DAILY NEWS Jun 6, 2012 7:00 AM - 0 comments

Wireless sector's contribution to Canadian economy reaches $43-billion

Report provides an economic assessment of the benefits of the wireless telecommunications industry

TEXT SIZE bigger text smaller text

Canada’s wireless industry generated $43-billion for the Canadian economy in 2010 according to a report released by the Canadian Wireless Telecommunications Association (CWTA). The report, produced by UK-based Ovum Consulting, quantifies the economic impact of Canada’s wireless sector in terms of gross domestic product (GDP), investment and employment.

Ovum determined the wireless communications services industry directly contributed $18-billion to Canada’s GDP and provided an additional $15.66-billion of economic flow through to contributing suppliers in the supply chain. The sector also generated a consumer surplus – the additional benefit or satisfaction that consumers receive from wireless services, above and beyond what they pay for the services – of $9.31-billion.

“Canada’s wireless industry has once again demonstrated its critical importance to our country’s economy and prosperity,” says CWTA President & CEO Bernard Lord. “The industry remains committed to ensuring that Canadians are provided with the most advanced and reliable wireless networks available.”

The report also examines the extraordinary investments made by the industry. In 2010, the industry deployed $2.5-billion in capital expenditures, which represented more than 14% of aggregate Canadian mobile operators’ revenues. This level of capital intensity was greater than the average for North America, which was 13.3% in 2010.

Ovum also determined the wireless industry supported more than 260,000 jobs in 2010. The wireless sector continues to provide high value employment, with an average salary level of more than $64,000, compared to the Canadian average salary of just more than $44,000.

Request Reprint

Horizontal ruler

Horizontal Ruler

Post A Comment

Note: By submitting your comments you acknowledge that Electronic Products and Technology has the right to reproduce, broadcast and publicize those comments or any part thereof in any manner whatsoever. Please note that due to the volume of e-mails we receive, not all comments will be published and those that are published will not be edited. However, all will be carefully read, considered and appreciated.

Your Name (this will appear with your post) *

Email Address (will not be published) *

Comments *

* mandatory fields