Canadian government overrules CRTC, allows Globalive to offer mobile services

Federal Industry Minister Tony Clement took almost 6 weeks to review the CRTC decision denying Globalive a wireless operating certificate. This morning he overturned that decision in what the Minister called a difference of interpretation of the law. In a press conference he announced;

"The decision to vary the CRTC Globalive decision, let me emphasize, was based on the legal facts and not on the government's position that there needs to be more competition in the marketplace," Mr. Clement said. "That said, I firmly believe, that Globalive entry into the market to provide near national service will enhance competition for the benefit of Canadian consumers. A competitive marketplace assists consumers by giving more choice, at better prices and higher quality."

"I think it sends a signal to the world that we are place where the rule of law triumphs, where you can have two branches of government that can reasonably differ on an interpretation of the facts of a particular case but that there can be a resolution of this and that the government has the ability to resolve this issue," Mr. Clement said.

Globalive's Canadian brand to be known as Wind (the same as it is in Europe) spent $422 Million in acquiring new wireless spectrum to compete against the dominant players consisting of Bell Canada, Telus and Rogers. Ken Campbell, CEO of Wind was unavailable for comment.

Update: Dec: 11: 12:54 PM EDT: Federal Government Press Release on variance of CRTC Decision.