Mobilicity files complaint about Rogers' Chatr

New wireless player Mobilicity has filed a complaint with the Competition Bureau against Rogers' unlimited talk and text service Chatr, saying it's too similar to its own unlimited talk and text offering.

Mobilicity alleges that Rogers is in breach of Section 78 of the Competition Act which prohibits market leaders from using "fighting brands to discipline or eliminate a competitor."

The filing was also made with other government agencies.

"We are strong proponents of a healthy, fair and sustainable competitive environment in Canada's wireless sector, and we are confident that the Competition Bureau and federal government will ensure this remains the case," said chief operating officer Stewart Lyons.

Mobilicity was one of the new competitors that emerged after the federal government sold additional spectrum the radio frequencies over which mobile phones operate in a 2008 auction that raised $4.25 billion for Ottawa.

Part of the available spectrum was set aside for newcomers, as part of the government's goal of promoting competition in Canada's wireless industry which had been reduced to Rogers, Bell and Telus after years of takeovers.

Chatr joins Rogers Wireless and Fido as the third wireless service offered by Rogers.

Bell has relaunched its Solo brand as an unlimited talk and text offering and Telus owns discount brand Koodo.

Toronto-based Mobilicity had previously announced in July that it would pursue legal action against Rogers over its Chatr service.