Wireless Boom—Strong growth in wireless subscriptions, together with demand for ancillary services, is driving growth in the telecommunications industry.
Prices—Heavy price competition will continue to limit the industry’s profit growth over the forecast period. New entrants in the wireless segment will only aggravate this trend.
Weaker Economy—Although growth in the telecom industry is not highly correlated with the rest of the economy, weaker income and profit growth in Canada will still translate into slower growth in demand for telecom services in the near term.