Stop Rogers from buying out Shaw!

On March 15, Rogers made a shocking announcement: It’s set to buy out Shaw, Canada’s fourth Big Telecom provider.1

In Canada, we already pay some of the highest prices in the world for Internet and wireless — we need prices to go down, not up.2-3 But if we don’t stop this disaster of a sale, fewer providers in the market will lead to these services getting even MORE expensive!

The government needs to block this terrible deal. If we speak out in numbers too big for the government to ignore, they’ll have no choice but to stop the buy. Sign the petition to the federal government and Competition Bureau: stop the Rogers-Shaw sale!

Click here to see petition text

To: François-Philippe Champagne, Minister of Innovation, Science, and Economic Development Canada;

To: Matthew Boswell, Commissioner of Competition, Competition Bureau Canada;

To: Prime Minister Justin Trudeau

As a concerned individual in Canada, I am urging you to block Rogers Communications from buying out Shaw Communications.

Canada already pays some of the highest prices in the world for Internet and wireless services; this sale will make prices even more expensive by reducing competition in a market already dominated by a handful of telecom giants.

You simply cannot allow four national cell phone providers to become three. We’ve already seen how this plays out with the example of the 2017 Bell-MTS sale in Manitoba; after absorbing MTS, Bell raised prices.

The Competition Bureau and the government made the wrong call by allowing Bell to buy out MTS. That mistake cost consumers dearly. The Rogers-Shaw deal is orders of magnitudes larger, and the consequences of an anti-consumer decision permitting the deal to go through will be felt by millions more people — especially in Western Canada.

Your government was elected with the promise of lowering Internet and wireless prices for Canadians. In order to meet that goal, Canada needs more choice of providers, not less.

We need an elected government that holds firm to their promises, ideals, and are not subject to the demands of industry. Stop this deal.

Sincerely, 

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How will the sale lead to more expensive Internet and wireless?

While consumers, advocates, organizations, businesses, and more are crying out for lower prices and more competition, this deal threatens to move Canada in the opposite direction. 

It’s economics 101: When companies have to compete for the same customers, it creates incentive to undercut each other — leading to downward pressure on prices across the board. More competition = lower prices!4

Right now, Canada has a competition problem when it comes to Internet and cell phone data. We have just four major telecommunication companies offering wireless services, sometimes known as the “Big Four”: Bell, Rogers, Telus, and Shaw. Everyone uses these companies’ networks, including Big Telecom’s “flanker” brands like Koodoo and Virgin Mobile.

The Rogers-Shaw deal will reduce the competition between those four companies by at least a whopping 25% — or much more, in local markets where there will now be only one major provider! That loss of competition will drive prices way up, and consumers will have significantly less choice about where they get their Internet and wireless services — especially in Western Canada.5

We saw this exact scenario play out in Manitoba in 2017, when Bell bought out regional provider MTS. After the Competition Bureau allowed the sale, Bell jacked up prices.Rogers is taking out huge loans to finance this deal with every intention of following Bell’s suit.7

But we can stop them. If enough of us speak out, we can convince the government and the Competition Bureau that Canadians cannot afford less choice and higher prices when it comes to Internet and wireless services. Sign the petition: Tell the government and Competition Bureau to stop the buy NOW!

Sources

  1. Rogers plan to buy Shaw raises red flags about competition, especially in wireless - The Star
  2. Canada among top five highest costs for 100Mbps internet speed - MobileSyrup
  3. 4G&5G connectivity competitiveness 2020 - Rewheel
  4. Delivering Choice: A Study of Competition in Canada’s Broadband Industry - Competition Bureau Canada
  5. Canadians Cannot Afford Rogers Acquisition of Shaw Communications - OpenMedia
  6. Bell’s takeover of MTS will harm middle class consumers and businesses who rely on affordable telecom services - OpenMedia
  7. Rogers, accustomed to high debt, secures record bridge loan for Shaw deal - The Globe and Mail

Press: Laura Tribe | Phone: +1 (888) 441-2640 ext. 0  | [email protected]