NMI Mobility to launch cellular service in Iqaluit
$500,000 investment

Doug Ashbury
Northern News Services

NNSL (Jan 18/99) - Let the "celling" begin.

Iqaluit residents will soon, for the first time, have local cellular telephone capability, says service provider NorthwesTel Mobility Inc.

Cell phones and various packages will be available through the Radio Shack store in Iqaluit on Jan. 25, according to John Bens.

Bens is the general manager of Arctic Ventures which owns the Iqaluit Radio Shack dealer store.

Bens, and Radio Shack manager Kathleen Brodrick, recently attended a dealer training program at NMI Mobility's offices in Whitehorse.

"We've had people coming in to ask about it and we think it will be successful," Bens said.

People who wish to buy a phone and service can choose from different plans depending on their needs. Customers will be able to switch to different plans without penalty.

One option is the saver plan which costs $24.95 a month plus 65 cents for every minute of air time. Long- distance charges apply.

As an option, customers can spend $10 and get unlimited evening air time. For another $10, customers can get unlimited weekend air time. Another plan comes with a higher monthly fee but gives lower per-minute charges.

There is also a corporate plan under which businesses would be required to buy five phones.

The cell phones costs range from $79 to $129 if bought with a plan. Buying just the phone will run $199 and up.

The Iqaluit prices are competitive with Yellowknife prices. In the North, Yellowknife, Hay River -- and soon Iqaluit -- have NMI Mobility cell service.

"While we have attempted to cost justify bringing cellular service to Iqaluit, and others, for some time, the demand for communications infrastructure that comes with being named Canada's newest capital, provided us with the break we needed in our business case," Glenn Nicol, NMI Mobility vice-president and general manager.

NMI Mobility is spending about $500,000 to put the cell in Iqaluit. The infrastructure includes a tower as well as a building to house electronics and back-up systems.

The service will cover an 18-kilometre radius around Iqaluit. Apex is well within this zone.

Nicol said the company is extremely optimistic that local demand for cell phones, combined with an influx of cellular-phone users from the south, will validate the decision to set up the service.

The company is continually evaluating possible new Northern communities -- specifically Rankin Inlet and Fort Smith -- as cellular candidates. But low populations limit the viability of setting up cells in smaller communities. Ideally, NMI Mobility would like to have a minimum population of 4,000 in a Northern community to justify the $500,000 investment.

NMI Mobility does not use revenue from one cell to subsidize another.

Each site must stand on its own, Nicol said.

As NMI Mobility is a member of Mobility Canada, Iqaluit cell phone customers will be able to use their cell phones anywhere in Southern Canada covered by Mobility Canada.