Rogers-Shaw deal huge impact on Calgary: economic experts

The largest telecommunications deal in Canadian history carries a major change to the communications landscape in Calgary.

The Calgary-based Shaw brand and the Shaw family is seen as a western Canadian staple since 1966.

“I would be happy to go nose to nose with anybody else who thinks this is a bad deal,” said Bob Schulz, professor, Haskayne School of Business.

“If we do this right, Alberta Is going to be an amazing centre for telehealth. Everybody in the world wants and needs that, everybody wants skills to go to rural areas, everybody wants jobs to move to rural areas.”

Schulz adds the merger will also contribute to Calgary’s development in technology.

“It changes the landscape in terms of having the ability to not only use new technologies in Calgary and western Canada, but particularly for rural and Indigenous — that’s a global business. and I’m gonna be in the front row encouraging Rogers and old Shaw people to go together and make a difference in the world,” Schulz said.

The president and CEO of Calgary Economic Development, Brad Parry agrees, saying it is a great step forward and will allow Calgary businesses and the community to grow.

“We’re excited to have them come here and really set up Shaw in a big way and rebuild some of the things that we are doing. It’s a testament that talks about the great talent that we have and the ecosystem being built here,” Parry said.

READ MORE:

• Decision expected Friday in $26B Rogers-Shaw merger

• Feds approve Rogers multi-billion dollar takeover of Shaw Communications

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In response to the $26-billion deal which includes 6 billion in acquired debt from Shaw, Minister of Technology and Innovation Nate Glubish said in a statement the government will hold Rogers to its commitment to create 3,000 jobs in western Canada and maintain them for at least 10 years, as well as establishing a headquarters in Calgary.

“Building in a fines-based framework for not meeting the conditions of the merger is a good first step to delivering reliable, affordable high-speed internet to unserved and underserved communities,” said Minister of Technology and Innovation Nate Glubish in a statement.

“While the telecommunications industry is under the exclusive jurisdiction of the federal government, we will hold Rogers and Shaw to their commitments outlined in this deal and protect Albertans’ interests going forward.”

Shaw family name to live on through other positive endeavours

Both Schulz and Parry believe the Shaw family name will continue to positively impact our society through other routes.

“For Calgary, It’s actually…could be a bonanza. Because you’re gonna have the Shaw family with lots of money, and they’ll put it into trusts, pay the taxes, and then the family is gonna probably be involved in philanthropy which they’re already doing! That could drive health, wellness, and lots of other things in Calgary, where there’s a future of our city and for our province,” Schulz said.

“I definitely know for a fact that the family and a lot of the people that are at Shaw right now will continue to make huge impacts going forward,” Parry added.

The deal received final approval from Ottawa on Friday, giving Rogers the green light to acquire Shaw Communications Inc. meaning the deal has cleared its final regulatory hurdle just over two years after it was first announced.

Rogers is the parent company of CityNews.