5% share); and Telus has 6.1 million subscribers (29.7%). The cell phone industry's wireless providers partner with cellular phone and wireless device manufacturers in order to provide devices to consumers. In the third quarter of 2008, an estimated 3,000,000 devices were shipped, indicating strong device turnover nationwide. The market leader in devices is Samsung, with a 27.8% share (Samsung/IDC, 2008). The market is still growing, despite the economic downturn, with a growth rate of 4% expected for 2009 (IDC, 2009).

One strong segment in the industry is the advanced smartphone industry (Blackberry, iPhone). This segment now accounts for 21% of the market, driven by an under-30 demographic (Persaud, 2009). These devices are marketed through the usual providers. Blackberry has deals with all three providers; the iPhone is marketed exclusively through Rogers. The other main segment is the general wireless (regular cell phone) market.

The government plays a major role in the cell phone business in Canada. Extensive regulation is carried out by the Canadian Radio-television Telecommunications Commission (CRTC). The CRTC regulates the industry tightly, including guidance on pricing and protecting the market from new entrants. The auction represented the first time the CRTC opened the market up. At present, the...

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