Cogeco CEO suggests time could be right for cable company to enter wireless market

The Globe and Mail's Christine Dobby writes that the chief executive officer of Cogeco Communications Inc. says public anger over high wireless prices means the time could be right for the company to launch a mobile service.

The Montreal-based cable company has long stated it would like to offer mobile services to its TV and internet subscribers in Ontario and Quebec, but two recent purchases of licences for cellular airwaves totalling slightly more than $30-million fuelled speculation that Cogeco is more actively pursuing wireless.

CEO Louis Audet outlined the state of the company’s plans on Thursday, telling financial analysts that new trends could “help us enter the business on financially attractive terms” but still insisting Cogeco won’t rush into spending heavily on it.

Cogeco’s cautious moves to get into the still-growing wireless market come as its traditional cable television business is under pressure, with subscribers increasingly cutting the cord in favour of online streaming. The company believes it could win mobile customers from the established national carriers, BCE Inc., Rogers Communications Inc. and Telus Corp., amid government efforts to support new competition in the industry, including reserving more than 40 per cent of airwaves in a coming spectrum auction for small players.