Get to Know Your Canadian Carriers

Since 2008’s Advanced Wireless Spectrum Auction there’s been a great deal of excitement about new carriers coming in to compete with Canada’s “Big Three” of Bell, Telus and Rogers. This is sure to open up new telecom expense management opportunities and might just lead to lower prices overall for Canadians. With lukewarm competition at best, the Canadian wireless industry inflicted some of the highest prices in the developed world for core services, offering little advantage between carriers beyond occasional coverage considerations.

Canadian Telecom Expense Management

Not all Canadian carriers are who they appear to be

If you’re a Canadian wireless user, you may be wondering why we’re only talking about a handful of companies. What about the discount providers and other brands you keep seeing on TV? Aren’t they competitors? Nope. Most of them are Big Three brands or resellers. Here’s how it breaks down.

Bell Mobility: In Canada, Virgin Mobile is a Bell brand, used under license. Solo and PC Mobile are both independent resellers operating on Bell’s network.

Telus: Koodo Mobile is Telus’ discount brand. Mike is a Telus brand that uses push to talk technology.

Rogers: Rogers resells to 7-Eleven, Petro-Canada and Sears. Its own discount brand is called Fido.

Bell, Telus and Rogers have designed their pricing to be comparable with each other (there is virtually no difference in pricing for similar data plans, for example) and to close loopholes that might be allowed if you purchased phone on one carrier brand and used it on another. Resellers must take their own costs into account with their rates, and the Big Three have managed to prevent deep discounts from that source.

Fortunately, careful telecom expense management can find the best plan for a company based on its desired handsets, services and location – specifics that vary enough to create savings compared to simple head to head comparisons.

But competition is coming. WIND Mobile and now Public Mobile have thrown down their gauntlets to compete, shunning the Big Three’s traditional contracts and rates, but they currently have small coverage areas outside of a few major cities. How do they compare?

WIND Mobile has a limited number of phones available because it uses the Advanced Wireless Spectrum, and its coverage is currently limited to the Greater Toronto Area along with the Ottawa and Calgary regions. It is expanding, however, and phones can be used in “away zones” covered by Rogers for additional fees. WIND offers unlimited data and other benefits, but these only provide real savings in coverage areas.

Public Mobile is focused on basic consumer phones – it’s not set up for business use. Its coverage includes Windsor, Toronto and Quebec City, with more additions on the way. Due to its basic, consumer focus, it probably isn’t the right choice for most businesses.

More carriers can only mean more choice, competition and savings in the Canadian market, so we welcome new players, even if we wouldn’t necessarily recommend them.

Comments

  1. Tele-Watch says:

    RT @GILL_Tech: New blog post: Get to Know Your Canadian Carriers http://bit.ly/a6aLqv