TELUS, Videotron Emerge as Big Winners in 2500MHz Spectrum Auction

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The Canadian wireless landscape is undergoing some changes, and the 2500 MHz auction is part of that change. After three long weeks of the “bidding war”, the spectrum auction is over, and Industry Canada has today published the 2500 MHz auction results.

In line with earlier predictions, Telus won big this time (although it has to shell out some money): The carrier won the majority of licences, as the other two incumbent players were unable to bid in certain geographical areas.

Telus spent $478.82 million for a total of 122 spectrum licences. This represents a 37% increase in spectrum for the carrier, which secured licences in Newfoundland and Labrador, Prince Edward Island, Nova Scotia, New Brunswick, Québec, Ontario, Manitoba, Saskatchewan, Alberta, British Columbia, Yukon, Northwest Territories, and Nunavut.

The second-biggest spender was Vidéotron, which spent $186.95 million for 18 licences in Québec, Ontario, Alberta, and British Columbia. For Vidéotron, the new acquisition brings a 28% increase in spectrum holdings.

Bell and Rogers recorded only 5% and 4% increases respectively in spectrum holdings as a result of their bids at the 2500 MHz auction. Fact is, their spending was quite limited: $30 million for Bell, and $24 million for Rogers.

Interestingly, the emerging carrier Wind Mobile, which scored big at the latest AWS-3 auction, was unable to successfully bid for a licence in any of the available areas this time.

“The 2500 MHz auction was a success because it was designed to put the interests of Canadian consumers first. We have kept our commitment to Canadians to put more spectrum in the hands of wireless companies, and now Canadians—especially those in rural areas—will benefit from more choice, lower prices and better service,” said ames Moore, Minister of Industry.

As Industry Minister announced today, nine companies secured spectrum during the auction. The government raised a total of $755.37 million in revenue, which will be reinvested in priorities that matter to Canadians, the press release states.