Rogers Communication Inc. (RCI - Free Report) , one of the leading telecom carriers of Canada, has declared that it will expand its superfast LTE (Long Term Evolution) network to 44 new markets this spring and extend further to 95 markets by the end of 2013.
The 2600 MHz spectrum band provides higher speed over the same distance, thus allowing the carriers to provide superfast internet service to customers. Rogers will be using its blazing fast 2600 MHz LTE spectrum in all the markets and the LTE customers in 34 of its 44 new markets will be able to garner a maximum network speed of 150 Mbps (Megabits per second). However, in order to benefit from this, LTE customers need to have 2600-enabled devices. Presently, Rogers offers four such devices including the LG Optimus G2600.
Rogers has more LTE network deployed in the 2600 MHz spectrum than any other carrier in Canada as its rival operators mostly use the 1700 and 2100 MHz spectrum band to offer LTE services. The network expansion will provide million plus Canadians living in Alberta, Ontario, Quebec and Atlantic Canada access to the country’s fastest wireless network.
Currently, Canadians are using their smartphones and tablets to download large files stream HD movies and videos and enjoy various games online. Transferring such huge amounts of data exert pressure on networks, resulting in slow network speed. Rogers remain committed to invest in LTE network and LTE-based devices to meet this growing demand for mobile internet services.
As per the research firm His iSuppli, LTE subscriber base is expected to grow more than double in 2013 to 198.1 million as compared to 2012, thus registering an annualized growth of 115%.
We believe Rogers’ superfast LTE service is capable of managing the unprecedented growth of mobile Internet users in Canada.The expansion will position Rogers much ahead of its nearest rival, BCE Inc. (BCE - Free Report) , with LTE coverage in the 2600 MHz band.
Other Stocks to consider
Currently, RCI Inc. carries a Zacks Rank #2 (Buy). Some other stocks to consider in the telecom industry are Comcast Corporation (CMCSA - Free Report) and Liberty Global Inc. (LBTYA - Free Report) . Both Comcast and Liberty Global carry a Zacks Rank # 2 (Buy).