Subject: [NEXTEL-1] Telecom Update #433, May 17, 2004

From: [email-masked]
Date: Mon, 17 May 2004 14:37:12 -0400

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IN THIS ISSUE: 

** City Fido Comes to Toronto 
** Telus Bids to Buy Microcell
** Criminal Probe Targets Nortel
** Allstream Shareholders Approve Purchase by MTS
** Ottawa Creates Anti-Spam Panel
** New Entrant Joins Internet Phone Market
** First Nation Seizes MTS Infrastructure
** CRTC Bars Phone Cutoffs for Unpaid LD
** Ericsson Exec to Chair SR Telecom
** Two Million in U.S. Use Number Portability
** MCI Challenges Bell Contract
** Look Loss Grows
** Spotnik Signs Seven Hotels for Wi-Fi
** Bell Offers Music Downloads
** Think Tank Says Telecom Regulation Not Needed
** Toronto, Los Angeles Carrier Hotels Form Alliance
** Cisco Sales, Profits Rise
** IP Net Expands Airport Capacity

============================================================

CITY FIDO COMES TO TORONTO: City Fido, described by 
Microcell as "the first true alternative to traditional 
wireline telephone service," will be offered in Toronto 
beginning May 20. It provides unlimited local calling in 
the Greater Toronto Area for $45/month.

** Until now, City Fido has been available only in Richmond, 
B.C., where it was launched last October.

TELUS BIDS TO BUY MICROCELL: Telus Corp. is offering $1.1 
billion to buy all outstanding shares of wireless competitor 
Microcell Telecommunications, owner of the Fido brand. Telus 
says the unsolicited offer represents a premium of 38.1% and 
36.5% over May 13 prices for Microcell Class A Shares and 
Class B Shares.

CRIMINAL PROBE TARGETS NORTEL: Nortel Networks says that a 
U.S. grand jury in Dallas has asked it to turn over "certain 
documents, including financial statements and corporate, 
personnel, and accounting records" dating back to 2000. The 
company says it will cooperate with the authorities.

ALLSTREAM SHAREHOLDERS APPROVE PURCHASE BY MTS: Allstream 
shareholders have voted 99.7% in favour of the company's 
purchase by MTS. The deal, expected to close in early June, 
has also received court approval; regulatory approval is 
still pending.

** Allstream had first quarter sales of $297 million, down 
   1.6% from the previous quarter and down 16% from a year 
   ago. Net income of $15.4 million was down 6% from the 
   previous quarter.

OTTAWA CREATES ANTI-SPAM PANEL: Industry Canada has announced 
an "Anti-Spam Action Plan for Canada," and appointed a ten-
member "Special Task Force on Spam" to oversee 
implementation. 

http://e-com.ic.gc.ca/epic/internet/inecic-ceac.nsf/en/h_gv00246e.html

NEW ENTRANT JOINS INTERNET PHONE MARKET: BabyTel, a division 
of Montreal-based Voice & Data Systems, has launched a 
telephone-over-broadband service with residential price plans 
ranging from $10.95 to $34.95 a month. 

www.babytel.ca

FIRST NATION CLAIMS MTS INFRASTRUCTURE: Responding to 
Manitoba Tel's refusal to lease it unbundled local loops, the 
Brokenhead Ojibway band council has passed a resolution 
allowing a band-owned Internet and VoIP provider to use MTS 
local loops without paying.

** MTS says there is no Central Office on the reserve, and 
   its tariffs do not permit competitor co-location at remote 
   units. It says the band has not yet acted on its plan to 
   "nationalize" the telco's infrastructure on the reserve, 
   which is about 80 km north of Winnipeg.

CRTC BARS PHONE CUTOFFS FOR UNPAID LD: CRTC Telecom Decision 
2004-31 bars incumbent telcos from disconnecting local phone 
service for non-payment of non-tariffed services such as long 
distance, so long as the customer has made sufficient 
payments to cover all tariffed services.

www.crtc.gc.ca/archive/ENG/Decisions/2004/dt2004-31.htm

ERICSSON EXEC TO CHAIR SR TELECOM: Lionel P. Hurtubise, Chair 
of Ericsson Canada, has been appointed Chairman of the Board 
of Directors of SR Telecom, replacing Paul Dickie, who 
remains on the Board. Former Bell Canada executive Louis 
Tanguay has been added to the Board. 

TWO MILLION IN U.S. USE NUMBER PORTABILITY: The U.S. Federal 
Communications Commission says that over two million 
customers have taken advantage of Wireless Local Number 
Portability since cellular carriers were required to offer it 
last November. Most have moved their numbers from one 
wireless carrier to another, but some made wireline-to-
wireless transfers.

** Wireless Local Number Portability is currently mandatory 
   in the top 100 U.S. markets; it must be offered everywhere 
   in the U.S. starting May 24.

MCI CHALLENGES BELL CONTRACT: MCI Canada (formerly WorldCom) 
says Bell Canada has refused to apply CDNA rates to its 
Digital Network Access services, on the grounds that they are 
part of a bundle provided under a Bell Nexxia contract. In a 
Part VII application to the CRTC, MCI says the contract is 
illegal because it has not received Commission approval as 
required under Decision 2002-76.

www.crtc.gc.ca/PartVII/eng/2004/8622/w25_200404210.htm

LOOK LOSS GROWS: Look Communications reports a first quarter 
loss of $1.7 million, up from $1.3 million a year ago. It 
lost 8,000 subscribers in the quarter, ending with 117,000 
subscribers on March 31.

SPOTNIK SIGNS SEVEN HOTELS FOR WI-FI: Spotnik Mobile has 
signed deals to install wireless LANs in seven Ontario 
hotels, including Hockley Valley Resort and Sheraton on the 
Falls. Spotnik, part-owned by Telus, says it has installed 
Wi-Fi in more than 50 hotels during the past year.

BELL OFFERS MUSIC DOWNLOADS: Bell Canada's "Sympatico Music 
Store," announced last week, claims it offers more than 
250,000 songs for downloading at 99 cents each.

THINK TANK SAYS TELECOM REGULATION NOT NEEDED: The Montreal 
Economic Institute, a private research group, says that new 
developments in technology have made CRTC intervention in 
telecom obsolete. 

TORONTO, LOS ANGELES CARRIER HOTELS FORM ALLIANCE: 151 Front 
Street West, a Toronto "carrier hotel" that provides 
facilities to over 150 telecom companies, has formed a co-
marketing alliance with One Wilshire, a similar facility in 
Los Angeles. 

CISCO SALES, PROFITS RISE: For the quarter ended May 1, Cisco 
Systems had sales of US$5.6 billion, 22% higher than the same 
period a year ago. Net income was $1.2 billion, compared to 
$987 million. During the quarter, Cisco shipped its three-
millionth IP phone.

IP NET EXPANDS AIRPORT CAPACITY: The Greater Toronto Airport 
Authority says its new IP-based fibre network has increased 
the airport's ability to handle passengers, planes, and 
baggage by 15%. The May issue of Telemanagement, now 
available online for subscribers, features an special report 
on a unique installation other airports will emulate.
Also in this issue:

** Understanding and Managing Wi-Fi Performance
** CRTC Sets VoIP Policy Review
** How Real Is Wireless Substitution?

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