U.S. Wireless Envy May Drive Trudeau Response to Rogers Merger

  • Canada’s cost for mobile data far exceeds that of the U.S.
  • Oligopoly fears could force Rogers to divest some Shaw assets

Shaw’s status as a low-cost alternative to the big carriers could be altered by the deal.

Photographer: Shannon VanRaes/Bloomberg
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The fate of Rogers Communications Inc.’s $16 billion takeover of Shaw Communications Inc. may come down to which the Canadian government wants more: better wireless networks or lower prices.

The transaction would reduce the number of wireless providers to three from four in about two-thirds of the country, according to BMO Capital Markets, potentially driving up consumer costs. It could also alter Shaw’s status as a low-cost alternative to the big carriers.