Kure Technologies Inc V.KUR.H

So what''s the consensus?

[DAbramov]

I'm of the opinion that the clarification on network build-out will make it more difficult for companies like Quebecor and MTS to come in alone.... and in fact, I would even go as far as to suggest that even if they partner together, they will still have an extremely difficult time both financing the project and cracking the wireless market. The upstart costs of building out a national network combined with fees resulting from the spectrum auction will pose significant financial hardships for both entities. It may be, and again, this is purely speculation, that both companies will partner and only bid on a specific subset of the set-aside spectrum (i.e. 10MHz). Simultaneously, they may choose to partner with Look Communications and therefore save on the additional costs of bidding on spectrum. This will enhance their business case as they will have: 1. access to a national network (i.e. their own) 2. roaming rights on incumbents network 3. competitive advantage of additional spectrum that does NOT have to fall under the roaming provisions as is the case for the AWS spectrum currently on the auction block. Elaborating further, what I am suggesting here is a 3-way partnership (and perhaps even 4-way if T-Mobile jumps on the bandwagon, as it did with Fido), that will see Look, MTS, and Quebecor join forces. The greatest drawback of this plan is that an arrangement of such magnitude may be extremely difficult to broker. Nonetheless, for those shareholders who have stuck around long enough to know this, we have seen something of similar proportions proposed for Canada just prior to the buy-out of Microcell by RCI. The estimated cost for a nation-wide network was then ballparked at $130M, I believe the costs this time around will be SIGNIFICANTLY higher. With all due respect, I look forward to your replies. D-man