Monday, July 28, 2008

Edward Greenspan Also Questions if There is Competition in Cell Phone Services

The pressure continues to mount on Big Telcos to become more serious about competition – particularly with each other and comparatively with other countries. Rogers, Bell and Telus dominate the Canadian marketplace and are hardly rushing to reduce wireless rates in Canada that would bring them more in line with other countries.

Now Edward Greenspan, writing in his Sun newspaper column is now on the bandwagon to question what is happening here. Wireless is unregulated in Canada but with only three providers who dominate the market the consumer is not being well served by the “normal” market forces.

We are not alone in being taken for granted by a market dominated by a few service providers. Mexico suffers as well.
Wireless service is a commodity where competition should work well but is it not. One has to wonder why. One answer is consumers are not protesting to providers about costs and service levels. From the supplier side, if the market will bear the cost, why lower prices? Could it be that Pogo was right? We have seen the enemy and it is us?

If new providers are coming on to the market from the recent spectrum auction, we consumers have to support them if they are to inject some competition and restore a free marketplace.

Then we have to ensure the Competition Bureau monitors matters carefully so they do not get bought up by the Big Three as has been the history of Canadian wireless services.