Auction Day 11: Industry Canada hastening auction end

It appears as though Industry Canada is trying to bring about a quick end to its Advanced Wireless Services (AWS) spectrum auction with yesterday's decision to move to the third stage. Bidders will have to remain active on 100% of their eligibility points or lose them. The move, which could see the bandwidth sale end this week, comes only two days into stage two of the auction where participants had to bid on licences covering 90% of their eligibility points. As the auction prepares for its third and final stage, intense bidding still rules the day on a number of properties and between a number of providers. While most of the licence winners can already be declared, there is still some unsettled business with new entrants looking to grab a piece of Canadian airwaves in both the set-aside bands as well as the ILEC wireless spectrum. As was noted on Monday, Shaw Communications appears set to become the biggest new entrant in the West with a lock on the majority of licences, totalling 20 MHz of spectrum in most places and 30 MHz in others, from Victoria to Thunder Bay. Based on its bidding patterns, it seems that Jim Shaw and crew are looking to acquire 30 MHz of spectrum from Vancouver Island to Northern Ontario. The company is hedging its bets though and isn't restricting its bids to the reserved bands, going after the incumbent wireless carriers' 20 MHz A-band and 10 MHz E-band spectrum. But there are some barriers for Shaw particularly in Alberta and British Columbia. Data & Audio-Visual Enterprises Wireless (DAVE) has been standing high bidder on the 10 MHz D-band licences in Edmonton, Calgary and Vancouver since Round 37. As well, Globalive Communications has been sitting on the 10 MHz C-band licences covering BC and Alberta since Round 31, and Northern Ontario since Round 40. Shaw is also still in the hunt for bandwidth in Saskatchewan and Manitoba, but it finds itself locking horns with both SaskTel and MTS Allstream for a piece of Prairie bandwidth. It's unlikely a move to the third stage will change this battle as both MTS and SaskTel require the bandwidth for future growth. Globalive is also causing Vidéotron a few headaches. The two companies have been exchanging standing high bid status for the last several rounds over key properties in La Belle Province. They have waged a monumental battle for control of the 10 MHz D-band spectrum from Peterborough all the way to Bas du fleuve/Gaspésie. The Yak Communications owner is also turning to be a handful for incumbent wireless providers Bell Mobility, Rogers Communications and Telus Mobility. Globalive has chosen to pinpoint bids in a sea of ILEC standing high bids and launch a full scale assault on a string of connected properties. On the East Coast, Bragg Communications appears to have stepped back from a battle with Rogers over control of Atlantic Canadian 20 MHz A-band licences. The EastLink owner sits on 20 MHz across of all four provinces as well as holds another 10 MHz in New Brunswick and on Tuesday ended with a total of 60 MHz of spectrum covering Newfoundland and Labrador. With its decision to give way to Rogers, Bragg is putting more attention on trying to capture licences in parts of Southern and Northern Ontario. The company has placed bids on the Kirkland Lake and Sudbury properties in both the 10 MHz E-band and 20 MHz F-band licences. Will the move to the third stage bidding have the desired results for Industry Canada? Only tomorrow will tell, but if the intensity of bidding by the remaining new entrants is any evidence, the auction may last a little long than previously anticipated.

Auction Day 11: Industry Canada hastening auction end

News | 06/11/2008 11:22 am EDT

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