Going concern

David Baxter, CA
President & CEO
Westman Communications Group

Company profile: Brandon, Man.-based Westman Communications Group (WCG) provides digital cable, high-speed Internet and data-networking services to western Manitoba. Started in 1977 as a co-operative, WCG is owned by its 28,000 member/customers in the residential, government and business sectors. They also elect the board of directors and allocate profits. Profits are funneled into business development rather than returned as dividends. For example, in 1997 the company invested in infrastructure by establishing a fibre-optic network, thereby laying the foundation for future digital goodies.

Hot factor: WCG’s revenues grew to about $18 million in 2004, a 25% annual increase. It is one of the first cable companies in North America to offer all its television services in fully digital format. Digital cable provides a sharper picture and clearer sound, even on old-fashioned analog TV sets, and offers choices such as time-shifted programming and digital music.

Cool projects: WCG is thinking about entering the telephony business, noting that services offered by phone and cable companies will be virtually indistinguishable in a few years. According to Toronto-based Convergence Consulting, Canadian cablecasters are introducing “triple-threat” packages of digital cable, Internet and phone services to increase their competitive advantage over rival phone giants.

In his own words: “Our members need to be kept happy as customers rather than as investors — and great customer service makes them happy. We want the technology to be transparent so they aren’t worrying about analog or digital or whatever.”

Rosie Lombardi