published weekly by Angus TeleManagement Group
Number 505: November 11, 2005
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IN THIS ISSUE:
Statscan -- Wireless Revenues Hit New High
TWU Votes on Another Telus Contract
Telus Begins EVDO Rollout
Cellcos Plan Wireless Payments
U.S. Government Opposes BlackBerry Sales Ban
Cablecos Support VoIP Ruling
2006 Contribution Level Set
Bell, Nortel Deploy Broadband in Chapleau
More JDS Layoffs in Ottawa
International Voice Business Improves
Total Telcom Selling Assets
Sasktel, Virgin Top Cellco Satisfaction Survey
Hamilton Gets Cogeco Phone Service
Prevost to Head MTS Marketing
Videotron Expands ExpressVu Suit
Telus Profit Up 21%
STATSCAN -- WIRELESS REVENUES HIT NEW HIGH: Statistics Canada issued
its quarterly report on the telecom industry this week, covering the
second quarter of 2005. The wireless industry added 438,000 customers;
operating revenues for wireless carriers reached an all-time record of
$2.7 billion, up 16.1% from a year earlier.
** Wireline service continues to decline: at the end of June
there were 19.2 million traditional residential and
business lines in service, a 1.4% drop. Wireline revenues
fell 2.8%, to $5.5 billion.
TWU VOTES ON ANOTHER TELUS CONTRACT: The Telecommunications Workers
Union has submitted another five-year contract with to its membership
for a vote. A TWU representative said support for the strike is
weakening in Alberta, and the federal government had threatened to
order a new vote on the previous proposal. (See Telecom Update #501,
** This vote is being conducted by mail; the previous one was
held at a series of membership meetings.
** Telus says that all unionized employees in B.C. have
remained off the job, but that 56% of union members in
Alberta were reporting to work by September 30, up from
29% at the beginning of the action.
TELUS BEGINS EVDO ROLLOUT: Speaking to analysts on November 10, Telus
CEO Darren Entwistle said that next week Telus Mobility will begin
offering high-speed mobile data communications in five cities using
EVDO (Evolution Data Optimized) technology.
CELLCOS PLAN WIRELESS PAYMENTS: Bell Mobility, Rogers Wireless, and
Telus Mobility have formed a joint venture, Wireless Payment Services,
which aims to market a mobile commerce service within the next
year. The service is to provide standardized wireless access to
existing payment schemes.
U.S. GOVERNMENT OPPOSES BLACKBERRY SALES BAN: The U.S. government has
told a Virginia court that an injunction against BlackBerry sales and
services would "prevent RIM from providing the services that would be
essential" to enable U.S. government authorities to continue use of
** Judge James Spencer has promised to "move swiftly" to
settle the dispute between Research In Motion and NTP Inc.
He may enforce either his previous injunction against
BlackBerry sales in the U.S., or the failed March
agreement between RIM and NTP. (See Telecom Update #485)
CABLECOS SUPPORT VoIP RULING: The Canadian Cable Telecommunications
Association has asked the Cabinet to uphold the CRTC's ruling on VoIP
regulation. The CCTA says the VoIP market needs "basic safeguards to
prevent anti-competitive behaviour." (See Telecom Update #481, 490)
2006 CONTRIBUTION LEVEL SET: CRTC Telecom Decision 2005-68 finalizes
the 2005 contribution fee paid by all telecommunications service
providers at 1.03%, and sets the 2006 fee at the same percentage on an
BELL, NORTEL DEPLOY BROADBAND IN CHAPLEAU: Project Chapleau, a
"technology showcase" developed by Bell Canada, Nortel, and the
Township of Chapleau, has turned on high-speed networking in the
Northern Ontario community, using Nortel "Wireless Mesh"
technology. Researchers will study the project's impact on the
community over the next 14 months.
MORE JDS LAYOFFS IN OTTAWA: JDS Uniphase will cut another 300 jobs in
Ottawa in 2006, leaving only 400 employees in a city where it had
11,000 four years ago. The company is shifting all manufacturing to
Asia and Europe.
INTERNATIONAL VOICE BUSINESS IMPROVES: Researchers at TeleGeography
say that after a period of stagnation or decline, the international
voice business is growing again. Global cross-border traffic grew 14%
in 2004 and has continued to grow in 2005. International voice
revenues reached $65.2 billion in 2004, up 7%.
** TeleGeography expects that international voice traffic in
2005 will make up 16% of the global market.
TOTAL TELCOM SELLING ASSETS: Alberta-based Total Telcom Inc. says it
has agreed to sell its wholly owned subsidiary, Total Telcom Fiber
Inc, to an undisclosed third party for $4.7 million and 90% of fibre
sales for five years. The subsidiary owns all of the corporation's
SASKTEL, VIRGIN TOP CELLCO SATISFACTION SURVEY: J.D. Power and
Associates says that SaskTel Mobility ranks number one in customer
satisfaction with contracted wireless service, while Virgin Mobile,
ranks highest in prepaid.
HAMILTON GETS COGECO PHONE SERVICE: Cogeco Cable now offers its
Digital Phone service to most residents in Hamilton. The rest of the
city will be covered by the end of 2006.
PREVOST TO HEAD MTS MARKETING: Dean Prevost, Allstream's Executive VP
Consumer Operations, has been named Chief Marketing Officer of
Manitoba Telecom, Allstream's parent company. Allstream VP Peter Ronan
is now the unit's Executive VP Sales.
VIDEOTRON EXPANDS EXPRESSVU SUIT: Videotron has increased the sum it
is seeking in a lawsuit against Bell ExpressVu to $374 million. The
lawsuit, filed in August, claims that ExpressVu has not done enough to
protect its broadcast signal from piracy. (See Telecom Update #359,
TELUS PROFIT UP 21%: Telus third-quarter revenues of $2.06 billion
were 6% higher than the same period last year. Net income rose 21% to
$190 million. Wireline sales were flat, but wireless revenue rose 16%
and now makes up 42% of Telus's total sales.
** Telus says the strike of unionized workers contributed to
a decline of 2.2% in network access lines and a low
increase in high-speed Internet subscribers.
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