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.

2 thoughts on “Rogers does not hold a dominant position in the market for mobile wireless telephony services

  1. I got that response too. Interesting.
    I know they auctioned off new frequencies, but I thought they were all CDMA. That would imply to me that they do have somewhat of an advantage, being the only GSM carrier and thus the only one able to provide advanced options, like what is needed for the iPhone. Still, nifty to get a response.

    Nerdorf. ha.

  2. I got that response too. Interesting.
    I know they auctioned off new frequencies, but I thought they were all CDMA. That would imply to me that they do have somewhat of an advantage, being the only GSM carrier and thus the only one able to provide advanced options, like what is needed for the iPhone. Still, nifty to get a response.

    Nerdorf. ha.

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