Rogers Blames CRTC for 17% Drop in Profits

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Rogers posted a 17% drop in quarterly profit this week.

The Canadian telecommunications giant is blaming recent decisions by the Canadian Radio-television and Telecommunications Commission for its unexpectedly low profit. The CRTC, in the interest of competitiveness, made it easier for customers to switch providers for cable, internet, and wireless services.

Rogers this most recent quarter lost 26,000 postpaid wireless subscribers, 37,000 prepay customers, 41,000 cable subscribers, 7,000 internet customers, and 20,00 landline phone lines. Revenue increased 5% but profits dropped by more than $50 million compared with a year ago.

The CRTC has created signficant turbulence in Canada’s wireless industry after years of enabling an oligopoly. Next up the national regulator hopes to fix cable.

 

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