MANAGEMENT’S DISCUSSION AND ANALYSIS
Understanding Our Business
Rogers Communications is one of Canada’s leading diversified communications and media companies.
Our vision is to be known for leading the enablement and delivery of seamless, customer-driven communications,
entertainment, information and transactional experiences across any device, place or time.
Wireless provides wireless voice and data communication services,
including machine to machine to both consumer and enterprise
businesses, governments and other telecommunications service
providers.Cable provides voice and data communications, home
monitoring, television and high-speed Internet services to both
consumers and businesses.Business Solutions provides voice and data
communications and advanced services including data centre based
solutions and cloud computing services to a wide range of medium to
large businesses, including other service providers, and government
either wirelessly or over our terrestrial network. Revenue generated
from these segments is generally based on monthly subscription and
network usage rates. Costs include attracting, setting-up and retaining
customers, content, and the costs of upgrading and maintaining the
underlying network.
Our wireless network is currently one of the most extensive and
advanced independent high-speed wireless data networks in Canada,
capable of supporting wireless services on smartphones, tablets,
computers and a broad variety of machine-to-machine and specialized
devices. We built the first Long Term Evolution (LTE) high speed
network in Canada, reaching nearly 73% of the Canadian population
at December 31, 2013. We also have roaming agreements with
international carriers in more than 200 other countries, including 5 LTE
roaming operators and have network sharing arrangements with several
carriers in Canada.
Our expansive fibre and hybrid fibre coaxial infrastructure delivers
services to consumers and businesses in Ontario, New Brunswick and
Newfoundland. We also operate a North American transcontinental
fibre-optic network that extends over 41,000 route kilometres that is
used to serve enterprise customers, including government and other
telecommunications service providers. In Canada, the network extends
coast to coast and includes local and regional fibre, transmission
electronics and systems, hubs, POPs and IP Routing and switching
infrastructure. The network also extends to the US, from Vancouver
south to Seattle, from the Manitoba-Minnesota border through
Minneapolis, Milwaukee and Chicago, and from Toronto, through
Buffalo, and Montreal, through Albany, to New York City, allowing us
to connect Canada’s largest markets, while also reaching key US
markets for the exchange of data and voice traffic.
Media provides television and radio broadcasting services to end
customers over both traditional broadcast networks and new digital
networks as well as multi-platform shopping, consumer and trade
publications and sports media and entertainment experiences, primarily
through its ownership of the Toronto Blue Jays. Revenue is largely
driven by advertising and, in the case of TV broadcasting and publishing
by additional revenues from monthly subscriptions. Revenue is also
generated by the sale of merchandise and event tickets. Costs include
sports programming, broadcast content (including TV studios, writers
and on air and on field talent), the cost of merchandise and the
production costs associated with each medium.
We report our results of operations in four segments, which reflect how
we manage our operations and measure our performance.
WIRELESS
see page 37
Canada’s largest provider of
wireless communications services.
CABLE
see page 41
One of Canada’s leading
providers of cable television,
high-speed Internet and cable
telephony services to consumers
and businesses.
BUSINESS SOLUTIONS
see page 45
Provides Canadian enterprises,
government and other
telecommunications service
providers and partners with