Sector Update: BCE, Rogers and Telus In Focus As Wind Mobile Cuts Customer Roaming Rates Up to 95%
Canada's top telecom companies BCE (BCE.TO, BCE), Rogers (RCI-B.TO, RCI) and Telus (T.TO, TU) are in market focus Thursday after Wind Mobile, one of Canada's newer wireless carriers, cut the cost of roaming on other carriers' networks as Canada moves to limit how much larger rivals - including BCE, Rogers and Telus - charge the likes of Wind for using their systems.
BCE is steady at $48.61, at the higher end of its 52 week range. Rogers has edged lower, and is in the lower end of its 52 week range. Telus is also slightly lower, but at the higher end of its 52 week range.
Bloomberg cites an emailed statement saying Wind, the brand name of closely held Globalive Wireless Management Corp., is now charging customers C$0.15 per minute to talk while roaming, down from $0.20 cents. It says data costs have been cut 95% to $0.05 cents a megabyte from C$1.
With fewer cell towers of their own, small carriers like Wind must buy space on networks owned by larger players such as Rogers and BCE, Bloomberg notes. The federal government has put an interim cap on how much large companies can charge others to use the networks, it says. Regulatory hearings on permanent rules are set for the end of September, it adds.
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