Wind Mobile to enter spectrum auction despite no Verizon backing

by Andrew Roach on September 18, 2013

Throughout the summer, Wind Mobile had been touted as the most likely carrier to be backed by Verizon in next year’s spectrum auction.

But despite Verizon not entering into the Canadian market, Wind has confirmed that they will be one of the participants in the upcoming auction and prepared to take on many of their bigger competitors.

The entry comes despite concerns surrounding the financial state of smaller carriers such as Wind Mobile who have struggled to establish themselves against the Big Three carriers.

Wind Mobile are no strangers to spectrum auctions as the company was first formed in preparation for the last spectrum auction that was held in 2009.

With the deadline for entries now having passed, Wind is keen to stay around for the future despite speculation about the ownership of the carrier.

At the moment, founder and CEO Anthony Lacavera owns 35% of the company while the other 65% is owned by Egypt based Orascom.

But there have been doubt surrounding Orascom’s future involvement with the company having put its stake in the company up for sale earlier this year although no one has yet to bid for it.

This debate over who will own the firm has hindered Wind’s ability to become the fourth national carrier across the entire country.

So far, the carrier is now the fourth main carrier in Ontario, B.C and Alberta and is best placed to be the next threat to Telus, Rogers and BCE if they can get a bit more backing from potential investors.

Indeed, the goal of becoming the fourth national carrier is something that Lacavera is keen to accomplish in the future after the auction finishes in January. This was revealed in comments made to CBC where he stated: “My goal is to re-cut the Canadian wireless system to be competitive with global pricing, competitive with global customer satisfaction. That’s my goal and, you know, I’m going to keep going at it.”

The move by Wind might be the catalyst that sparks other new carriers to reveal their hand as the likes of Mobilicity and Public Mobile have kept very quiet about whether they will participate in the spectrum auction on January 14.

Even if the others don’t take part, Wind Mobile’s entry is a major boost for the industry as it shows that some of the new carriers do still have some fight left in them and that they aren’t ready to let the Big Three dominate the industry over the next few years.

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Written by: Andrew Roach www.digitcom.ca. Follow TheTelecomBlog.com by: RSS, Twitter, Facebook, or YouTube

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