TELUS Boston Consulting Group Matrix

TELUS PureFibre is a significant growth product, embodying TELUS's strategic shift from older copper networks to advanced, energy-efficient fiber-to-the-home technology. This substantial investment underpins high-speed internet delivery and the crucial infrastructure for their 5G wireless expansion.

TELUS is aggressively expanding PureFibre's reach to more households and businesses, a move directly contributing to robust fixed customer growth and increased revenue from fixed data services. For instance, in the first quarter of 2024, TELUS reported adding 56,000 net new wireless subscribers and 39,000 net new wireline subscribers, with PureFibre being a major driver of this fixed-line expansion.

TELUS Health stands out as a star in the TELUS portfolio, demonstrating significant growth and global expansion. Its impressive revenue and Adjusted EBITDA increases in early 2025, coupled with a rapidly growing global reach, highlight its strong market position and strategic acquisitions. The segment's success is driven by organic growth across various health solutions, solidifying its star status.

TELUS PureFibre is a key growth driver, representing a strategic shift to advanced fiber-optic technology. This investment fuels high-speed internet and supports the 5G network expansion. The increasing adoption of PureFibre by households and businesses directly contributes to fixed customer growth and higher revenue from fixed data services, as seen in the strong net additions in early 2024.

The Internet of Things (IoT) segment shows robust expansion, with substantial net connection additions in the first half of 2025 and a total connection base of 3.9 million. While connectivity revenue growth is moderate, TELUS is strategically enhancing its IoT offerings by developing value-added services beyond basic connectivity, aiming to capture greater value from the IoT ecosystem.

TELUS Agriculture & Consumer Goods is a strong performer, marked by notable revenue and profit increases in 2024. This segment effectively utilizes digital tools and data analytics to optimize the supply chain. Its success is attributed to the growing demand for digital solutions in food production and distribution, contributing positively to TELUS's overall financial health.

TELUS's legacy wireline home phone services, though seeing a decline in subscriber numbers, remain a stable revenue generator. These services occupy a low-growth, high-market-share segment within the telecommunications industry.

Given their mature status, these offerings require minimal ongoing investment in marketing or expansion. The consistent cash flow generated from these services is crucial for funding growth initiatives in other TELUS business units.

For instance, in 2024, while the overall wireline voice market continued its contraction, TELUS's bundled offerings helped maintain a significant portion of its legacy customer base, demonstrating the enduring, albeit declining, cash-generating capability of this segment.

TELUS's core wireless business, particularly mobile subscriptions, is a prime example of a cash cow. Despite the market being mature, TELUS maintains strong customer loyalty, evidenced by low churn rates. This segment reliably generates substantial cash flow, essential for funding other ventures and returning value to shareholders.

The company's residential internet services, especially those utilizing its PureFibre network, are also strong cash generators. These services have a solid market position due to their reliability and speed, attracting and retaining customers. This stability means less need for heavy marketing spend compared to newer services.

TELUS's legacy wireline services, while experiencing subscriber declines, still contribute consistent revenue. These services operate in a low-growth, high-share market, requiring minimal new investment. This predictable income stream is vital for supporting TELUS's strategic growth areas.

TELUS's established broadband infrastructure, including its fiber optic and LTE networks, acts as a significant cash cow. This mature asset base generates substantial revenue with relatively low ongoing operational costs, providing a stable financial contribution. For instance, TELUS's wireline segment revenue was a major contributor in 2023, with its fiber network reaching over 3 million premises.

Sales of older, less advanced equipment, often tied to legacy services, would typically be classified as Dogs in the BCG Matrix. These products are characterized by a low market share because customers are increasingly moving towards newer, more sophisticated technologies. For instance, in 2024, the market for traditional landline phones saw a significant decline in sales volume compared to mobile devices, illustrating this trend.

Products in this category usually offer low profit margins and limited sales volumes. They can become a financial drag on a company's overall growth strategy, consuming resources without generating substantial returns. In 2024, many telecommunications companies reported decreasing revenues from their legacy hardware divisions, highlighting the challenges associated with managing these declining product lines.

TELUS's legacy wireline voice services are a prime example of a 'Dog' in the BCG Matrix, reflecting a shrinking market and low growth. This segment experienced a continued year-over-year revenue decrease in 2023, driven by the shift to mobile and OTT communication platforms.

Similarly, sales of older, less advanced telecommunications equipment also fall into the 'Dog' category. The market for traditional landline phones, for instance, saw a significant decline in sales volume in 2024 compared to mobile devices, indicating low market share and profitability.

Certain declining eCommerce and fintech client revenues within TELUS Digital are also classified as 'Dogs' due to underperformance. For example, reduced revenue from technology and eCommerce clients, including Google, and a decrease in service volumes from a significant eCommerce client and various fintech clients were noted in Q1 2025.

The company also saw a dip in new connected device additions in Q3 2024, largely due to a customer phasing out older, infrequently used IoT connections, further illustrating the 'Dog' quadrant's characteristics of low usage and minimal revenue contribution.

TELUS actively cultivates strategic partnerships to expedite the rollout of its PureFibre and 5G networks. These collaborations are crucial for reaching new markets and enhancing service capabilities, aiming to solidify TELUS's position in high-growth segments.

While these alliances offer a pathway to potentially reduce upfront capital costs and accelerate deployment timelines, the direct impact on market share from these specific ventures is still developing. Success hinges on the effective integration and market reception of these expanded network offerings.

For instance, TELUS's ongoing investment in 5G infrastructure, supported by partnerships, is a key element of its strategy. By 2024, TELUS reported significant 5G network coverage improvements, demonstrating the tangible benefits of these strategic build initiatives in driving future growth.

TELUS's new digital solutions, including AI-driven offerings, are currently in their early stages of development and market penetration. While these ventures show high growth potential due to increasing digitization and AI adoption, their current market share is relatively small. Significant investment is required to build out these capabilities and capture a larger portion of the market, positioning them as question marks in the BCG matrix.

These emerging digital solutions are crucial for TELUS's long-term growth strategy, aiming to diversify revenue streams beyond traditional services. Their success hinges on continued innovation, strategic partnerships, and effective market adoption to transform them into future stars.

By 2024, TELUS Digital's new offerings contributed to revenue, indicating early traction. The company's overall investment in AI and digital infrastructure, exceeding $70 billion through 2029, underscores the strategic importance of these question mark initiatives.

The expansion into rural and Indigenous communities also represents a significant long-term growth opportunity for TELUS, despite the initial low market share and high infrastructure investment. By the end of 2023, TELUS had connected over 70,000 homes and businesses in rural areas, a number expected to grow.