The second day of the CRTC hearing on usage based billing left the Commission with three fairly divergent views on Canadian networks, traffic management, and the wholesale tariff (coverage from the Globe, Cartt.ca, Wire Report). While Bell focused on network congestion in its presentation on the first day, the cable providers and independent ISPs provided a much different perspective, focusing instead on incentives to invest (cable) and competition (independent ISPs).

  While the cable and independent ISPs provided most of the substantive debate, the much-anticipated appearance of Open Media garnered the most fireworks. Open Media (and CIPPIC) were told that much of their submission was outside the scope of the proceeding, since it focused on retail UBB and the Commission had already rejected extending the hearing to cover those issues. Instead, it faced questions about its membership, funding, and self-interest as well as shocking questions from new CRTC Commissioner Tom Pentefountas, who asked “I am trying to find out what is undemocratic about the system we have right now ‘allowing a few companies to control the Internet access market would be irresponsible and undemocratic’.” The question came in the context of questions that suggested independent ISPs were tremendously profitable without needing to invest in networks. While many Commissioners have asked informed, tough questions over the first two days of all sides, that line of questioning is precisely the sort that generates public skepticism about the CRTC.

Once Open Media was done, the floor was open to lengthy sessions with both the cable companies (Rogers, Videotron, and Cogeco) and independent ISPs. The cable companies provided a well organized opening presentation that avoided the focus on network congestion (the word congestion was barely mentioned) and instead emphasized the complexity of networks, the differences between cable networks and Bell’s network, and the need for policies to encourage ongoing investment. 

Read more ›