Microcell Telecommunications Inc says it's done the math and found that it can continue to offer inexpensive handsets and free-minute offerings, despite recent statements suggesting the company would shift its focus away from costly promotions (RoW, Aug. 7/01). Executives at Microcell's PCS subsidiary acknowledge there are ongoing concerns about the costs associated with such incentives, but after a closer look at the numbers, concluded that GSM's lower cost structure makes such promotions an effective way to boost its subscriber base – at least for the foreseeable future.
COM DEV International Ltd plans to sell or merge its wireless components business and focus on operations that promise better returns, particularly its space and wireless Internet systems businesses. In a conference call with analysts last week following the release of the company's third-quarter results, president and CEO Keith Ainsworth explained that the global market for RF components has deteriorated significantly, resulting in fewer orders from its largest customers.
It appears that Wi-LAN Inc and its system integration partner Ericsson Canada Inc have lost out on an opportunity to be one of the key broadband wireless equipment suppliers to Inukshuk Internet Inc. Wi-LAN says it walked away from an opportunity to supply critical wireless access gear to an organization planning to offer services in the 2.5 GHz range. The Calgary-based company wouldn't publicly confirm that the potential client was Inukshuk, a subsidiary of Microcell Telecommunications Inc of Montreal.
Look Communications Inc may be in the final stages of securing a financing arrangement with a major content provider or entertainment-type company that would see the struggling MDS operator live another day, an industry analyst suggests. The Milton ON-based company has until Sept. 7 to come up with a plan to pay back $98 million to its primary lenders, BCE Inc and Telesystem Ltd, or close up shop for good (RoW Update, Aug. 27/01).
The receivers for Norigen Communications Inc may find it difficult, if not impossible, to find any company interested in buying the assets of the now defunct CLEC and LMCS provider. A senior industry analyst says there are no obvious takers for the company's spectrum licences, switches, access nodes, telephony equipment and property access agreements, even at fire-sale prices.