Bell just announced it may merge with Telus. My telco sources tell me that the regulatory hurdle they may have to clear may not be as steep as they might have been 10 years ago or so. Bell-Telus may be able to say that the cable companies and upstarts like Skype are reasonable competition and that’s why they need to merge. Here’s the press release from Bell:
Strategic review process: BCE signs non-disclosure and standstill agreement with TELUS Corporation to explore possibility of a business combination
MONTREAL, Québec, June 20 /CNW Telbec/ – The Strategic Oversight
Committee of the Board of Directors of BCE Inc. (TSX/NYSE: BCE) today
announced that TELUS Corporation has entered into discussions to explore the
possibility of a business combination with the Company. BCE and TELUS have
entered into a mutual non-disclosure and standstill agreement on a
non-exclusive basis.
The Company had previously announced its intention to review all
strategic alternatives with a view to further enhance shareholder value. The
review is currently expected to be completed in the third quarter of 2007.
No assurances can be provided that any offer, if made, by any entity or
group, now formed or to be formed in the future, will be accepted by the Board
of Directors or that this review of alternatives will result in any specific
action being taken by the Company.