Telus is the first wireless company in North America that signed contracts with providers of adult material. While adult content is freely accessible by all companies, Telus claims that this way, it is providing it in a safe, secure and legal manner. The company has started doing so after discovering that half of the top 25 web sites accessed by its customers are adult sites.
The details about the archdiocese's contracts with Telus weren't provided, but regardless, Catholics in general are unhappy. Archbishops are actually going to discuss this with schools and parishes, and followers may boycott Telus should the Archbishop cancel services. In a country where a third of the population is Roman Catholic, this could present itself as a problem.
On the other hand, the market for wireless data download is expected to boom and, according to industry researcher SeaBoard Group, revenue from downloading adult content to handsets may generate $900 million worldwide by 2008. Telus naturally wants a piece of that. Already Telus's revenue per customer for wireless data grew 79% in the third quarter. Telus did not disclose how much the company makes from downloads of erotic content, but it charges C$3-4 for a single still image or a 1- minute to 2-minute video clip.
Analysts and the company believe the issue will fade away after a few headlines arising from the fact that Telus is first mover here. I don't see the church disconnecting from its ISP or refusing to air church channels beside porn channels on cable and satellite carriers. The church knows it will have no choice once all the other providers will offer a similar service -- which undoubtedly they will -- or the church will stay wireless-less.
Will Rich Ross really have a positive impact on Disney's movie operations?
Consumers sick of recession, may spend extra on holidays
Corrections, seasonality and Santa Claus
