The $26 billion buyout of two of Canada’s four largest telecom companies will impact consumers, federal anti-trust lawyers yesterday told the House of Commons industry committee. Rogers Communications’ proposed purchase of Shaw Communications of Calgary has passed all regulatory hurdles to date, according to Blacklock's Reporter..“We conducted an exhaustive investigation,” testified Jeanne Pratt, senior deputy commissioner with the Competition Bureau. “We did find the proposed merger between Rogers and Shaw was likely to substantially lessen competition in Alberta and British Columbia.”.“We saw the impact on all consumers generally,” said Pratt. “We were concerned about all of those consumers.”.Complaints to date have been dismissed by the federal Competition Tribunal, the Federal Court of Appeal and Canadian Radio Television and Telecommunications Commission. “With the final decision on this merger now with the Minister of Industry could you tell us what you think is the most important consideration for those consumers?” asked Liberal MP Vivian Lapointe (Sudbury, ON).“What we’re looking at under the Competition Act is harm to the competitive process,” replied Deputy Commissioner Pratt. “We believe the benefits of the competitive process flow through to consumers in terms of lower prices, greater innovation, greater quality.”.Industry Minister François-Philippe Champagne yesterday said cabinet would weigh its decision. “I am well aware,” he told reporters..“What’s the timeline for when we can expect a decision?” asked a reporter. “I’ll make a decision in due course,” replied Champagne..Industry department regulators told the Commons committee that cabinet could reject or approve the merger for any reason. Cabinet may consider “any factors relevant to the policy objective that may arise from the license transfer” under the Telecommunications Act, said Eric Dagenais, senior assistant deputy minister..The Rogers buyout would leave two other large competitors, Bell and Telus. Independent telecom regulators yesterday appealed to MPs to block the Shaw purchase..“I really can only speak to our experience on the telecom side,” testified Andy Kaplan-Myrth, vice-president of TekSavvy Solutions. “The common theme is the overarching power of dominant providers who control the market and really control all the levers for smaller businesses that are trying to compete.”.“We are at a really critical moment,” testified Anthony Lacavera, chair of Globalive Inc. “The only thing standing between this anti-competitive merger and Canadians is the minister. The minister has all the latitude he needs to just say no to the merger.”
The $26 billion buyout of two of Canada’s four largest telecom companies will impact consumers, federal anti-trust lawyers yesterday told the House of Commons industry committee. Rogers Communications’ proposed purchase of Shaw Communications of Calgary has passed all regulatory hurdles to date, according to Blacklock's Reporter..“We conducted an exhaustive investigation,” testified Jeanne Pratt, senior deputy commissioner with the Competition Bureau. “We did find the proposed merger between Rogers and Shaw was likely to substantially lessen competition in Alberta and British Columbia.”.“We saw the impact on all consumers generally,” said Pratt. “We were concerned about all of those consumers.”.Complaints to date have been dismissed by the federal Competition Tribunal, the Federal Court of Appeal and Canadian Radio Television and Telecommunications Commission. “With the final decision on this merger now with the Minister of Industry could you tell us what you think is the most important consideration for those consumers?” asked Liberal MP Vivian Lapointe (Sudbury, ON).“What we’re looking at under the Competition Act is harm to the competitive process,” replied Deputy Commissioner Pratt. “We believe the benefits of the competitive process flow through to consumers in terms of lower prices, greater innovation, greater quality.”.Industry Minister François-Philippe Champagne yesterday said cabinet would weigh its decision. “I am well aware,” he told reporters..“What’s the timeline for when we can expect a decision?” asked a reporter. “I’ll make a decision in due course,” replied Champagne..Industry department regulators told the Commons committee that cabinet could reject or approve the merger for any reason. Cabinet may consider “any factors relevant to the policy objective that may arise from the license transfer” under the Telecommunications Act, said Eric Dagenais, senior assistant deputy minister..The Rogers buyout would leave two other large competitors, Bell and Telus. Independent telecom regulators yesterday appealed to MPs to block the Shaw purchase..“I really can only speak to our experience on the telecom side,” testified Andy Kaplan-Myrth, vice-president of TekSavvy Solutions. “The common theme is the overarching power of dominant providers who control the market and really control all the levers for smaller businesses that are trying to compete.”.“We are at a really critical moment,” testified Anthony Lacavera, chair of Globalive Inc. “The only thing standing between this anti-competitive merger and Canadians is the minister. The minister has all the latitude he needs to just say no to the merger.”
