Telecom Trends

Videotron launched its quadruple play this morning, adding mobile wireless services with some pretty aggressive pricing: 4 services for $94.95 - all in (no annoying additional network charges, etc.). The wireless services are being offered over the Rogers Wireless network acting as a Mobile Virtual Network Operator (MVNO), with Videotron handling all aspects of customer service, technical support, billing, etc.

The $95 price, while appearing very aggressive, is intended to get the customers' attention. It includes 300 anytime minutes, basic wireline service, the 'lite' internet service and basic TV. Videotron's hope is that most customers will be attracted by the bundle and will buy additional services.

As we reported on Tuesday, Videotron's experience has been that their wireline voice service has attracted a new complement of cable subscribers.

Keep in mind that Quebec has historically had the lowest cable penetration rates of any province in Canada. As a result, Videotron's added services (internet, phone and wireless) help to bring more basic customers onto their TV network, which already passes the homes. Better capital efficiency.

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Videotron, bundles, MVNO, Quebec, Rogers Wireless