TELECOM Digest OnLine - Sorted: Telecom Update #545, September 8, 2006


Telecom Update #545, September 8, 2006


John Riddell (jriddell@angustel.ca)
Fri, 8 Sep 2006 14:12:34 -0400

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TELECOM UPDATE
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published weekly by Angus TeleManagement Group
http://www.angustel.ca
Number 545: September 8, 2006

Publication of Telecom Update is made possible by generous
financial support from:
** AVAYA: www.avaya.ca/
** BELL CANADA: www.bell.ca/home/Home_Business.page
** CISCO SYSTEMS CANADA: www.cisco.com/ca/
** ERICSSON: www.ericsson.ca
** MICROSOFT CANADA: www.microsoft.com/canada/telecom/
** MITEL NETWORKS: www.mitel.com/
** NEC UNIFIED SOLUTIONS: www.necunifiedsolutions.com
** ROGERS TELECOM: www.rogers.com/solutions
** VONAGE CANADA: www.vonage.ca

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IN THIS ISSUE:

** Telcos File Deferral Account Proposals
** Rogers to Intro Blackberry Pearl in Canada
** Toronto Hydro Launches Civic Wi-Fi
** Carriers Divide on VoIP Ruling
** BCE Further Reduces Globemedia Stake
** Syniverse Gets Canadian WNP Contract
** Shareholders Approve Alcatel-Lucent Merger
** Telus Announces $600M in Broadband Spending
** Wireless Subscriber Growth Slows
** SuperNet Revenue Boosts Axia Results
** RamTelecom Opens Calgary Office
** Rogers Replaces Bell as Maple Leafs Sponsor
** Phonetime Buys Thomas Hook
** More IXPL Routes Deregulated
** Telus Wholesale ADSL Rates Under Scrutiny
** Payphone Competitors Can Get Volume Discounts
** Koles Named to Head CSI
** Fall Telecom Event Lineup

TELCOS FILE DEFERRAL ACCOUNT PROPOSALS: As ordered by the CRTC in
Telecom Decision 2006-9 (see Telecom Update #517, 536), Canada's major
telcos have filed proposals to spend their accumulated deferral account
funds to expand rural broadband coverage and to improve access by
disabled persons to telecom services. Proposals include:

** Bell Canada and Bell Aliant: $455 million over five years
to extend broadband services to 264 remote communities in
Ontario and Quebec (54 in the first year). No broadband
expansion in the Atlantic provinces. Bell to spend $24
million on services for the disabled, Bell Aliant
$410,000.

** Telus: $152 million over five years to extend broadband
backbone facilities to 306 remote communities in BC,
Alberta, and eastern Quebec. Retail high-speed service
rollout deferred for three years to allow other ISPs to
enter. Wholesale rates will not undercut SuperNet rates in
Alberta. $8 million on services to the disabled.

** SaskTel: No broadband expansion, $1.5 million on services
for the disabled.

** MTS: no proposal, citing uncertainties due to outstanding
filings and appeals that will affect timing and amounts in
the deferral accounts.

http://www.crtc.gc.ca/PartVII/eng/2006/8638/c12_200602708.htm

ROGERS TO INTRO BLACKBERRY PEARL IN CANADA: Rogers Wireless will start
selling Research In Motion's much ballyhooed new smartphone in Canada
next month. The Blackberry Pearl, unveiled this week, is described as
"one of the world's smallest and lightest smartphones." It includes a
phone, email, digital camera, MP3 player, video player, and an
expandable memory slot.

** Retail pricing has not been announced, but published
reports say that U.S. carrier T-mobile will sell the Pearl
for $199 on a two-year contract.

TORONTO HYDRO LAUNCHES CIVIC WI-FI: Municipally owned Toronto Hydro
Telecom has launched the first phase of its "One Zone" public Wi-Fi
service, covering six square kilometres in downtown Toronto. Service
at speeds up to 7 Mbps is free until March 6 and will be $29/month
thereafter. (See Telecom Update #538)

CARRIERS DIVIDE ON VoIP RULING: Predictably, incumbent and competitive
telecom carriers had opposite reactions to the CRTC ruling maintaining
the VoIP regulatory regime (see Telecom Update #544). Some cablecos
also criticized the review of market share thresholds. Among the
comments:

** "Helps ensure continued and sustainable competition" - MTS
Allstream

** "Promotes real choice and benefits for consumers" - Shaw

** "The government keeps changing those rules in the middle
of the process" - Rogers

** "The CRTC is incapable of aligning the regulatory
framework to current ... realities" - SaskTel

** "Clearly ignores the government's directive" - Coalition
for Competitive Telecom

** "This is now an issue for the government" - BCE

BCE FURTHER REDUCES GLOBEMEDIA STAKE: Bell Globemedia has issued new
shares to finance part of its $1.4 billion purchase of CHUM Ltd. BCE
declined to participate, so its stake in Globemedia has fallen to 15%
from 20%. (See Telecom Update #544)

SYNIVERSE GETS CANADIAN WNP CONTRACT: Canada's ten largest cellcos have
contracted with Syniverse Technologies of Tampa Florida to provide
clearinghouse capabilities for the implementation of wireless number
portability, scheduled for introduction on March 14, 2007.

** Syniverse, which provides similar services for most U.S.
wireless carriers, will act as a centralized service
bureau, handling the exchange of porting messages between
the carriers and the Number Portability Administration
Center.

SHAREHOLDERS APPROVE ALCATEL-LUCENT MERGER: Shareholders of both Alcatel
and Lucent have voted to approve the two manufacturers' US$10.7 billion
merger, which will create a company called Alcatel Lucent.

TELUS ANNOUNCES $600M IN BROADBAND SPENDING: Telus says that by the end
of 2009 it will spend $600 million to install advanced Internet gear and
bring fibre closer to customer homes in 38 communities in BC, Alberta,
and eastern Quebec. This plan is in addition to spending proposed in the
telco's deferral account filing.

WIRELESS SUBSCRIBER GROWTH SLOWS: Canadian cellcos added a net 337,000
subscribers in the second quarter, 17.7% fewer than a year ago. It was
the first quarter of slowed growth since 1Q 2005.

http://tinyurl.com/oq83u

SUPERNET REVENUE BOOSTS AXIA RESULTS: Axia NetMedia revenues for the
year ended June 30 were $52.7 million, 40% higher than the previous
year. Axia said the gain was due to the flow of revenues from Alberta
SuperNet. Net income doubled to $16.1 million.

RAMTELECOM OPENS CALGARY OFFICE: RamTelecom, an Ottawa-based satellite
services provider, has opened an office in Calgary and a new network
operations centre in Ottawa.

ROGERS REPLACES BELL AS MAPLE LEAFS SPONSOR: Maple Leaf Sports &
Entertainment, which is 15% owned by Bell GlobeMedia, has chosen
Rogers Communications as its lead sponsor, replacing Bell Canada. Bell
said MLSE had presented a proposal, but Bell decided to take a
"different direction."

PHONETIME BUYS THOMAS HOOK: Mississauga-based Phonetime Inc. a provider
of prepaid phone cards and wholesale long distance services, has
acquired the 9,000 customers served by Thomas Hook Communications, a New
Westminster company that provides LD services to Canada's Romanian
community.

** Hook's call centre, which is located in Romania, will continue to
be owned and operated by the existing management team.

MORE IXPL ROUTES DEREGULATED: CRTC Telecom Decision 2006-54 forbears
from regulating additional private line routes in Bell Aliant, Bell
Canada, and Telus territories.

http://www.crtc.gc.ca/archive/ENG/Decisions/2006/dt2006-54.htm

TELUS WHOLESALE ADSL RATES UNDER SCRUTINY: CRTC Telecom Decision
2006-55 says Telus' wholesale ADSL Access to Individual Line service
is significantly more expensive than Bell's equivalent service, and
orders Telus to file new costing information. The Commission makes the
current rates interim, so any changes can be retroactive to September
8.

http://www.crtc.gc.ca/archive/ENG/Decisions/2006/dt2006-55.htm

PAYPHONE COMPETITORS CAN GET VOLUME DISCOUNTS: CRTC Telecom Decision
2006-55 rejects competitive payphone providers' application to freeze
payphone access line rates at 2002 levels, but says incumbent telcos
must offer them the same contract terms and volume discounts available
to individual business line customers.

http://www.crtc.gc.ca/archive/ENG/Decisions/2006/dt2006-56.htm

KOLES NAMED TO HEAD CSI: Steven Koles, formerly with AOL, Group
Telecom, and Telus, has been named President and CEO of CSI Wirless, a
Calgary-based GPS manufacturer. He replaces interim CEO Michael Lang,
who continues as Chairman.

FALL TELECOM EVENT LINEUP: Among the major telecom events planned during
the next two months:

** Enterprise Networks 2006, October 24-25, Toronto,
sponsored by Angus Dortmans Associates,

http://www.enterprisenetworks.ca

** CTCA Fall 2006 National Conference, September 29-30,
Ottawa, Canadian Telecommunications Consultants
Association, http://www.ctca.ca <http://www.ctca.ca/

** ICCM Canada, October 23-25, Toronto, Questex Media,
http://www.iccmnewsline.com

** Telecom Laureate Awards, October 16, Toronto, Canada's
Telecom Hall of Fame,

http://www.telecomhall.ca or http://www.voice2.ca

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COPYRIGHT AND CONDITIONS OF USE: All contents copyright 2006 Angus
TeleManagement Group Inc. All rights reserved. For further
information, including permission to reprint or reproduce, please
e-mail jriddell@angustel.ca.

The information and data included has been obtained from
sources which we believe to be reliable, but Angus
TeleManagement makes no warranties or representations
whatsoever regarding accuracy, completeness, or adequacy.

Opinions expressed are based on interpretation of available
information, and are subject to change. If expert advice on
the subject matter is required, the services of a competent
professional should be obtained.

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