Word is from our source that Videotron will be launching its long awaited LTE network on September 10 and they say it will be the largest in Quebec, reaching theoretical speeds of 150 Mbps. Customers will not automatically be able to use the network with their current phone set up, or possibly even their device if it does not support LTE. At minimum, they will need an LTE-enabled SIM card and a compatible device, such as: Samsung Galaxy Note 3, Galaxy S4, Galaxy S5, Nexus 5, HTC Desire, Sony Xperia ZL - but not the iPhone 5s or iPhone 5c, as Videotron's LTE network will not support them at this time.
All of this is being made possible with Videotron and Rogers' twenty-year joint agreement they hammered out and announced at the end of May. Quebec-based Videotron and Ontario-based Rogers have always had a close working relationship with Videotron using Rogers as their roaming partner and this new twenty-year deal helps solidify them as partners even more. In doing so, they will share the expenses in expanding their LTE footprint, especially in rural areas where there has been a big disparity with the urban users.
Nadir Mohamed, President and Chief Executive Officer, Rogers Communications Inc. said about the agreement:
"This agreement will benefit businesses and consumers and is part of Rogers focused, strategic game plan. This network and spectrum sharing agreement, combined with the expansion of our LTE footprint, will allow even more consumers to experience the superior connectivity and incredibly fast speeds that LTE delivers."
Robert D©patie, President and CEO of Quebecor Inc. and CEO of Videotron said:
"This is excellent news for our customers and our shareholders. This agreement will enable us to go farther and to do it faster and is indicative of our determination to anticipate our customers' needs and to maintain the close relationship we have built with them."
Both businesses and consumers should benefit from this partnership formed by Rogers and Videotron. The fast build-out of the LTE network will improve the quality of service for all of its customers. Customers that are more rural will now be able to share in the great speeds that LTE can afford. Robert D©patie said, "The required capital expenditures will be less than if the two companies would have built out parallel LTE access networks."
The network-sharing portion is only part of the total agreement package - the extra, unused AWS spectrum that Videotron controls was also tied into the agreement. Subject to regulatory approvals, Videotron has the option to transfer its Toronto spectrum to Rogers for $180 million. Also, as part of the overall 20-year agreement - Rogers will pay Videotron $93 million and Videotron will pay Rogers $200...payable over a ten-year period.
Please hook up with use on our Google+ Page and let us know what you think about Rogers and Videotron cozying up with each other...is it a good or bad thing...as always, we would love to hear from you.