Rogers\u002DShaw merger may be one of the biggest threats to Ottawa’s efforts to bring the telecom sector to heel. Find out more.
Champagne’s assertive stance may have been bolstered by the Competition Bureau’s bold yet failed attempts to stop the merger of two of Canada’s largest cable companies, which was rejected first by a three-person Competition Tribunal and then by the Federal Court of Appeal.
With full political responsibility for the deal thrust onto Champagne’s desk and with Rogers arguably on its back foot, the conditions were seemingly ripe for concessions. This added size and scale, ironically, may be one of the biggest threats to Ottawa’s efforts to bring the telecom sector to heel, which include taking a harder line on commitments to use freshly auctioned spectrum. It’s clear from the numbers circulated to the market by Rogers that Champagne has allowed the creation of a formidable company — one that could return cap-in-hand to complain that the cost of concessions and lowering prices for consumers is too onerous a combination.
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