Cost savings that Rogers argues will result from Shaw takeover ‘grossly exaggerated,’ says Competition Bureau

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Under Canadian competition law, companies can argue that the cost savings a contested merger would create would be greater than the harm to consumers from lessened competition

The economic efficiencies that Rogers Communications Inc. claims would result from its $26-billion takeover of Shaw Communications Inc. are speculative, “grossly exaggerated” and based on unrealistic assumptions and flawed methodologies, Canada’s competition watchdog says.

Rogers has argued that the Competition Bureau failed to weigh the effects of the deal on competition – which the telecom says would be “minimal to none” – against the economic efficiencies that the deal would create.

 

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And most likely ⬇️

Cost savings for Rogers are the drivers. Certainly not savings for customers. Do they really think we are so gullible ?

Rogers is arguing that the cost savings Rogers will receive by letting 25,000 people go is more hurt than the consumer will hurt. How is this an argument and a selling point for a merger?

Competition bureau fell for their ruse...public get to pay for it...ffs...now you need to let American ISPs in to have any chance of competitive pricing

Todays an example Rogers

Both companies have a lot of people. Roger's has 26,000. Merging will result in drastic headcount reduction which is the low to middle class and Roger's claims it's still less impact than to the consumer. Aren't employees consumers too?

Tell Rogers to provide a $$ number of the savings then show how they will give it to customers through lower rates. Have them provide details on this so it can be followed up to make sure they carried it through.

Duh!

Yah.... I get 25 GB of mobile date for $25 with Shaw. Will Rogers continue to offer that? I see on their website they usually rip off $75 for that amount of data. Bloody joke.

Ha ha

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