Bell Canada calls for open auction of wireless spectrum

May 25, 2007

OTTAWA, Ontario, May 25 /CNW Telbec/ - Bell Canada today recommended that
Industry Canada auction wireless spectrum for Advanced Wireless Services (AWS)
using an open framework that does not give potential new entrants special
advantages.
"Bell believes the purpose of the auction should be to deliver AWS
spectrum to those who will use it best and secure appropriate compensation for
the taxpayers of Canada," said Lawson Hunter, Executive Vice-President and
Chief Corporate Officer of Bell Canada. "It is the approach most consistent
with the Government's clearly articulated policy directive to minimize
regulatory interference and rely on market forces to the maximum extent
possible."
As Bell points out in its submission to Industry Canada, the Canadian
wireless market is highly competitive, with three national carriers, two
regional carriers and a number of resellers and MVNOs. Average revenue per
minute in Canada is the second lowest across the G7, while minutes of use is
well above average and Canadian carriers continue to expand their advanced
third generation multimedia offerings. Government interventions in the market
such as spectrum caps or set-asides in the auction process would, in effect,
subsidize new entrants at the expense of Canadians.
"Industry Canada's obligation is to obtain the maximum benefit for AWS
spectrum for all Canadians - not just new entrants," added Mr. Hunter. "The
simplest way to achieve that goal is to auction off the AWS spectrum to the
highest bidders who can use it to deliver the next generation of
communications tools and services."
Bell Canada looks forward to participating in the AWS auction in order to
acquire the crucially important spectrum it will need to continue to provide
new and innovative services to Canadians and enhance its existing network.

About Bell Canada

Bell is Canada's largest communications company, providing consumers with
solutions to all their communications needs, including telephone services,
wireless communications, high-speed Internet, digital television and voice
over IP. Bell also offers integrated information and communications technology
(ICT) services to businesses and governments, and is the Virtual Chief
Information Officer (VCIO) to small and medium businesses (SMBs). Bell is
proud to be a Premier National Partner and the exclusive Communications
Partner to the Vancouver 2010 Olympic and Paralympic Winter Games. Bell is
wholly owned by BCE Inc. For information on Bell's products and services,
please visit www.bell.ca. For corporate information on BCE, please visit
www.bce.ca.

For further information: please contact: Jacqueline Michelis, Bell Canada, Media Relations, (416) 581-3311, 1-888-482-0809, jacqueline.michelis@bell.ca