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Shaw to buy Wind Mobile for $1.6 billion

20K views 64 replies 28 participants last post by  Norman_C 
#1 · (Edited)
#2 ·
Alright! I am a Wind customer and a Shaw customer. As I've watched the telecom 'miseries' over the last number of years it became clearer to me that Wind would need to be taken over by someone with deeper pockets if we were to truly have 4 wireless companies. At the same time, Telus was slowly eating Shaw's lunch in the TV offering because of their robust wireless business. To the point that rumours were starting to hit the street that Rogers might take Shaw out. Purchasing Wind is a strategic move that will allow Shaw to better compete with Telus and put to rest any chance of Rogers buying them.

I look forward to see what interesting bundles Shaw might come up with now.
 
#3 · (Edited)
...put to rest any chance of Rogers buying them.
The Shaw family has voting control of the company, so they won't sell unless they want to, regardless of what the public shareholders want.

Shaw has really had a hard time making up their mind about wireless. First they cancelled the wireless rollout mid-stream in 2011. Then they finalized the sale of all their spectrum to Rogers earlier this year. Now they buy Wind???
 
#4 ·
So, it looks like Shaw is back in the cell game. Didn't they buy some spectrum a few years ago?

Lessee now...
Wind is being bought by Shaw, Rogers gets Mobilicity and Telus bought Public Mobile a while ago. It sure looks like the government's plan to increase competition has worked! ;)
 
#7 ·
How quickly we forget....
When Shaw got into the cable game here in Ontario and Atlantic years ago, they told everyone they had a 5 year plan.
Then after sitting on their hands for 5 years they packed up everything they could move back west, and and sold the systems off to Rogers.
I see the same old game in play.
 
#9 ·
#10 ·
Shaw's spectrum sale was a three-way deal between them, Wind, and Rogers. Wind is actually in a better spot than before that deal happened. Rogers basically wanted more GTA spectrum, so that's what they got in the deal. Wind got more for the rest of the country from both Shaw and Rogers.
 
#12 ·
Many are saying that by Shaw buying Wind an eventual Rogers-Shaw hookup is off the table. I wonder if Shaw and Eastlink would ever consider merging. It would certainly give Shaw a more national presence. The Wind and Eastlink spectrum are adajacent or overlapping. Wonder if there will be any other moves once this Shaw-Wind combination is completed.
 
#13 ·
Chronology of Shaw's wireless investments

2008 - Shaw paid $190 million for wireless spectrum

2011 - Shaw announces it is abandoning their wireless rollout. They spent $180-million on wireless infrastructure, only about $50-million of which can be salvaged for WiFi hotspots. (I haven't checked how much was actually written off.) At the time they said: “For the next ten years we’re going to spend over a billion dollars building this network, but it’s never going to be over. You’re never finished building that network.”

January 15, 2013 - Rogers paid Shaw $50 million for the option to buy spectrum.

June 24, 2015 - Rogers paid $100-million to complete the option to purchase spectrum from Shaw.

This article has an interactive chart showing the spectrum transfers between Shaw, Rogers, Wind and Mobilicity.

Rogers-Mobilicity deal shakes up spectrum landscape, rewards Wind - The Globe and Mail

In their investor presentation PDF Shaw says they would have spent $2 billion on building out Alberta & B.C. (counting operational losses.)

The Wind rollout of LTE will continue ($250 million contract with Nokia.)
 
#14 ·
Shaw's open wi-fi network is so good, I get a better signal from ShawOpen in my house than I do cell phone coverage... lol.

I really do hope this is Shaw genuinly wanting to enter the cell phone business. If this is them doing a rogers a favour and squatting on spectrum Roger's couldn't buy, then it's going to be bad.
 
#15 ·
I may be naive but i don't think Shaw is doing this deal for Rogers benefit . Seems like a pretty smart play to me .They got Rogers to pay them for spectrum then picked up a wireless carrier with more spectrum and a chance to be a real player in mobile .Whether they can deliver on that promise remains to be seen . Does anyone know if Wind management is creative enough to step up if shaw truly does back them with the resources ?
 
#18 · (Edited by Moderator)
Shaw acquiring Wind Mobile

I would have posted this in the Shaw Communications main page, but because there is no way to start a thread there and there is as yet no sub-forum for Shaw mobile telephone service, I thought I'd post here.

As most here will almost certainly know, Shaw is about to buy Wind Mobile. Coincidentally, after doing a fair bit of research, my wife and I became Wind Mobile subscribers only two months ago. We have what I think is a very nicely-priced phone/data plan, and we'd like that price/plan to continue as-is or, hopefully, drop in price. My question is simple. What is the likelihood that, after the takeover, Shaw will raise the cost of our plan, if our plan even still continues to exist?

Thanks.
 
#20 ·
Hard to say what will happen but i believe the ceo of Shaw said something to the effect that they plan to continue Wind as a value play so you're most likely fine for a while .After the LTE network gets into place you might see some rising in cost . Are you a shaw cable subscriber ? I would imagine there might be some good combined deals coming there down the pike (better to be coming down than hoisted on it )As for a drop in price i would refer you to the ultimate arbiter on that point https://www.youtube.com/watch?v=RfHnzYEHAow
 
#21 ·
Thanks for moving my post to this more appropriate thread and providing the "Impossible Dream" link. I did not realize that Peter could sing so well.

My wife and I are already Shaw "triple play" subscribers. (You can read about our most recent, rather frustrating "experience" with Shaw here:
http://www.digitalhome.ca/forum/196...246834-copyright-notice-false-accusation.html )

Hopefully there will be a an attractive package price that gives us what we've got now from two providers for the same or less cost. Time will tell, but I have a rather uneasy feeling about the result of the take-over.
 
#22 ·
I would imagine the prices increase if Shaw decides to expand the infrastructure. Part of the issue with Wind was it's revenue was so low it made it really hard to expand the network. It means there are many places without coverage, and some places that do have average coverage at best.

If Shaw's decides to use the Wind network as a starting point, but invest a bunch of $$'s to make the network competitive with the other two national networks (Telus/Bell and Rogers) then that would probably translate into more expensive bills.
 
#23 ·
#24 ·
I would imagine that we'll see rates stay flat until the LTE rollout. Then they'll likely charge a premium for LTE access.

A reciprocal roaming agreement with the other major regional carriers (especially Videotron) would be interesting. There's a lot of potential for deals with Videotron here, as they're currently squatting on some 700 spectrum where Wind operates that is extremely attractive for an LTE rollout, and I'd imagine that Shaw entrenching itself as a real player would kibosh any thoughts of Videotron's of expansion to Ontario/Alberta/BC.
 
#26 ·
Is this deal good for the consumer? Maybe yes? Maybe No?

If your in a Shaw area and wind is available then perhaps it might? be a good deal depending on what type of 'Bundle" offers you.

The thing is yet here's another example of a corporate giant taken over a smaller competitor, hence less competition?

Competition is only good if in this case Wireless is available across the country and not just in certain locations.Wind is only available in certain provinces.

I hope the CRTC dis-allows this.The CRTC was the one that wanted more competition, but some tells me their going to approve this, hence its just words and a show the CRTC is putting on.
 
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