ISED said it will do its ‘darndest’ for rural in face of 3.5 GHz clawback

OTTAWA — Innovation Canada deputy minister John Knubley said his department will do what it can to address a concern that a clawback of 3.5 GHz spectrum for a future auction will leave some in rural areas without service. “We’ll do our darndest to take into account the challenges that the rural citizens have in this area in the context of 3500 (MHz),” Knubley told the House of Commons industry committee overseeing how the department has been spending its money. The answer came in response to a question from Conservative MP and ISED shadow minister Dan Albas, who asked department officials Monday afternoon whether they can “ensure that no real customers lose service due to any changes” that will see cities “have more 5G.” In June, ISED Minister Navdeep Bains announced that the 3.5 GHz spectrum auction will take place in 2020, and initiated a consultation recommending that the department take back as much as two-thirds of licensed 3.5 GHz spectrum currently held to repurpose it for mobile use. Xplornet Communications Inc. has claimed that taking back currently-held spectrum will mean thousands of its rural customers will be without service, and there’s good reason for it to be vocal on the issue -- it’s one of the country’s largest holders of 3.5 GHz spectrum, which it currently uses to provide fixed-wireless services in rural areas. A joint venture between Rogers Communications Inc. and BCE Inc., called the Inukshuk Wireless Partnership, holds the most 3.5 GHz. Rogers and Bell both said in reply to the consultation that the government at most should only claw back one-third of the airwaves, which all major telecoms agree is crucial for 5G. Telus Corp., for its part, suggested taking back all 3.5 GHz spectrum in 5G “initial deployment zones” because fixed-wireless providers don’t compete there, while Shaw Communications Inc. didn’t see an issue with ISED taking back two-thirds of the spectrum. Earlier this year, New Brunswick-based Xplornet -- which recently launched its wireless business in Manitoba -- increased its government lobbying activity to bring more attention to the clawback concerns. Knubley’s comments came a day before the country’s auditor general released a report criticizing the department for the way it auctions off valuable spectrum. The report noted that “high-quality spectrum” is proving elusive for small internet providers because the licences often go to geographic areas that are too big for smaller providers to bid on. The deputy minister’s response left Albas with “cold comfort,” said the MP, who pestered the department’s officials with other concerns, including speed requirements under the CRTC's $750-million rural broadband fund being lower than its basic service standard. Knubley pointed to an agreement between the department and some provinces to work toward the 50 Mbps download target.

ISED said it will do its ‘darndest’ for rural in face of 3.5 GHz clawback

Brief | November 20, 2018

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ISED said it will do its ‘darndest’ for rural in face of 3.5 GHz clawback

Brief | November 20, 2018

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