UPDATE 2-Rogers sees Canada spectrum spending up to C$1 bln
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OTTAWA, Sept 19 (Reuters) - Rogers Communications Inc (RCIb.TO) expects the telecoms sector to spend up to C$1 billion on wireless spectrum in an auction next year, its chief executive said on Wednesday after delivering a speech railing against any regulatory breaks to new entrants.
The Canadian government has announced plans to auction off airwaves that telecom companies use to deliver wireless services in early 2008 and could unveil rules for the auction as soon as this fall.
Would-be entrants want the government to set aside spectrum for them to bid on, while mandating access to existing communication towers and roaming service rates.
They argue there is inadequate competition in Canada, where consumers pay higher prices and the pace of technological innovation lags other countries.
"Some potential spectrum bidders want to pay a lot less for spectrum than the three existing competitors by getting the government to reserve a large chunk of the spectrum for their exclusive bidding at much lower rates than Bell (BCE.TO), Telus (T.TO), or Rogers will have to pay," Rogers said in an Ottawa speech.
That could cost the government hundreds of millions of dollars, said Rogers, who estimates that Canada's telecoms sector will spend between C$500 million and C$1 billion in the auction.
"Let me say what I have said time and time again. We're not opposed to MTS (MBT.TO), Videotron (VDGPF.PK) and anybody else buying spectrum fair and square in the upcoming auction," Rogers said.
"We just think that new entrants should buy spectrum in an open auction like everyone else. They are large, well-financed companies and they should put their money up like every other wireless provider."
Rogers also shot down ongoing talk that his media and communications company, one of Canada's biggest, wants to buy rival Shaw Communications Inc (SJRb.TO).
($1=$1.01 Canadian)
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