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Industry Canada Modifies Treatment of Enhanced Specialized Mobile Radio Under the Spectrum Cap

OTTAWA, April 7, 2003 — Industry Canada announced today a change in the treatment of individual radio frequencies used for high-mobility telephony cellular services, such as Enhanced Specialized Mobile Radio, under the mobile spectrum cap policy.

In addition to regular cellular telephone service, Enhanced Specialized Mobile Radio offers group calling or radio dispatch, which are features used by many industry groups, including natural resources, construction, emergency services and public safety.

Until today, spectrum for this service was treated the same as the frequency block used by cellular and personal communications services. Wireless carriers are limited to holding a maximum of 55 megahertz of mobile spectrum according to the 1999 spectrum cap policy.

In late 2001, Industry Canada was petitioned to modify the treatment of Enhanced Specialized Mobile Radio frequencies under the cap due to the different nature of the spectrum, as compared to cellular and personal communications services. Also, in several cities, demand for Enhanced Specialized Mobile Radio service was near exceeding the 55-megahertz limit.

Having given full consideration to submissions gained from a May 2002 public consultation on the matter, Industry Canada has decided to change the calculation of discrete frequencies used for high-mobility telephony cellular services, such as Enhanced Specialized Mobile Radio. This action will enable carriers to devote 10 megahertz of their 55-megahertz cap toward the service. Along with this, carriers will be allowed to add more Enhanced Specialized Mobile Radio spectrum without it counting against the cap.

Through this decision, Industry Canada is enabling Enhanced Specialized Mobile Radio and similar services using discrete frequencies to expand and meet market demand. This decision supports the Government of Canada's commitment to smart regulation made in the Speech from the Throne. Improving regulations helps to sustain economic growth, create jobs and foster innovation.

The Canada Gazette announcement regarding these changes can be found online at http://strategis.ic.gc.ca/epic/internet/insmt-gst.nsf/en/h_sf01845e.html.

For more information, please contact:

Media Relations
Industry Canada
(613) 943-2502