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Canadian, US Wireless Industries Out-Perform Those in Europe, in Part Due to Regulatory Differences

  Canadian, US Wireless Industries Out-Perform Those in Europe, in Part Due to
  Regulatory Differences

New report from Navigant Economics highlights key trends and infrastructure
differences between North American and European markets

Business Wire

CHICAGO -- September 13, 2013

According to a new study from Navigant Economics, Canadian and U.S. wireless
markets outperform those in Europe in higher levels of investment, innovation
and customer usage. Now, however, according to the study’s authors, Canadian
regulators are changing some of the policies that have been responsible for
that country’s success and are adopting policies similar to those in Europe.

“Canadian regulators appear to be moving in the direction of adopting the
sorts of policies that have led to market fragmentation and stalled investment
and innovation in Europe,” said Jeff Eisenach, Managing Director of Navigant’s
Economics practice and a co-author of the report. “As the report concludes,
policies designed to ‘promote competition’ by artificially increasing the
number of competitors have been shown to fail in Europe and should be avoided
in North America.”

According to the report, North American mobile wireless consumers use their
devices for both voice and data services far more intensely than those in
Europe. These consumers also enjoy a faster, more capable wireless network.
Other findings from the report include:

  *North Americans use two to five times more voice time and twice as much
    data than Europeans.
  *Canadian wireless carriers invest 2.3 times those in Europe, per
    connection, in infrastructure.
  *North American wireless speeds are 75 percent faster than the European
    average – a gap that is expected to grow.
  *While North American and European consumers are equally likely to own
    smartphones, North American consumers are more likely to use their phones
    for web-related activities including mobile banking, watching video on
    their phones and browsing the web.

“Consumers in North America increasingly benefit from more advanced networks
than those in Europe and as a result, consume more services,” said Mr.
Eisenach. “This leads to additional revenue generation necessary to support
ongoing investments. It’s a continuing cycle resulting in a constant stream of
benefits recognized by consumers. In contrast, European countries have adopted
policies trying to force more competitors into a market, which has resulted in
companies that are too fragmented to invest in new infrastructure, causing a
problematic cycle of declining network capacity and quality.”

To learn more about the differences between the mobile markets in North
America and Europe, and how regulation plays a role in these differences,
download a copy of the report at www.navigant.com/canada-mobile-report. The
study was authored by Erik Bohlin, Kevin W. Caves and Jeff Eisenach and
sponsored by Canadian telecommunications carrier TELUS.

About Navigant

Navigant (NYSE:NCI) is a specialized, global expert services firm dedicated to
assisting clients in creating and protecting value in the face of critical
business risks and opportunities. Through senior level engagement with
clients, Navigant professionals combine technical expertise in Disputes and
Investigations, Economics, Financial Advisory and Management Consulting, with
business pragmatism in the highly regulated Construction, Energy, Financial
Services and Healthcare industries to support clients in addressing their most
critical business needs. More information about Navigant can be found at
www.navigant.com.

Contact:

Navigant Communications
Jennifer Marshall, 312-583-4166
or
Navigant Investor Relations
Paul Longhini, 312-583-5836