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Canada Completes 3800 MHz Auction; Rogers, Bell, SaskTel, Quebecor, TELUS Acquire Spectrum

Canada Completes 3800 MHz Auction; Rogers, Bell, SaskTel, Quebecor, TELUS Acquire Spectrum Image Credit: Olmax/Bigstockphoto.com

The Government of Canada has completed the 3800 MHz spectrum auction, which began on the 24th of October 2023. The auction is a key milestone in the Government of Canada’s plan to encourage competition for wireless services, improve rural connectivity and ensure the effective deployment of 5G technologies. Leading Canadian network operators, including Rogers, Bell, SaskTel, Quebecor, and TELUS participated in the auction.

Bell acquires 939 spectrum licenses across nearly 99% of Canada

Bell announced that it has secured 1.77 billion MHz-Pop for $518 million, at $0.29 per MHz-Pop. The operator acquired 939 spectrum licenses, providing Bell with 100 MHz of 3500 MHz and 3800 MHz cross-band spectrum across approximately 99% of Canada's population.

By operating Bell's 5G+ network on 3800 MHz wireless spectrum, complemented with the existing 3500 MHz spectrum, Bell will deliver faster wireless speeds for things like downloading and streaming high-resolution videos, as well as uploading content to share on social media or for cloud photo backups. 

Rogers secures 40.5 MHz of 3800 MHz 5G spectrum

Rogers Communications acquired 3800 MHz in the country’s auction to cover Canadians with even more coverage, speed and capacity on its 5G network. Rogers invested $475 million for 40.5 MHz of 3800 MHz spectrum at $0.32 cents per MHz/POP across 172 regions available under the spectrum auction. The acquired 3800 MHz will complement the 3500 MHz 5G spectrum that it currently holds. This spectrum covers not only urban areas, but also includes rural and Indigenous communities across the country.

SaskTel invests $10.2 million to secure spectrum in Saskatchewan

SaskTel announced that it has invested $10.2 million to acquire 3800 MHz wireless spectrum licenses covering Saskatchewan. In combination with its existing 5G wireless spectrum holdings, these new airwaves will allow SaskTel to unlock the true power of its 5G network and deliver next-generation connectivity to customers across the province.

Already delivering data speeds reaching up to 1.2 Gbps, SaskTel’s 5G network will get even faster as it deploys the newly acquired 3800 MHz spectrum as well as the 3500 MHz spectrum it obtained in 2021.

TELUS holds average of 72 MHz of 3800 MHz spectrum for $620 million

TELUS Corporation acquired new 3800 MHz spectrum licences nationwide at a cost of $620 million during the recent auction. TELUS will now hold licences to an average of 72 MHz of 3800 MHz spectrum nationally, acquired at an average price of $0.24 per MHz-pop. Combined with the 3500 MHz spectrum obtained in 2021, TELUS has secured approximately 100 MHz of prime 5G mid-band spectrum nationally, with contiguity in 96% of the country including all major markets, at an average price of $0.82 per MHz-pop. 

Quebecor acquires spectrum outside Quebec, in Ontario, Alberta, British Columbia and Manitoba

Quebecor and Videotron have announced a $299 million investment to acquire 305 blocks of spectrum in the 3800 MHz band. This major addition to Quebecor’s spectrum portfolio, made at the conclusion of the auction, brings its total investment in the 3500 and 3800 MHz bands, both essential for 5G technology, to over $1.1 billion.

Approximately 61% of the 305 blocks of wireless spectrum acquired by Quebecor are located outside Québec, mainly in southern Ontario, Alberta and British Columbia. Quebecor also bought spectrum in Manitoba, where it now holds a total of 46 blocks in the 600, 3500 and 3800 MHz bands as it prepares to enter that market.

Mirko Bibic, President and Chief Executive Officer, BCE and Bell Canada

Bell 5G+ is important for Canada's digital future as businesses, entrepreneurs and organizations can leverage our network to develop innovations that enhance the lives of Canadians, such as in artificial intelligence, virtual and augmented reality, cloud gaming, massive IoT and industrial transformation. As part of our transformation from a traditional telco to a tech-services and digital media leader, Bell will continue to deliver cutting-edge technology that provides better experiences for customers and powers more innovation in Canada.

Tony Staffieri, President and CEO, Rogers

As Canada’s only national network operator, we went into the auction with a clear plan to secure even more nationwide 5G spectrum so we could continue to bring Canadians across the entire nation the best 5G network in the country. 5G spectrum is about investing in Canada’s future, and we’ve invested significant dollars in each auction to build an unmatched 5G network with a powerful combination of coverage, quality and reliability. There is a reason more Canadians continue to choose Rogers than any other carrier.

Charlene Gavel, President and CEO, SaskTel

Spectrum is the foundation that all wireless networks are built upon and we are pleased to make this investment on behalf of our customers as part of our extensive 5G network rollout. The new airwaves we’ve acquired complement our existing 5G spectrum licenses and will ensure our network has the speed and capacity to keep pace with our customer’s evolving needs for years to come. Since bringing 5G to Saskatchewan in 2021, our team has worked tirelessly to rapidly expand the network to as many customers as possible. As of today, we’re thrilled to be able to deliver 5G service to more than half the population of our province, including our customers in Regina, Saskatoon, and dozens of other communities throughout Saskatchewan.

Darren Entwistle, President and CEO, TELUS

The vital, contiguous spectrum that TELUS secured will enable us to bring transformational, next-generation, 5G services to even more Canadians, providing the globally leading network speed, coverage and reliability that our fellow citizens need to thrive in our digital world. Critically, this spectrum will ensure Canadians continue to benefit from the best network experience in the world, which is facilitating critical, generational change in respect of health, education, teleworking, the environment and the economy. Perhaps most importantly, this spectrum will also help us to bridge digital divides so that every member of our society has the opportunity to realise their full potential. The results of the 3800 MHz auction represent a positive outcome for Canadians and, going forward, we encourage the government to continue this balanced approach to spectrum auctions to ensure affordable, fair and expeditious access to this valuable national asset.

Pierre Karl Péladeau, President and CEO, Quebecor

This latest investment is perfectly in line with our business plan, which is focused on continuing to offer Canadians better services at better prices. It is further proof that we have not only the will but also the ability to achieve our goals, for the benefit of consumers. Canadians have already seen a significant drop in the price of wireless services, thanks to the healthy competition created by Videotron’s acquisition of Freedom Mobile.

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Author

Andrea Y. Lavannya is the Senior Editor and Vertical Analyst - Telco and Techco, at The Fast Mode. Andrea covers global telecom markets, operator revenue strategies and emerging business areas, and heads thought leadership development in areas relating to CSPs, MNOs, MVNOs, MVNEs and cable.

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