Videotron has been a fierce competitor in the wireless space in Quebec and has forced other wireless carriers into creating Quebec only low cost monthly plans to stay competitive. This is exactly what the Canadian government wanted to do when they decided to foster competition.
Videotron spent a cool $500M during the last AWS auction spectrum (for Quebec and some parts of Ontario). The latest stats indicate that they have picked up about 500,000 loyal wireless subscribers making them the 6th largest Canadian wireless carrier.
Now we learn that a Scotia Bank analyst, Jeff Fan, believes Videotron has signed an NDA with Mobility to explore a potential asset purchase. If this is indeed true, then it means Videotron may have expansion plans outside of the province.
Mobility has a limited footprint in Ottawa, Toronto, Calgary, Edmonton and Vancouver with approximately 175,000 sibscribers.
Videotron is also bidding in the highly desirable 700Mhz auction so time will tell how all of this plays out.