CEO's letter to our investors
Looking ahead
The competitive pressures under which TELUS operates continue to intensify. Four new market entrants have launched wireless service in various urban centres across Canada. Cable-TV companies continued their marketing of telephony services and one began offering wireless service in Quebec in the fall of 2010. In response, Bell and Rogers have also re-launched or introduced new discount brands. TELUS will also face additional competitive pressure from Shaw Communications' planned entry into the wireless market in B.C. and Alberta announced for early 2012.
Despite these competitive challenges, exciting growth opportunities remain for TELUS and our investors. These are primarily related to continued wireless growth, successful Optik TV loading and the improved economic returns from both our elevated focus on the small and medium business market and the implementation of our large enterprise data contracts. We are also committed to realizing the benefits of delivering an improved client experience.
On the regulatory front, a number of developments are expected to be addressed in 2011 by Industry Canada or the Canadian Radio-television and Telecommunications Commission (CRTC). These include decisions about foreign ownership restrictions, usage-based billing and rural broadband require- ments. Furthermore, the CRTC will be holding a hearing on content ownership and fair access. We will be looking for the CRTC to implement regulatory tools and measures that deal with anti-competitive behaviours regarding content and ensure that consumers continue to be able to access content on reason- able terms regardless of the platform or carrier they choose. We are encouraged by the precedent-setting decision of the CRTC regarding Videotron's programming exclusivity, as well as the actions taken by the CRTC relating to Shaw Communications' acquisition of Canwest Global and measures taken in the U.S. relating to Comcast's acquisition of NBC Universal. Investors should also monitor Industry Canada's consultations regarding the rules for the spectrum auctions expected in 2012.
2011 corporate priorities
Every year, we set corporate priorities to help our team advance our national growth strategy, which are to:
- Deliver on TELUS' future friendly brand promise to clients
- Optimize TELUS' leading wireless and wireline broadband networks
- Drive market leadership position in small and medium business and healthcare markets
- Continue to improve TELUS' operational efficiency to effectively compete and fund future growth
- Raise TELUS team engagement to the next level and continue to drive the philosophy of "our business, our customers, our community, our team, my responsibility."
A message from our CEO
Learn how we are realizing the benefits of our major strategic investments.
Watch video messageOur collective agreement with the Telecommunications Workers Union for 11,000 team members across Canada expired in November 2010. Negotiations are well underway and, although there can be no assurance that a labour disruption will not occur, we are optimistic that a mutually beneficial agreement will be reached in the coming months that is reflective of the competitive and economic conditions in which we operate.
To help us address these challenges and opportunities and respond effectively in this highly competitive market, we have set five corporate priorities for 2011, which are shown in the sidebar.