Archive for October, 2013

Government to Mandate “Pick-and-Pay” Pricing Option for Television Services

The government’s Speech from the Throne is set for this Wednesday with a “consumer first” agenda reportedly a focal point of the upcoming legislative agenda. Industry Minister James Moore discussed the speech over the weekend, pointing to a range of targets including wireless competition, wireless roaming fees, and the bundling of television channels that forces millions of consumers to purchase channels they do not want. Moore says that the government will require cable and satellite providers to offer a pick-and-pay option to consumers, though it is not clear which legislative tool they will use to do so. I wrote about the forthcoming throne speech last month, pointing to pick-and-pay services as a potential policy reform.

I also wrote about the benefits of a pick-and-pay system last year, arguing that the “broadcast community has long resisted a market-oriented approach that would allow consumers to exercise real choice in their cable and satellite packages, instead demanding a corporate welfare regulatory framework that guarantees big profits and mediocre programming.” This is particularly true of Bell Media, Canada’s largest media company that has been among the most vocal in opposing consumer choice. In a hearing before the CRTC that focused on consumer choice, Bell said that “we are dreadfully fearful of a penetration decline that would wipe out revenues that are necessary to support the obligations of these services.” It reiterated its opposition when asked directly, claiming “there will be a potentially dramatic penetration drop, and hence volume drop and hence revenue drop, as repackaging moves along the continuum to, you know, set packaging all the way to standalone.”

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October 15, 2013 14 comments News

Government Launches Consultation on Rules for ISP Notice-and-Notice System Amid Shift in Priorities

Industry Canada and Canadian Heritage launched a consultation yesterday on the rules associated with the Internet service provider notice-and-notice system that was established in Bill C-11, the copyright reform bill enacted in June 2012. Responses to the consultation are due by November 8, 2013. Most of the bill took effect in November 2012, but the government delayed implementation of the ISP rules, with expectation of a consultation and regulations to follow. It has taken nearly a full year, but the consultation was sent to undisclosed stakeholders with the promise to bring the notice-and-notice system into effect “in the near future.”

The notice-and-notice system allows copyright owners to send infringement notices to ISPs, who will be legally required to forward the notification to their subscribers. If an ISP fails to forward the notifications, it must explain why or face the prospect of damages that run as high as $10,000. ISPs must also retain information on the subscriber for six months (or 12 months if court proceedings are launched). Copyright owners may also send notifications to search engines, who must remove content that has been removed from the original source within 30 days. The notices must meet a prescribed form that includes details on the sender, the copyright works and the alleged infringement.

Despite some expectation that the consultation would place several issues on the table – form issues for notices, data retention, and costs for notices among them – the language used in the consultation letter suggests that the government is likely to simply bring the rules as articulated in the law into effect with no further regulations at all. It states:

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October 10, 2013 42 comments News

noticeoriginalconsult

noticeandnoticeoriginalconsult.pdf

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October 9, 2013 Comments are Disabled General

Noticeconsultationletter

Consultation Letter – lettre de consultation.pdf

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October 9, 2013 Comments are Disabled General

Canadian Government Quietly Pursuing New ISP Code of Conduct

With the cost of cybercrime in Canada on the rise – a new report released last week by Symantec, a security software vendor, pegged the cost at $3.1 billion annually – my weekly technology law column (Toronto Star version, homepage version) reports that the Canadian government is quietly working behind-the-scenes to create a new Internet service provider code of conduct. If approved, the code would be technically be voluntary for Canadian ISPs, but the active involvement of government officials suggests that most large providers would feel pressured to participate.

The move toward an ISP code of conduct would likely form part of a two-pronged strategy to combat malicious software that can lead to cybercrime, identity theft, and other harms. First, the long-delayed anti-spam legislation features new disclosure requirements for the installation of software along with tough penalties for non-compliance. Recent comments from Industry Minister James Moore suggest that the government is ready to bring that law into effect. Second, the code of conduct would require participants to provide consumers with assistance should their computers become infected.

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October 9, 2013 7 comments Columns