% to 21% higher than in 2004. A
wireline EBITDA decline of 2% to 5% will be offset by wireless EBITDA
growth in the 19% to 23% range, said CFO Robert McFarlane.
NORTEL REPORTS SLIP IN SALES: According to its "limited estimated
unaudited" results, Nortel had sales of US$2.27 billion in the third
quarter, down 10% from the average of the first two quarters. Nortel
expects fourth quarter revenues of $2.9 billion and a third quarter
loss of $0.06 per share.
SUPERPAGES RETREATS: SuperPages Canada, publisher of telephone
directories bearing the Telus brand, has decided to stop publishing
directories in Saskatchewan, Manitoba, Ontario, the Maritimes, and
some areas of Quebec. The decision means that SuperPages books will
once again be published only in areas where Telus is the incumbent
telephone company. Five hundred employees will lose their jobs.
** SuperPages was formed in 2001 when Dallas-based Verizon
Information Services bought Telus's directory publishing
business for $810 million.
AOL ENTERS VoIP MARKET: AOL Canada plans to offer a residential VoIP
service across Canada in 2005, beginning in Greater Toronto next
month. Basic service including voicemail and other features will be
WINNIPEG FIRM OFFERS $14.95 VoIP: Ravon, a VoIP service from
Winnipeg-based Modern Digital Communications, provides basic local
calling to users across Canada for $14.95/month.
BELL PLANS 3G WIRELESS SERVICE: Bell Canada has begun a trial in
Toronto of EVDO (Evolution, Data Optimized) technology that will
support wireless data speeds up to 2.4 Mbps. The company says it will
roll out commercial service in major cities in 2005 and 2006.
RIM LOSES ANOTHER ROUND: A U.S. appeals court has upheld a lower court
ruling that Research In Motion infringed on patents of NTP Inc., but
has sent the case back to the district court for further
argument. (See Telecom Update #437)
TED ROGERS GETS CONTRACT EXTENSION: The Board of Directors of Rogers
Communications has extended the employment contract of President and
CEO Ted Rogers from December 31, 2006, to June 30, 2008.
CANADIAN FIRM TAKES OVER NANPA FUND: Welch & Company, an Ottawa-based
accounting firm, is now the Billing and Collection Agent for the North
American Numbering Plan Administration (NANPA) Fund, which collects
money from telecom carriers to finance administration of the telephone
UNBUNDLED ACCESS TO BELL ADSL APPROVED: The CRTC has given interim
approval to Bell tariffs for Gateway Access Service and High Speed
Access Service, which will allow competitors to provide high-speed
access using Bell's ADSL facilities.
MTS-ALLSTREAM SLAMS BELL CSAs: In September, the Federal Court
dismissed Bell Canada's appeal of the CRTC's order to disclose details
of its Customer Specific Arrangements (see Telecom Update #401,
414). Bell has since refiled these CSAs, in Tariff Notices 817 to
843. Allstream has now submitted a detailed critique, charging that
many of the tariffs are still incomplete or non-compliant and should
be turned down.
TELUS TAKES STAKE IN IP UNITY: Telus Ventures has made a "strategic
investment" in IP Unity, the California-based company that provides
voicemail and e-mail technology for Telus's IP-One hosted IP-PBX
service. The amount of the investment was not revealed.
TELEHOP ENTERS ATLANTIC PROVINCES: Telehop Communications, operator of
the 10-10-620 dial-around long distance service, has signed a Billing
and Collection Agreement with Aliant, allowing it to offer service in
the four Atlantic provinces.
TELUS TO BUY BACK SHARES: Telus Corporation has received TSX approval
to purchase up to 14 million of its common shares and up to 11.5
million of its non-voting shares, about 7% of the outstanding shares
in each category.
TERAGO BUYS REGIONAL CARRIER: TeraGo Networks has added seven cities
in southwest Ontario to its fixed wireless broadband network through
the purchase of WorldWithoutWire, a regional carrier based in
ONLINETEL MOVES TO CUTS COSTS: Eiger Technology, parent of Newlook
Industries, which offers LD services under the name Onlinetel, reports
several measures to cut costs, including selling a facility in
Stratford and bringing its outsourced call centre back in
house. Newlook President Neil Romanchych, hired last spring, will
leave the company on December 31.
** Eiger CEO Gerry Racicot says Newlook will return to
positive cash flow in 2006.
TELECOM EXECUTIVE ROUNDTABLE: Coming soon -- a special issue of
Telemanagement, featuring exclusive articles by 13 industry leaders,
and comments from dozens of enterprise managers, on the most important
issues in enterprise telecom and networking in 2005.
** Contributors include top executives from: Allstream,
Avaya, Bell Canada, Cisco, Delphi Solutions, IBM, Intel,
Mitel, Nortel, OneConnect, Primus, Sprint Canada, and
** This special issue, for subscribers only,
will be published on January 3. To start your
subscription with this special issue, go to
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