The CBC is reporting that the 2014 federal budget, which is scheduled to be tabled tomorrow, will feature money to “extend or improve high-speed Internet access to 280,000 households and businesses in rural and remote areas.” A new commitment to broadband access, which was promised in last fall’s speech from […]
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Who Gets a Large Share of Access Copyright Education Licensing Revenues?: US Publishers Say They Do
As the Canadian education community continues to shift away from the Access Copyright licence, relying instead on a combination of site licenses for materials, open access, fair dealing, and individual transactional licences, U.S. publishers are now urging the U.S. government to pressure the Canadian government to take action. The IIPA, […]
CIRA Commits One Million Dollars to Improving Canada’s Internet
The Canadian Internet Registration Authority, the organization that manages the dot-ca domain, has unveiled an exciting new initiative that will deliver a million dollars toward community projects, research, and other related activities (full disclosure: I am a member of the CIRA board and chair of the committee that will review […]
Competition Bureau Raises Wireless Competition Concerns, Concludes Big Three Have “Market Power”
The Competition Bureau of Canada has just released its submission to the CRTC’s consultation on domestic roaming rates and with it left no doubt about its concerns with the state of wireless competition in Canada. Despite repeated efforts of the big three incumbent providers to argue that the Canadian market is competitive, the Competition Bureau has concluded that the big three enjoy “market power.” As the Bureau notes, market power is “the ability of a firm or firms to profitably maintain prices above competitive levels (or similarly restrict non-price dimensions of competition) for a significant period of time.”
Given its market power, the Bureau finds the wireless incumbents can use roaming to shield themselves from competition. It states:
“Incumbents can use the terms and conditions of roaming agreements to raise their rivals’ costs such that incumbents are shielded from the full effect of their the rivals’ (i.e., entrants) entry. Making it more costly for entrants to access incumbent networks through roaming agreements is one way for an incumbent service provider to relax competitive pressure.“