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Wireless Telecommunications in Canada

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| The Wireless Telecommunications Industry in Canada |

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An analysis of the Canadian wireless telecommunications market reveals that many consumers are unhappy with high prices and want to see a more competitive marketplace, while the government agrees; some experts believe three competitors is the natural number for the industry.
The wireless telecommunications market in Canada consists of an oligopoly comprised of three major players; Rogers, Bell, and Telus. These three companies combined have over a 90% market share in the industry (Mayer, 2013). Many consumers are unhappy with their mobile phone bills but are stuck paying high prices because there aren’t any cheaper alternatives. Interestingly enough, many other countries’ wireless telecommunications markets have a similar make-up to Canada’s, where three or four companies dominate the market. However, according to one report by Wall Communications Inc, consumers in many of those markets are subject to more affordable mobile phone bills (Wall Communications Inc, 2013). The Canadian government has sided with consumers on this issue over the past several years and have attempted to increase the number of players in the market by altering old policies and implementing new ones. They believe if they can increase the number of mobile carriers throughout Canada from three to four, consumers will benefit from increased competition, more options, and lower prices. However, it appears they are struggling to do so. According to Tencer in the article Wireless Competition in Canada: The Good, The Bad and The Ugly, “The number of wireless companies is shrinking, with Telus’ recent purchase of Public Mobile, and Mobilicity in receivership” (Tencer, 2013). The government is on the right track though, but rather than simply creating competition, they need to figure out a way to create sustainable

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