Shaw launches new mobile service for Alberta, British Columbia
Shaw Communications Inc. has launched a new wireless service that it hopes will help it retain internet customers in Western Canada, where it faces fierce competition from Telus Corp, based in Vancouver.
The Calgary-based cable company on Thursday revealed pricing details for its new Shaw Mobile service, which will be available as part of a bundle for its Internet customers in Alberta and British Columbia.
The goal, said Shaw Communications President Paul McAleese, is to help the company regain a 50% Internet market share in those provinces.
“There continues to be, frankly, a lot of movement [of customers] between us and our main competitor in Western Canada,” Mr. McAlesse said Wednesday.
“For the past few years, we have felt our market share was insufficient, and now expect us to use Shaw Mobile to help reset that to more of a 50-50 share,” he said. -he declares.
Plans to launch a Shaw-branded mobile service have been in the works for some time, although analysts have said the company is likely to wait until its network is good enough to effectively compete with Telus, Toronto’s Rogers Communications Inc. and from Montreal. Bell Canada of BCE Inc.
Shaw has lagged in acquiring new Internet subscribers, Bank of Nova Scotia analyst Jeff Fan said in a note to customers before Shaw released details of the new service. The cable company has also lost TV subscribers, while the popularity of Telus’ internet protocol television (IPTV) service, Optik TV, has increased.
Kaan Yigit, president of consulting firm Solutions Research Group, said Rogers Communications Inc. and BCE Inc.’s Bell Canada would likely be hit harder, as nearly half of their mobile subscribers live in homes with internet service or Shaw Television. Those customers could be lured by the opportunity to save, especially as Canadians tighten their belts in response to the economic fallout from the COVID-19 pandemic, Yigit said.
“We believe the impact on Telus will be mitigated as two out of three Telus mobile customers live in a household with a Telus Internet or TV product,” Yigit said in an email before details on Shaw Mobile are not announced. It’s harder to convert those households that have bundled services, he said.
On Thursday, Shaw announced that its Internet customers in Alberta and British Columbia will be able to add up to six cell phone lines with unlimited talk and text at no additional monthly cost.
These customers will be able to add unlimited wireless data for $45 per month, or opt for a pay-as-you-go option that will allow them to purchase mobile data as needed for $10 per gigabyte. Customers who do not have access to Shaw Internet will be able to obtain service at higher rates.
The company, which also owns wireless carrier Freedom Mobile, has no plans to offer the service outside of Western Canada, McAlese said.
Editor’s note: This story has been updated to include additional information from Shaw indicating that Shaw Mobile will be available to customers in British Columbia and Alberta who do not have Shaw Internet service, at higher rates.
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