Let the price wars begin!OTTAWA (Dow Jones)--Canadian Industry Minister Tony Clement said Friday that the Canadian government has overturned the Canadian Radio-television and Telecommunications Commission's decision against Globalive Communications Corp., allowing Globalive to enter the Canadian market without delay.
As reported, in October the CRTC had ruled that Globalive didn't meet the Canadian ownership requirements needed to operate in Canada, even though Industry Canada said it did. The federal cabinet had the right to overrule the regulator's decision.
Clement said Friday that the government has determined that Globalive meets Canadian ownership requirements.
Globalive is aiming to launch competitive wireless phone and data services in Canada, a move that would challenge incumbent carriers BCE Inc. (BCE), Telus Corp. (TU) and Rogers Communications Inc. (RCI).
Many investors believe Globalive would be a strong new entrant into the market because of the financial heft of its backer, Egyptian telecom company Orascom.