The CRTC (Canadian Radio-television and Telecommunications Commission) has announced plans to review Mobilicity’s (formerly DAVE Wireless) ownership structure to ensure that it meets Canadian ownership rules. In a letter to Mobilicity, CRTC Secretary General, Robert A. Morin, describes the company’s ownership as “of a sufficiently complex nature.”
Last year, the CRTC undertook a similar review into Globalive’s (WIND Mobile’s parent company) ownership structure and eventually ruled that it did not meet Canadian regulations. As a result, WIND Mobile found itself unable to launch until the decision was overturned by the Canadian federal cabinet.
Mobilicity will face a Type 2 review unlike Globalive which underwent a more stringent Type 4 review. Another difference between the two reviews is that the CRTC will not accept submission from third parties (including the incumbent carriers).
The CRTC letter does suggest that Mobilicity will have a smoother ride than Globalive. “The ownership structure of DAVE Wireless appears to comply with the legal control requirements of the Act.”
The CRTC also announced a review of Public Mobile’s ownership last December.