Rogers/Shaw Merger

[Y2kTheNewOldies]

Canada’s approval of major telecoms takeover condemned as ‘dark day’

Anti-monopoly consumer groups slam multibillion-takeover of Shaw by Rogers that will create a media and sports behemoth

www.theguardian.com

Reactions to Canada's Rogers-Shaw deal approval

Canada on Friday approved Rogers Communications Inc's C$20 billion buyout of Shaw Communications after securing commitments to promote competition in a country with some of the highest wireless bills in the world.

www.reuters.com

Canada clears C$20 bln Rogers-Shaw deal with tough conditions

Canada on Friday approved Rogers Communications Inc's C$20 billion ($14.8 billion) buyout of Shaw Communications after securing binding commitments to pay financial penalties if it failed to create new jobs and invest to expand its network.

www.reuters.com

This is one of Canada's biggest media merger deal according to the reports. Yes and concerns of anti-trust and monopoly issues are at play here in this deal. Some of this is the market share to Cable and internet infrastructure in Canada and also access to media content.

Canada has approved a major telecoms takeover that would create a media and sports behemoth in an already concentrated media landscape, in a landmark deal that anti-monopoly consumer groups slammed as “a dark day” for competition in Canada.

On Friday the industry minister, François-Philippe Champagne, said he had approved a multibillion-dollar takeover of Shaw by Rogers.


The $20bn deal, first proposed in 2021, combines Canada’s two largest cable television networks. The deal further entrenches Rogers as the country’s second largest cable, telecommunications and entertainment company.

Canadians already pay some of the highest mobile rates in the world, with a Finnish study from 2021 finding that Canada’s prices were largely the result of minimal competition.

 

[Yeziknoradio]

Way back in 2007 Telus and Bell could have merged, but it never happened...now I wonder if it just might come up again as a possibility. From 2007: Opening bell: Telus confirms merger talks with BCE | Investment Executive

 

[Mediafrog+]

Way back in 2007 Telus and Bell could have merged, but it never happened...now I wonder if it just might come up again as a possibility. From 2007: Opening bell: Telus confirms merger talks with BCE | Investment Executive

No way the current Canadian government would allow this, and I doubt a future Conservative government would greenlight it, either.

One thing that virtually all Canadians agree on is that mobile telecommunications prices in that country are ridiculously high, and lack of effective competition is the reason.

 

[Yeziknoradio]

No way the current Canadian government would allow this, and I doubt a future Conservative government would greenlight it, either.

One thing that virtually all Canadians agree on is that mobile telecommunications prices in that country are ridiculously high, and lack of effective competition is the reason.

Actually, CRTC would gladly allow a Bell Telus merger, or even a Rogers Quebecor merger if so desired...but then they'll also gladly open up international competition, making real competition a better reality.
It doesn't matter who is in power for government either. It's the CRTC that is regulating things.

 

[DarrenVision]

Way back in 2007 Telus and Bell could have merged, but it never happened...now I wonder if it just might come up again as a possibility. From 2007: Opening bell: Telus confirms merger talks with BCE | Investment Executive

Well Bell can buy the Optik Landlines in Alberta, BC, and Quebec and home security units but not the Telus Mobility/Koodo/Public Mobile division. Of course Sasktel and Tbaytel might follow the pathway as MTS, with Quebecor buying the former MTS network in Winnipeg and Brandon, MB they might add just Regina, Saskatoon, and Thunder Bay to it's Videotron/Freedom network.

 

[DarrenVision]

If Quebecor bought up VMedia, can they look at Cogeco, Access Saskachewan, Westman Manitoba or even Eastlink?

 

[Yeziknoradio]

If Quebecor bought up VMedia, can they look at Cogeco, Access Saskachewan, Westman Manitoba or even Eastlink?

Rogers already tried to snatch up Cogeco. That never happened. (most likely never will)
I doubt Cogeco is going to sell to anyone any time soon.

 

[DarrenVision]

Rogers already tried to snatch up Cogeco. That never happened. (most likely never will)
I doubt Cogeco is going to sell to anyone any time soon.

Quebec is somehow independently different province when it comes to corporate takeovers, consider Lowes bought RONA and later sold off several years later. At least Lowes didn't pull a Target or Nordstrom.

 

[Yeziknoradio]

On the TV side, Corus will continue to own the TV stations. (Shaw sold them to sister company Corus a while back)
The problem is, Rogers is going to strip Corus's news department of 13 million dollars that Shaw used to give them.
This money is now going to go to CityNews. (Rogers owns CityNews)
Corus is now short 13 million dollars to fund programs like Global National and regular news content on their Global TV stations.
SOURCE: Rogers to redirect $13M in local expression funding from Global to CityNews - Broadcast Dialogue.