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Wind grows user base 44% y-o-y, takes heart from foreign ownership relaxation

23 Aug 2012

Canadian 3G mobile network operator Globalive Wireless (Wind Mobile), part of the Vimpelcom group, reported that it added 42,000 net new subscribers during the second quarter of 2012, growing its active customer base by 44% year-on-year to 457,000 at the end of June 2012. Blended monthly ARPU in the three months to 30 June was CAD27.7 (USD27.9), down slightly from CAD27.8 in the same period a year earlier. In 2Q12 Wind Mobile reported that it added primarily post-paid subscribers while continuing to carefully position its products as offering value for money. It also continued to expand its network by launching in the city of Barrie and focused on improving its service quality in existing markets, increasing its live cellular network sites to more than 1,200.

Having previously fought and won a legal case against the Canadian telecoms regulator over the interpretation of foreign ownership legislation, Wind Mobile has welcomed the Telecoms Act amendment effective 29 June 2012 to remove foreign investment restrictions for telecoms operators that hold less than a 10% share of total Canadian telecom market revenues. Companies that subsequently grow their market share to greater than 10% organically (i.e. other than by mergers or acquisitions) will remain exempt from the restrictions.

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