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CRTC approves Rogers’ takeover of Shaw broadcasting, but with costly conditions - National | Globalnews.ca
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id="article-byline" class="c-byline l-article__byline"> <div class="c-byline__text"> <div class="c-byline__attribution"> <span class="c-byline__by">By</span> <span class="c-byline__name">Tara Deschamps</span> <span class="c-byline__source c-byline__source--noName"> The Canadian Press </span> </div> <div class="c-byline__datesWrapper"> <div class="c-byline__dates"> <div class="c-byline__date c-byline__date--pubDate"> <span>Posted March 24, 2022 4:38 pm</span> <button class="c-byline__dateToggle toggle-switch u-hide-tablet-portrait" aria-label="Toggle last modified date of the article" data-expand="#bylineDateUpdated" aria-expanded="false"> <span id="updated-toggle-off" class="toggle-off c-icon c-icon--arrowDown"> </span> <span id="updated-toggle-on" class="toggle-on c-icon c-icon--arrowUp "> </span> </button> </div> <div class="c-byline__date c-byline__date--modDate is-expandable " id="bylineDateUpdated"> <span>Updated March 24, 2022 6:30 pm</span> </div> </div> </div> </div> </div> <!-- Featured image --> <figure class="l-article__featured "> <div class="c-figure__embed"> <div class="c-video c-videoPlay " data-iframe-receiver data-autoplay="true" data-displayinline-featured="true" data-displayinline-type="video" data-displayinline-player-id="miniplayer_8392936_623db04d8bbf1" data-displayinline-video-id="8392936" data-displayinline-ratio="16:9" data-displayinline="https://globalnews.ca/video/embed/8392936/#autoplay&stickyiframe=miniplayer_8392936_623db04d8bbf1" data-displayinline-sticky="true"> <div class="c-video__inner"> <span class="c-video__placeholder"> <img class="c-video__image" alt="Click to play video: 'NDP opposed to Rogers-Shaw merger, Singh says'" width="632" height="356" data-src="https://web.archive.org/web/20220325122944/https://i0.wp.com/media.globalnews.ca/videostatic/news/t70gm3gnz-cmc65yu65e/ONLINE_STILL_SINGH_3.jpg?w=1040&quality=70&strip=all" loading="lazy" srcset="" sizes="" data-srcset="https://web.archive.org/web/20220325122944im_/https://i0.wp.com/media.globalnews.ca/videostatic/news/t70gm3gnz-cmc65yu65e/ONLINE_STILL_SINGH_3.jpg?w=450#038;quality=70&strip=all 450w, https://web.archive.org/web/20220325122944im_/https://i0.wp.com/media.globalnews.ca/videostatic/news/t70gm3gnz-cmc65yu65e/ONLINE_STILL_SINGH_3.jpg?w=720#038;quality=70&strip=all 720w, https://web.archive.org/web/20220325122944im_/https://i0.wp.com/media.globalnews.ca/videostatic/news/t70gm3gnz-cmc65yu65e/ONLINE_STILL_SINGH_3.jpg?w=1040#038;quality=70&strip=all 1040w" data-sizes="(min-width: 1040px) 1040px,(min-width: 720px) 720px,450px"> <span class="c-video__overlay"> <span class="c-video__icon c-videoPlay__icon"> <svg class="c-icon c-icon--white c-video__play c-videoPlay__off" focusable="false"> <use xlink:href="https://web.archive.org/web/20220325122944im_/https://globalnews.ca/wp-content/themes/shaw-globalnews/assets/dist/icons/out/symbol/svg/sprite.symbol.svg?v=msjiw4cvn#play"></use> </svg> <svg class="c-icon c-icon--red c-video__play c-videoPlay__on" focusable="false"> <use xlink:href="https://web.archive.org/web/20220325122944im_/https://globalnews.ca/wp-content/themes/shaw-globalnews/assets/dist/icons/out/symbol/svg/sprite.symbol.svg?v=msjiw4cvn#play"></use> </svg> </span> <span class="c-video__data"> <time class="c-video__duration">1:10</time> <span class="c-video__title">NDP opposed to Rogers-Shaw merger, Singh says</span> </span> </span> </span> </div> </div> <figcaption class="c-video__caption c-caption"> <span class="c-caption__desc">WATCH: NDP opposed to Rogers-Shaw merger, Singh says – Nov 22, 2021</span> </figcaption> </div> </figure> <div class="l-article__story l-main__story"> <div class="l-article__details"> <!-- Social share --> <div class="c-socialShare c-socialShare--article c-socialShare--articleHover c-details" data-article-socialshare="true" data-socialshare-template-type="regular"> <ul class="c-socialShare__list"> <li 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class="c-socialShare__text">Copy link</span> </a> </li> </ul> </div> </div> </div> <article class="l-article__text js-story-text" aria-label="Article text"> <p>The Canadian Radio-television and Telecommunications Commission has approved <a href="https://web.archive.org/web/20220325122944/http://globalnews.ca/tag/rogers">Rogers Communications Inc.’s</a> acquisition of <a href="https://web.archive.org/web/20220325122944/http://globalnews.ca/tag/shaw">Shaw Communications Inc.’s</a> broadcasting services, but will force the company to meet a series of conditions it laid out Thursday.</p><img src="https://web.archive.org/web/20220325122944im_/https://d21y75miwcfqoq.cloudfront.net/70c8fc80" style="position:absolute;width:1px;height:1px" referrerpolicy="no-referrer-when-downgrade"> <p>The approval from the broadcasting regulator is the latest of several hurdles Rogers must clear as it tries to close the $26-billion deal it signed in March 2021 that will see it acquire 16 cable services based in Western Canada, a national satellite television service and other broadcast and television services.</p><p>“The commission is of the view that the application, subject to the modifications … is the best possible proposal given the circumstances and that this transaction would not diminish the diversity of voices in Canada,” the report reads.</p><div class="l-article__part" data-shortcode="readmore"> <p class="c-readmore"> <span class="c-readmore__label"><strong>Read more: </strong></span> <a class="c-readmore__link" href="https://web.archive.org/web/20220325122944/https://globalnews.ca/news/8392113/crtc-rogers-shaw-hearings-begin/" data-track-region="content-read-more" title="Rogers tells CRTC Shaw deal will boost competition, makes no promises on prices"> Rogers tells CRTC Shaw deal will boost competition, makes no promises on prices </a> </p> </div> <div class="c-ad c-ad--bigbox l-article__ad"> <div class="c-ad__label">Story continues below advertisement</div> <div id="gpt-ad-300250-10" class="c-ad__unit" data-ad-pos="10"> </div> <script> if ( typeof( gn_monetize ) !== 'undefined' && typeof( gn_monetize.Ads ) !== 'undefined' && gn_monetize.Ads.initialRequestMade() ) { // Ads script has been loaded, create the ad. gn_monetize.Ads.create( {"sizes":"[300,250]","biddable":true,"id":"gpt-ad-300250-10","lazy":false,"targeting":{"pos":10,"slotid":"gpt-ad-300250-10"},"companion":false} ); } else { // if Ads script not yet loaded, queue up ad data for initialization. var gnAdSettings = gnAdSettings || {}; gnAdSettings.ads = gnAdSettings.ads || []; gnAdSettings.ads.push( {"sizes":"[300,250]","biddable":true,"id":"gpt-ad-300250-10","lazy":false,"targeting":{"pos":10,"slotid":"gpt-ad-300250-10"},"companion":false} ); } </script> </div> <p>It also says the CRTC found that the competitive landscape would not be unduly affected and that the transaction would be in the public interest.</p><p>The CRTC, which was only tasked with assessing broadcasting elements of the transaction, said it made stipulations part of its approval because it wants to ensure that the sale will benefit Canadians and the country’s broadcasting system.</p><p>In separate statements Thursday evening Rogers and Shaw welcomed the CRTC approval.</p><p>“This approval is an important milestone and brings us one step closer to completing our transformational transaction with Shaw,” said Tony Staffieri, Rogers’ president and chief executive, in a statement.</p><p>“Together, Rogers and Shaw will accelerate investment in 5G and cable networks across Canada, offer consumers and businesses more choice and competition, and connect rural and remote communities faster than either company could alone,” Staffieri said.</p><p>Commenting on the ruling, Brad Shaw, Executive Chair and CEO of Shaw said, “We appreciate the CRTC’s thoughtful inquiry and remain committed to working with government and regulators to achieve a successful completion of our proposed transaction with Rogers.”</p><p>“Together, with Rogers, we all look forward to bringing to Canadians the important benefits of the combined company – including access to high-quality, next-generation networks, increased competition, and greater connectivity to rural, remote and Indigenous communities throughout Western Canada,” he added.</p> <section id="content-dynamic-trending-stories" class="l-inlineStories l-inlineStories--tile u-hide-tablet-landscape" aria-label="Dynamic trending stories section"> <div class="l-inlineStories__heading"> <span class="l-inlineStories__title c-heading c-heading--strikethrough">Trending Stories</span> </div> <ul class="c-posts c-posts--inline"> <li class="c-posts__item"> <a href="https://web.archive.org/web/20220325122944/https://globalnews.ca/news/8708700/canada-world-cup-qualifier-loss-costa-rica/" class="c-posts__inner"> <div class="c-posts__media l-relatedStories__media"> <img class="c-posts__thumbnail" data-src="https://web.archive.org/web/20220325122944/https://globalnews.ca/wp-content/uploads/2022/03/CoostaRicaGoal.jpg?quality=85&strip=all&w=336&h=224&crop=1" loading="lazy" width="336" height="224" alt=""/> </div> <div class="c-posts__details"> <div class="c-posts__headline "> <span class="c-posts__headlineText" data-title>Canadian soccer team’s bid for World Cup qualification put on hold in Costa Rica</span> </div> <div class="c-posts__author"></div> </div> </a> </li> <li class="c-posts__item"> <a href="https://web.archive.org/web/20220325122944/https://globalnews.ca/news/8707512/pharmacy-investigated-allegations-bc-vaccine-fraud/" class="c-posts__inner"> <div class="c-posts__media l-relatedStories__media"> <img class="c-posts__thumbnail" data-src="https://web.archive.org/web/20220325122944/https://globalnews.ca/wp-content/uploads/2022/03/pharmacy-vaccine-investigation.png?w=336&h=224&crop=1" loading="lazy" width="336" height="224" alt=""/> </div> <div class="c-posts__details"> <div class="c-posts__headline "> <span class="c-posts__headlineText" data-title>Pharmacy investigated on allegations it fraudulently entered people into B.C. vaccine system</span> </div> <div class="c-posts__author"></div> </div> </a> </li> </ul> </section> <div class="c-ad c-ad--bigbox l-article__ad"> <div class="c-ad__label">Story continues below advertisement</div> <div id="gpt-ad-300250-11" class="c-ad__unit" data-ad-pos="11" loading="lazy"> </div> <script> if ( typeof( gn_monetize ) !== 'undefined' && typeof( gn_monetize.Ads ) !== 'undefined' && gn_monetize.Ads.initialRequestMade() ) { // Ads script has been loaded, create the ad. gn_monetize.Ads.create( {"sizes":"[300,250]","biddable":true,"id":"gpt-ad-300250-11","lazy":true,"targeting":{"pos":11,"slotid":"gpt-ad-300250-11"},"companion":false} ); } else { // if Ads script not yet loaded, queue up ad data for initialization. var gnAdSettings = gnAdSettings || {}; gnAdSettings.ads = gnAdSettings.ads || []; gnAdSettings.ads.push( {"sizes":"[300,250]","biddable":true,"id":"gpt-ad-300250-11","lazy":true,"targeting":{"pos":11,"slotid":"gpt-ad-300250-11"},"companion":false} ); } </script> </div> <p>Among the CRTC’s conditions are a requirement forcing Rogers to contribute $27.2 million to various initiatives and funds, which is five times what the company had originally proposed.</p><p>The CRTC’s decision said 80 per cent of that sum will be directed to the Canada Media Fund, the Independent Local News Fund and certified independent production funds. The remaining 20 per cent will go toward initiatives proposed by Rogers, including the Broadcasting Accessibility Fund and Broadcasting Participation Fund.</p><p>Rogers must create an Indigenous news team with journalists in all provinces where the company provides news content to deliver stories to First Nations, Metis and Inuit communities.</p><p>The company must also report annually on its commitments to increase its support for local news, including by employing a higher number of journalists at its CityTv stations and by producing an additional 48 news specials in prime time each year that reflect local communities.</p><p>The CRTC will force Rogers to distribute at least 45 independent English and French-language services on each of its cable and satellite services to ensure independent programming services are not placed at a disadvantage when negotiating with Rogers.</p><div class="l-article__part" data-shortcode="tp_video"> <div class="c-video c-videoPlay " data-iframe-receiver data-autoplay="" data-displayinline-featured="false" data-displayinline-type="video" data-displayinline-player-id="miniplayer_7698664_623db04d8e10c" data-displayinline-video-id="7698664" data-displayinline-ratio="16:9" data-displayinline="https://globalnews.ca/video/embed/7698664/#autoplay&stickyiframe=miniplayer_7698664_623db04d8e10c" data-displayinline-sticky="true"> <div class="c-video__inner"> <span class="c-video__placeholder"> <img class="c-video__image" alt="Click to play video: 'Rogers and Shaw to merge in deal worth $26 billion'" width="632" height="356" data-src="https://web.archive.org/web/20220325122944/https://i1.wp.com/media.globalnews.ca/videostatic/news/ntq32agb4q-2ijxyycucf/0315_drolet.jpg?w=1040&quality=70&strip=all" loading="lazy" srcset="" sizes="" data-srcset="https://web.archive.org/web/20220325122944im_/https://i1.wp.com/media.globalnews.ca/videostatic/news/ntq32agb4q-2ijxyycucf/0315_drolet.jpg?w=450#038;quality=70&strip=all 450w, https://web.archive.org/web/20220325122944im_/https://i1.wp.com/media.globalnews.ca/videostatic/news/ntq32agb4q-2ijxyycucf/0315_drolet.jpg?w=720#038;quality=70&strip=all 720w, https://web.archive.org/web/20220325122944im_/https://i1.wp.com/media.globalnews.ca/videostatic/news/ntq32agb4q-2ijxyycucf/0315_drolet.jpg?w=1040#038;quality=70&strip=all 1040w" data-sizes="(min-width: 1040px) 1040px,(min-width: 720px) 720px,450px"> <span class="c-video__overlay"> <span class="c-video__icon c-videoPlay__icon"> <svg class="c-icon c-icon--white c-video__play c-videoPlay__off" focusable="false"> <use xlink:href="https://web.archive.org/web/20220325122944im_/https://globalnews.ca/wp-content/themes/shaw-globalnews/assets/dist/icons/out/symbol/svg/sprite.symbol.svg?v=msjiw4cvn#play"></use> </svg> <svg class="c-icon c-icon--red c-video__play c-videoPlay__on" focusable="false"> <use xlink:href="https://web.archive.org/web/20220325122944im_/https://globalnews.ca/wp-content/themes/shaw-globalnews/assets/dist/icons/out/symbol/svg/sprite.symbol.svg?v=msjiw4cvn#play"></use> </svg> </span> <span class="c-video__data"> <time class="c-video__duration">3:16</time> <span class="c-video__title">Rogers and Shaw to merge in deal worth $26 billion</span> </span> </span> </span> </div> </div> <figcaption class="c-video__caption c-caption"> <span class="c-caption__desc">Rogers and Shaw to merge in deal worth $26 billion – Mar 15, 2021</span> </figcaption> </div><p>Shaw’s home telephone, wireless and internet services that Rogers would acquire under the deal are not subject to CRTC approval, but are being reviewed by the Competition Bureau and Innovation, Science and Economic Development Canada.</p> <div class="c-ad c-ad--bigbox l-article__ad"> <div class="c-ad__label">Story continues below advertisement</div> <div id="gpt-ad-300250-12" class="c-ad__unit" data-ad-pos="12" loading="lazy"> </div> <script> if ( typeof( gn_monetize ) !== 'undefined' && typeof( gn_monetize.Ads ) !== 'undefined' && gn_monetize.Ads.initialRequestMade() ) { // Ads script has been loaded, create the ad. gn_monetize.Ads.create( {"sizes":"[300,250]","biddable":true,"id":"gpt-ad-300250-12","lazy":true,"targeting":{"pos":12,"slotid":"gpt-ad-300250-12"},"companion":false} ); } else { // if Ads script not yet loaded, queue up ad data for initialization. var gnAdSettings = gnAdSettings || {}; gnAdSettings.ads = gnAdSettings.ads || []; gnAdSettings.ads.push( {"sizes":"[300,250]","biddable":true,"id":"gpt-ad-300250-12","lazy":true,"targeting":{"pos":12,"slotid":"gpt-ad-300250-12"},"companion":false} ); } </script> </div> <p>The deal has faced opposition from competitors and government officials. Ottawa pledged to block the full transfer of Shaw’s wireless licences to Rogers and the House of Commons industry and technology committee said earlier this month that Rogers’ bid for Shaw should not go ahead, but if it does, the government should place conditions on the deal.</p><p>The committee recommended the affordability and accessibility interests of Canadians should take precedence over all other considerations during the regulatory review process.</p><p>The CRTC said it received 365 interventions on the deal. About 334 were in support of the application, 25 were comments on the transaction and six were opposed to the deal.</p><p>Rivals Telus Corp. and BCE Inc. have also argued competition and consumer choice will be diminished, if the transaction proceeds.</p><p>Vancouver-based Telus has said that if merger goes ahead, Rogers would serve about 47 per cent of English-language broadcast subscribers and its network would reach 80 per cent of Canadians.</p><p><em>— With files from Global News </em></p> <!-- Copyright --> <div class="l-article__copyright"> <div class="c-copyright"> © 2022 The Canadian Press </div> </div> </article> <div class="l-main__articleDetails l-article__footer"> <div id="content-feedback" class="l-main__feedback"> <div class="l-main__feedbackInner"> <a class="l-main__feedbackLink c-iconLink" href="/web/20220325122944/https://globalnews.ca/pages/principles-practices/"> <img class="c-iconLink__icon c-iconLink__icon--shield c-iconLink__icon--initial" 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