The Commissioner of Competition says Rogers took its words on the divestiture of Shaw’s wireless assets to Vidéotron “out of context.”
The matter refers to the Commissioner’s updated response on the merger of Rogers and Shaw and the subsequent sale of Freedom Mobile. The response states the Rogers-Shaw merger and sale of Freedom to Vidéotron won’t increase competition.
The Commissioner says this is because of “factors which include Rogers’ different market position and incentives from Shaw and the difficulties and reduced competitiveness which Vidéotron will face without wireline assets and other benefits derived by Shaw from its wireline business.”
Rogers sought clarification on the second part of the sentence, asking the Commissioner to clarify the difficulties he believes Vidéotron will face.
“The words are taken out of context,” the response states. The Commissioner refers Rogers to its past response, stating Vidéotron will face barriers to entry in specific markets. Freedom’s decline since the merger was announced and Vidéotron’s ongoing challenge to access devices are also referenced for the reasoning.
Source: Competition Tribunal