CRTC approves Rogers’ acquisition of Shaw broadcast services

The Canadian Radio-television and Telecommunications Commission (CRTC) has approved Rogers Communications acquisition of Shaw Communications broadcasting services, subject to some conditions and modifications.

This is a major first step in Rogers’ $26 billion bid to acquire the Calgary-based telecommunications company.

The CRTC is requiring Rogers contribute $27.2 million to various initiatives and funds, including those that support the production of content by Indigenous producers and members of equity-seeking groups. The figure is five times more in benefits to the broadcasting system than it had originally proposed.

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.

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.

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.

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.


RELATED: House of Commons committee says Rogers’ proposed takeover of Shaw should not proceed


The CRTC is imposing safeguards to ensure independent programming services are not placed at a disadvantage when negotiating with Rogers and also imposed safeguards to ensure that cable providers relying on signals delivered by Rogers will continue to be able to serve their communities, including those in rural and remote areas.

The home telephone, wireless and Internet services that Rogers is also seeking to acquire from Shaw are not subject to this approval and are being reviewed by the Competition Bureau and Innovation, Science and Economic Development Canada.

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.

Rivals Telus Corp. and BCE Inc. have also argued competition and consumer choice will be diminished, if the transaction proceeds.

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.

NOTE: Rogers is the parent company of this website.

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