Rogers 'disappointed' by CRTC decision on broadband wholesale rates
Rogers Communications said it is very disappointed by the CRTC's decision to dramatically reduce the aggregated wholesale rates that third-party Internet resellers pay to access broadband networks in Canada. The final rates do not recognize the true cost of building and expanding Canada's world-class broadband networks and will certainly impact Rogers future network investments, the company said. As a result of the CRTC decision, Rogers expects to record a charge of approximately $140M in the current quarter to account for the retroactive impact of the lower rates. The company is determining next steps, including a review of all future investments in rural and remote communities. The CRTC decision follows a recent Competition Bureau market study that found Canada is well-served by world-class broadband networks. The study further warned of negative consequences for investment if wholesale access rates are not set at the correct level.