Telecom Update #532, June 2, 2006

************************************************************ TELECOM UPDATE ************************************************************

published weekly by Angus TeleManagement Group

Number 532: June 2, 2006

Publication of Telecom Update is made possible by generous financial support from:

** AVAYA: ** BELL CANADA: ** CISCO SYSTEMS CANADA: ** ERICSSON: ** MICROSOFT CANADA: ** MITEL NETWORKS: ** NEC UNIFIED SOLUTIONS: ** ROGERS TELECOM: ** VONAGE CANADA:

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IN THIS ISSUE:

** Three Telcos Reduce Local Rates ** OnStar Partners With Bell Mobility ** Aliant Expands High-Speed Wireless ** CRTC Modifies Interconnection Rules ** Cogeco to Buy Portuguese Cableco ** Bell Cellphones Join Missing Child Program ** Inukshuk Seeks Internet Learning Proposals ** Persona Third-Party Tariff Approved ** Telecom Regulatory Fees Increase ** Minacs Names New Chair ** SaskTel Upgrading Network for TV ** SR Telecom Names New CFO ** Telecom Summit Opens June 12 ** Hall of Fame Dinner Planned

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THREE TELCOS REDUCE LOCAL RATES: CRTC Telecom Order 2006-134 approves residential rate reductions by Bell Canada, MTS Allstream, and SaskTel, effective June 1. The rate cuts eliminate most or all recurring inflows to their deferral accounts. (See Telecom Update #517)

** Bell's individual, two-, and four-line residential rates are down $.65/mo. Other reductions affect rates for Call Waiting, Visual Call Waiting, and the Mini Messaging Pack.

** MTS's residential rates in Bands A, B, and C are reduced to $23.85. Call Display is cut $.90.

** SaskTel's residential rates in Regina, Saskatoon, Estevan, Moose Jaw, North Battleford, Prince Albert, Swift Current, Weyburn, and Yorkton are reduced by $.46/month.

ONSTAR PARTNERS WITH BELL MOBILITY: Owners of equipped General Motors vehicles can now use their OnStar hardware as a Bell Mobility cellphone; and Bell Mobility customers can use their cellphones to get OnStar emergency response service, even if they don't drive GM cars.

** "Bell Minute Sharing with OnStar" costs $18/month in addition to regular cellphone and OnStar charges. Usage charges appear on the cellphone bill under the customers' existing calling plan.

ALIANT EXPANDS HIGH-SPEED WIRELESS: Aliant has extended its EV-DO high-speed wireless service to Saint John, Moncton, and Fredericton, NB; Charlottetown, PEI; and St. John's, NL. The service was launched in Halifax in February. (See Telecom Update #518)

CRTC MODIFIES INTERCONNECTION RULES: CRTC Telecom Decision 2006-35 further simplifies the interconnection arrangements between local carriers, reducing the number of Local Interconnection Regions in Canada from 337 to 182 (see Telecom Update #442).

COGECO TO BUY PORTUGUESE CABLECO: Cogeco Cable has agreed to buy Cabovisao, Portugal's second-largest cableco, for 465 million euros (about $650 million). Cabovisao has 264,000 TV and 217,000 telephony subscribers.

BELL CELLPHONES JOIN MISSING CHILD PROGRAM: Bell Mobility customers in Ontario can now register to receive AMBER Alerts from the Ontario Provincial Police by text messaging and email. To register for the emergency missing child announcements, go to

INUKSHUK SEEKS INTERNET LEARNING PROPOSALS: Inukshuk Wireless has called for proposals that focus on enhancing content or connectivity related to learning and the Internet. The company says $3 million in funding is available: for information, visit

PERSONA THIRD-PARTY TARIFF APPROVED: CRTC Telecom Decision 2006-36 gives interim approval to the third-party Internet access tariff filed by cableco Persona Communications in January (see Telecom Update #516). Provisions are temporarily suspended for ISPs who are already connected to Persona's network, pending resolution of some remaining issues.

TELECOM REGULATORY FEES INCREASE: The CRTC's cost of regulating telecom in 2005-6 was $25.2 million, $1.2 million of which was not recovered from fees paid by carriers. The shortfall will be added to the coming year's fees, bringing the 2006-7 total to $26.6 million.

MINACS NAMES NEW CHAIR: Minacs Worldwide has named former New Brunswick finance minister Norman Betts as Chair of the Board. Andrea Minacs, daughter of the company's founder, the late Elaine Minacs, has joined the board to provide "continued representation of Minacs' largest shareholder." (See Telecom Update #530)

SASKTEL UPGRADING NETWORK FOR TV: As part of its Next Generation Access Infrastructure initiative, SaskTel will pay Alcatel $35 million for routers, Ethernet switches, fiber-to-the-node technology, and system management to support high definition TV at speeds of up to 40 Mbps.

SR TELECOM NAMES NEW CFO: SR Telecom has appointed Marc Girard, formerly with Aeroplan, Quebecor, and BCE, as Senior VP and CFO, effective August 15. He replaces interim CFO Peter Campbell.

** SR will hold its annual meeting in Laval on Tuesday, June 8.

TELECOM SUMMIT OPENS JUNE 12: The Canadian Telecom Summit will take place in Toronto June 12-14. Speakers include Minister of Industry Maxime Bernier, CRTC Chair Charles Dalfen, and the CEOs of Avaya, BCE, MTS Allstream, Telus, and Videotron.

HALL OF FAME DINNER PLANNED: Canada's Telecommunications Hall of Fame will hold its second Telecom Laureate Awards Ceremony and Gala Dinner on Monday, October 16, at The Carlu in Toronto. The 2006 Laureates will be announced at a press conference in Montreal in September.

** This year's Hall of Fame Selections Committee is chaired by David Colville, past Vice-Chair of the CRTC. Other members include Francoise Bertrand, past Chair of the CRTC, Carol Stephenson, Dean of the Ivey School of Business, and Lis Angus, co-editor of Telecom Update.

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