Mobilicity Will Struggle to Grow Without New Spectrum
As the government gets ever close to revealing its official rules for the next wireless spectrum auction, Mobilicity has come forth to once again emphasize the importance of reserving some spectrum for the startups. The president of the discount wireless carrier said yesterday that if Industry Canada holds an open-spectrum auction—that is, a total free-for-all—then it will hinder the growth of Mobilicity and the other new entrants.
"Bell, Telus and Rogers don't actually need any spectrum in this auction; it's a lie," said Stewart Lyons, Mobilicity's president and CEO. "The only reason they're claiming they need spectrum is to keep us from getting any. They don't even use all the spectrum they have."
Five channels will be auctioned next year to Canadian telcos. Without a reserved portion for the startups, the Big Three will easily devour it all due to their vastly superior financial resources. And without new spectrum, the new entrants will have no way to improve and expand their networks, rendering them obsolete.
Post edited for corrections.
