Federal government increasing competition to lower cost of mobile phone plans

Mar 29 2018, 9:11 pm

Canadians will finally get a chance to purchase lower cost cell phone plans and get better coverage thanks to a new decision from the Government of Canada.

Navdeep Bains, the Minister of Innovation, Science and Economic Development (ISED), announced new rules on Wednesday, that 43% of the 600 megahertz wireless spectrum auctioned off next year will be designated for regional carriers and potential new suppliers.

This means that Canadians will have a chance to purchase plans with better coverage from carries other than the country’s Big Three companies (Bell, Rogers, and Telus).

“Competition is vital for providing innovative and affordable telecommunications services. This is an important step forward that will allow Canadians to benefit from increased options for better quality cellular services, said Bains in a statement.

“The spectrum of the 600 MHz band will promote competition, support emerging technologies, and provide Canadians with higher quality services and better prices.”

Frequencies in the 600 MHz band are suited for transmitting wireless signals over long distances and this is a benefit for rural coverage.

These signals also pass easily through large buildings and structures, making it ideal for big-city coverage.

According to the government, regions with strong competition are the least expensive mobile wireless markets in Canada.

The auction is scheduled for March 2019.

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