Wireless can help Canadian innovation agenda, conference told

Wireless telephony is increasing its share of the marketplace in Canada but will have to grow significantly before it achieves the success reached in other countries. The head of one of Canada’s major wireless service providers believes that is possible. George Cope, president and CEO of Telus Mobility, was a participant in a discussion on the contribution infrastructure providers can make to the nation’s innovation agenda at the annual meeting of the Canadian chapter of the International Institute of Communications held in Ottawa at the beginning of the month. Panel moderator Michael Ryan pointed out that Canada currently ranks 15th in mobile penetration in the world. But Cope sees the numbers and penetration ratios increasing. In 2002, wireless penetration was at 38% with 12 million subscribers, he noted. By the end of this year, he estimates there will be 13.5 million subscribers with a penetration rate of 42%. Canadian wireless penetration should top the 50% mark by 2006 with approximately 16.5 million subscribers. He attributed present and future subscriber growth to younger consumers who are abandoning wireline telephony. "Ask a 16-year-old, ask a 22-year-old," Cope told delegates. "They use a cell phone, they use email." During the question period that followed, he jousted with Chris Peirce, senior VP regulatory and government affairs of Allstream Corp. Peirce noted that in a recent Decima Research-Bell Canada study on consumer trends in communications (RoW, Oct. 21/03), half of the respondents said nothing would make them switch from wireline to wireless. Cope replied that the survey revealed that 50% of the market is prepared to move to wireless. He also used Peirce’s comments about his own children using wireless to illustrate the point. "You didn’t put a second line in for your kids and you never will," Cope told Peirce. Later he said that implementing wireless number portability would be different in Canada than it has been in the United States. Wireless service providers would have to raise the prices of phones to offer number portability - a move that would slow subscriber growth.The Telus executive produced figures that show that 95% of the population is served by wireless. Reaching that final 5% will be extremely difficult, Cope said.

Wireless can help Canadian innovation agenda, conference told

News | 12/16/2003 5:00 am EST

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