Rogers does not hold a dominant position in the market for mobile wireless telephony services

Back when Rogers initially released their iPhone prices, I filled out a complaint with the Canadian Competition Bureau. To my surprise, they actually replied!

It begins:

Dear Ryan Nerdorf,

Thank you for your correspondence dated June 30, 2008 regarding Rogers Communications Inc. (“Rogers”).

“Nerdorf!” What a classic typo. They must have been getting a lot of complains from nerds like me!

Here’s the meat of the response:

It is the Bureau’s view that Rogers does not hold a dominant position in the market for mobile wireless telephony services in Canada.  Rogers is in direct competition with two other major wireless providers, in addition to a number of smaller carriers, all of whom offer handsets that are functional substitutes for the iPhone.  Moreover, Rogers’ recently-announced pricing plans for the iPhone do not constitute an anti-competitive act as these pricing plans do not have an intended negative effect on a competitor that is predatory, disciplinary or exclusionary.  Rather, they reflect an attempt by Rogers to market a product consumers find desirable and set prices accordingly.  This may ultimately be disciplined by competitor responses, and/or by consumers rejecting such a strategy.  In either case, market forces will determine if these prices can be sustained.