MONTREAL, Wednesday, Nov. 28, 2007 – Quebecor Media Inc. and its subsidiary Vidéotron Ltd. are pleased by the public policy decision announced today to expand competition in Canada's wireless business to the benefit of consumers. Quebecor Media will participate in the spectrum auction and is confident that the outcome will allow the company to invest $500 million to build a broadband wireless network using the latest-generation technologies.
"This policy in favour of greater competition will translate into better technology, more services and lower prices for Canadian consumers," said Pierre Karl Péladeau, President and Chief Executive Officer of Quebecor Inc. "As a content company, Quebecor Media is engaged in all aspects of content creation and delivery, and this decision will have a very positive impact on the production and distribution of Canadian content."
Quebecor Media announced it will invest at least $500 million in the years following the spectrum auction, crystallizing its commitment to build a network to deliver the latest generation of competitive broadband wireless services. The company expects the network would be fully operational within 18 months of the auction. The technologies will open the doors to advanced services that will put Canada in the same league as other advanced nations in terms of wireless sophistication and competitive pricing.
"Our telecom subsidiary Vidéotron is committing to the creation of a regional network in Quebec and, in light of the policy to encourage new competitors with national scope, we are considering all the options," said Mr. Péladeau. "Our next steps will be to explore the best business opportunities for Canadians."
New services would include mobile broadband access to a wide range of innovative consumer services and a new universe of content that will appeal to a broad spectrum of Canadians. The market for high-quality content will create growth and new opportunities for Canadian content producers and germinate new business activity in many sectors.
"We know that the Internet and mobile connections are the future. We need to ensure that Canadians are part of this revolution in a meaningful way with innovations and quality content that will be successful and give Canadians what they want and need," said Mr. Péladeau. "Quebecor Media is already the biggest content provider for different platforms of distribution and we will be working with creative Canadian organizations and individuals to develop content that can be world class."
Earlier in the day Mr. Péladeau announced the launch of Canoe.TV, the first Canadian web broadcaster with unique content commissioned by Canoe.TV in addition to content from traditional sources.
About Quebecor Media
Quebecor Media is a subsidiary of Quebecor Inc. (TSX:QBR.A, QBR.B; TSX), a communications company with operations in North America, Europe, Latin America and Asia. Quebecor Media owns operating companies in numerous media related businesses: Videotron Ltd., the largest cable operator in Québec and a major Internet Service Provider and provider of telephone and business telecommunications services; Sun Media Corporation, the largest newspaper chain in Canada; TVA Group Inc., operator of the largest French-language over-the-air television network in Québec, a number of specialty channels, and the English-language over-the-air station SUN TV; Canoe Inc., operator of a network of English-and French-language Internet properties in Canada; Nurun Inc., a major interactive technologies and communications agency with offices in Canada, and the United States, Europe and Asia; companies engaged in book publishing and magazine publishing; and companies engaged in the production, distribution and retailing of cultural products, namely Archambault Group Inc., the largest chain of music stores in eastern Canada, TVA Films, and LeSuperClub Vidéotron ltée, a chain of video and video game rental and retail stores.
