Several years ago, Telus had a message for consumers discouraged by repeated studies that found Canadians pay some of the highest wireless rates in the world. In a blog post responding to an OECD study, company executive Ted Woodhead argued “Canada really should be the most expensive country for wireless service in the Organization for Economic Co-operation and Development (OECD), but we’re not. That’s a great success story we should be celebrating.” Celebrating anything less than the world’s highest wireless prices recently came to mind as Telus tried to sow doubt in a Canadian government commissioned study that highlighted yet again the uncompetitive realities of the Canadian wireless market. The company commissioned its own report that implausibly concludes that “communications services in Canada are cheaper than the prices foreign providers would charge for the same plans.”
Post Tagged with: "crtc"
More Steps Needed: Government Commissioned Report Shows Canadian Wireless Pricing Remains Among Highest in the Developed World
The Canadian government released the 2018 price comparison of wireless pricing just before the holidays, promoting the report with a press release trumpeting “greater competition leads to reduced mobile wireless price plans for Canadians.” Despite the optimism from Innovation, Science and Economic Development Minister Navdeep Bains, a closer look at the data shows that Canadians continue to pay some of the highest wireless prices in the world. In fact, a comparison of pricing changes since the Liberals won the 2015 election reveals that Canada lags badly behind peer countries in the reduction of pricing of common wireless plans.
The Consequence of Uncompetitiveness: Canadians Ration Wireless Data As Monthly Usage Ranks Among the Lowest in the OECD
The CRTC released its overdue 2018 Communications Monitoring Report for the telecom sector yesterday, providing fresh data that confirms what millions of consumers already know: the Canadian wireless sector remains uncompetitive, leaving a dominant big three providers whose subscribers use less data than consumers in most other OECD countries. While the carriers long ago shifted away from arguments on price toward one of “quality” (ie. Canada may not be cheap for wireless but you get what you pay for), the data strongly suggests that high prices leave consumers worried about using those networks.
Stepping In It: Why Navdeep Bains’ Failing Wireless Strategy is Not a Step in the Right Direction
The CRTC’s low-cost data-only plan decision released yesterday was as unsurprising as it was uninspired. Under CRTC Chair Ian Scott, the Commission has abandoned any pretense of consumer focus, reverting to the days when Canadians perceived the regulator as a guardian of industry interests. The low-cost data-only decision, which is ostensibly designed to address a serious gap in affordable wireless services, will do little to solve the problem. Indeed, even the CRTC admitted that “none of the revised plans on their own would necessarily be enough to fill the gap identified by the Commission with respect to lower-cost data-only plans.” Those revised plans, which CRTC largely supported, would be laughably uncompetitive in most developed countries (as one expert noted yesterday, $30 for 1 GB is not a low cost data plan).
Telecom Train Wreck: Why It Is Time for the Government to Address the Mess That Is The CRTC
The continuing consumer group boycott of the CRTC’s Internet code proceeding was raised directly with Prime Minister Justin Trudeau during Question Period in the House of Commons yesterday. NDP MP Brian Masse noted “the CRTC says it wants to establish a consumer Internet code of conduct, but has failed to provide sufficient time for consumer groups and the public. The result is a boycotted and broken system.” Trudeau’s responded that the government was proud of working with the CRTC and included a parting shot at the NDP, commenting on its support of a taxes on Internet usage. Regardless of the NDP position on an Internet tax (Masse says he opposes one), what is notable is that it is the CRTC that has emerged as a vocal supporter of an ISP tax. CRTC Chair Ian Scott’s decision to back an ISP tax as part of a larger scheme to regulate Internet-based services not only runs counter to Trudeau’s opposition to an Internet tax but it also points to a regulator that is increasingly anti-consumer in approach.
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