GATINEAU – Having stopped its HSPA wireless network build earlier this year, Shaw Communications is nearing a decision on what to do, finally, on the wireless front.
“We’re in certain conversations, strategically, looking at options. We’re certainly looking at LTE 4G as where technology is going but we’re still in that process,” said company CEO Brad Shaw to reporters after his appearance in front of the CRTC’s vertical integration hearing.
“We’ll soon make an announcement, I think, over the next month.” The company put the brakes on its HSPA network build in February in order to reassess its wireless goals – and especially its wireless spend.
When asked if the company is still targeting a 2012 wireless launch, Shaw added: “It all depends on how we get all the pieces together and all our discussions on that.”
Shaw president Peter Bissonnette told Cartt.ca the company was pushing to have recommendations in place prior to the company’s board meeting taking place before its third quarter results on Monday, but “it’s taking longer than expected."
And what about the rampant industry speculation that Shaw and Rogers will together build an LTE network (something which Rogers’ CEO Nadir Mohamed said he’s open to discussing)?
“You’re talking to all partners and looking at all opportunities,” said CEO Shaw. “When you look at the sheer volume of capex you have to spend – and what’s the return – and we’re all in here for the shareholders and customers for return on value… You look at that investment and you have to look at other options and we’ll look at all of them.”
Then again, noted Canaccord Genuity analyst Dvai Ghose in a research note to clients on Wednesday: “We are astonished that three years after the AWS auction ended, Shaw has yet to release a consistent wireless strategy. Anecdotal evidence suggests that Shaw is actually taking radios out of its fledgling base station infrastructure.
“This could mean many things. First, Shaw may have decided not to build wireless, despite spending $190 million on AWS spectrum in 2008 and another $176 million on wireless investments up to the end of FQ2/11. While some seem convinced that Shaw will strike a wireless network sharing deal with Rogers, we continue to view this scenario as highly unlikely due to the fact that Shaw is at least 26 years behind Rogers when it comes to wireless and Rogers has enormous wireless market share in Western Canada, which it could lose to Shaw.”
(Ed note: Our spidey sense says something is up between Rogers and Shaw and the two companies may be getting close to an announcement on sharing an LTE network build cost.)
– Greg O’Brien
