The Canadian Telecommunications: Industry Regulation and Policy Harvard Case Solution & Analysis

This study is based on a high profile issue before the Federal Government of Canada - continues to this day, in December 2010 - which began in 2008. Industry Canada, working with a variety of policy objectives established for the period of three years, decided that the sale of wireless spectrum auction set for 2008, would be postponed for 40 percent of the spectrum for new entrants. This decision came because studies have shown that Canadian use of wireless services have been lagging behind other developed countries, and that this is primarily due to the high relative cost of wireless services. This was in contrast to a decade ago, when Canada was seen as a world leader in the implementation of wireless technologies. It is well understood that the rates of adoption of telecom have a direct impact on the performance of the Canadian economy. One of the new members was Globalive Communications Corporation (Globalive), the launch of which was funded by Orascom Telecom Holding SAE (Orascom), an Egyptian company. Despite the fact that Canada has a well-defined restrictions on foreign ownership in the telecommunications sector, Globalive was allowed to participate in the auction. He won, and paid $ 442 million for its spectrum, began hiring hundreds of employees, and committed another $ 300 million for investment in wireless infrastructure.

since Globalive application to participate in the auction of the spectrum in the period leading up to its official launch, the company had several meetings with Industry Canada, the Canadian Radio-television and Telecommunications Commission (CRTC) and the Prime Minister's Office (PMO) to ensure that his property had been structured in a way to fit in with restrictions on foreign ownership. "Hide
by Adam Fremeth, Ken Mark Source: Richard Ivey School of Business Foundation 15 pages. Publication Date: January 19, 2011. Prod. #: W11013-PDF-ENG

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