Department clarifies Inukshuk situation for Rogers and Bell

Industry Canada has approved the transfer of Bell Canada’s and Rogers Communications’ spectrum licences into Inukshuk Internet. But the department also took the opportunity to clarify some issues surrounding the spectrum licences. The following is an edited excerpt of the letter from director-general Jan Skora. Of particular interest is that in the United States, as well as in other countries, the decision has been made to include a mobile allocation in this band. The department supports this development and is interested in ensuring that Canadians are able to maximize the benefits derived from this spectrum, recognizing the importance of harmonizing this band with other markets. The MCS licences continue to be restricted to fixed service. The department has determined that the equipment currently deployed has a limited degree of incidental mobility that is acceptable. However, the sale and marketing of any service intended to be used by subscriber terminals while in motion is prohibited. Should any licensee authorized under the fixed service in the band 2500-2690 MHz wish to offer services in the future that equal or exceed the mobile capabilities of technologies such as 802.16e, the licensee will be required to apply to the department for a mobile authorization prior to any implementation. The use of this band for mobile applications will be subject to a revised spectrum policy that is expected to be released in the near future. The addition of mobile services constitutes a fundamental reallocation. The added regulatory flexibility to permit mobile services, together with the greater spectrum efficiencies associated with mobile technologies and the increased value associated with mobile spectrum, constitute a significant material change. Accordingly, the implementation of mobile services justifies a reassessment of the licensing requirements, including the amount of spectrum to be retained by incumbent licensees. Condition of licence 2 requires deployment and maintaining commercial service to all areas identified on the attached Detailed MCS Deployment Schedule. For the purposes of this condition of licence, as well as the evaluation referred to in condition of licence 1, commercial service is defined as: the licensee has installed sufficient base station transmitting and receiving equipment, together with related switching and ancillary equipment such that the service offering is available to 70% of the households within the specific deployment area; the service is being offered for sale to the public; and the service is being provided within a reasonable period of time to those opting for it. Alternatively, items b) and c) of this definition will be deemed to be met if the licensee or its associated resellers have subscribers equivalent to at least 5% of the households in the particular deployment area. During the original competitive process, the Inukshuk application made many references to its commitment to establish an open network whereby it would allow access to its network on a wholesale basis. You are reminded that the CRTC has retained certain powers and duties, as such, the CRTC may deal with any issue or evidence of a dispute regarding the reasonableness of the terms on which access is being offered to a third party.

Department clarifies Inukshuk situation for Rogers and Bell

News | April 6, 2006

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