q & a
questions & answers
Could the integration of TELUS’ wireless and wireline operations cause the company to lose focus on the growing and competitive Canadian wireless market?
No, in fact it is quite the opposite. The integrated structure focuses our business on customer groups rather than distinct products, enhancing our focus on the expanding wireless market while strengthening our ability to deliver applications to our customers over a wired and wireless medium.
Consistent with TELUS’ national growth strategy to provide integrated solutions, the merger is designed to:
- Advance our industry-leading strategy;
- Achieve meaningful commercial differentiation in the markets we serve;
- Capitalize on the technology convergence of wireless and wireline; and
- Drive continued operating efficiency and effectiveness.
Our ability to offer a full range of services, including wireless, is a competitive advantage for TELUS. Furthermore, many of the new communications solutions, like wireless home networking or TV broadcasting, increasingly involve converging wireline and wireless technologies that support the delivery of the aforementioned data applications. Bringing our wireline and wireless operations together presents another significant opportunity to harness our broad multi-product capabilities to more effectively differentiate ourselves from our telecommunications and cable-TV competitors.
Combining these customer-facing business units allows TELUS to offer a better one-stop customer experience and align our technology infrastructure. Moreover, the merger should realize increased efficiencies from a consolidated operation that support robust margins, as well as EBITDA and cash flow growth. It also facilitates improved productivity by permeating best practices and concentrating our leadership talent pool following the consolidation of our wireline and wireless operations.
Wireless remains a key value driver for TELUS and a critical growth area in both our consumer and business markets. TELUS recognizes the importance of maintaining separate wireless operating indicators and financial results to ensure strong management financial controls and, as well, to support an accurate investor valuation perspective. Therefore, TELUS’ wireless and wireline operating results will continue to be reported separately in the public domain, allowing investors to properly value TELUS.
Combining TELUS’ wireless and wireline operations into one operating structure is entirely consistent with TELUS’ national growth strategy to provide integrated data and wireless solutions that differentiate TELUS in a meaningful way. This integration clearly strengthens our focus on being one team, united under one strategy and defined by one brand.
Darren Entwistle
President and Chief Executive Officer
Member of the TELUS Team