Post Tagged with: "crtc"

The Challenge of Enforcing the Do-Not-Call List Against Foreign Telemarketers

Last October, the CRTC announced that it was taking action against two India-based companies for violating Canada’s do-not-call list. The action against Pecon Software Limited was particularly noteworthy, as the Commission ordered a stop to the violations and payment of $495,000. Andrea Rosen, the CRTC’s Chief Compliance and Enforcement Officer was quoted as saying that “foreign-based telemarketers have been put on notice that they must comply with our rules when calling Canadians.”

The tough talk was welcome, but months later, the CRTC has struggled to get Pecon Software to pay up. Liberal MP Lawrence MacAulay asked the government to provide an update on the action and Canadian Heritage Minister James Moore provided the following update to the House of Commons on Friday:

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April 22, 2013 13 comments News

Debate Over Wireless Competition in Canada Continues in the House of Commons and on the Air

The debate over the state of wireless competition in Canada continues to rage. Last week, I appeared on CBC’s The Current, as part of a 30 minute segment devoted to the wireless industry. The issue was also discussed during Question Period at the House of Commons, with Industry Minister Christian Paradis focusing on competition and consumers:

We want to enhance competition and investment in this country, and this is why we adopted this policy back in 2008 for the AWS spectrum. Let me say that the price went down by an average of 11% since then, and we will continue this way with the 700 megahertz spectrum. We launched consultation with the industry to make sure that we enhance competition and provide better choice and better rates for our consumers.

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April 22, 2013 Comments are Disabled News, News Interviews, Podcasts, Tv / Radio
Canadian Wireless Reality Check: Why Our Wireless Market is Still Woefully Uncompetitive

Canadian Wireless Reality Check: Why Our Wireless Market is Still Woefully Uncompetitive

In the aftermath of the CRTC’s hearing on a consumer wireless code and the government’s announcement of its plan for future spectrum auctions, a debate has raged over the competitiveness and health of the Canadian wireless market. Scotia Capital released a report last week titled “Canadian wireless myths and facts” that argued the Canadian market is healthy and that “it is time for the regulators to declare victory on the policies they adopted five years ago”. Meanwhile, Open Media issued a report titled Time for an Upgrade: Demanding Choice in Canada’s Cell Phone Market that places on the spotlight on many of the ongoing problems in the market, with a particular focus on consumer complaints. The report includes many recommendations for regulatory and policy reform.

The reality is that both the regulators and politicians have either expressly or impliedly acknowledged that the Canadian wireless market is uncompetitive. Last week, Industry Minister Christian Paradis promoted the government’s past moves on wireless competition, but admitted that “there is much more to do.” Meanwhile, the Competition Bureau told the CRTC in its submission on the wireless code of conduct that:

certain impediments continue to diminish the effect of competitive forces in this industry. First, certain industry practices have tended to impose costs on consumers who wish to avail themselves of competitive alternatives. Second, consumers are not always provided with sufficient information in an adequately clear manner to make informed purchase decisions.

This post seeks to extend the debate and respond to some of Scotia Capital’s claims. It identifies ten reasons why there is ample evidence that the Canadian wireless market remains woefully uncompetitive when compared with peer countries around the world with higher costs, price gouging, and restrictive terms.

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March 10, 2013 93 comments News

Competition Bureau to the CRTC on Wireless Code: Be Bolder

The Competition Bureau yesterday posted its submission to the CRTC on its draft wireless code.  The key message from the Bureau: be bolder. The Bureau expresses concern with the competitiveness of the wireless telecom sector in Canada:

certain impediments continue to diminish the effect of competitive forces in this industry. First, certain industry practices have tended to impose costs on consumers who wish to avail themselves of competitive alternatives. Second, consumers are not always provided with sufficient information in an adequately clear manner to make informed purchase decisions. These features can deprive consumers, competitors, and the Canadian economy of the beneficial effects of competition in this industry, namely lower prices, higher quality service, and greater innovation. This submission provides recommendations on how the Wireless Code can minimize the effect of these impediments.

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February 7, 2013 3 comments News

CRTC Should Be Bolder With Wireless Code

The Canadian Radio-television and Telecommunications Commission unveiled its much-anticipated draft wireless code of conduct lasts week, offering a promise of new, enforceable protections for consumers. The draft code, which is open for public comment until mid-February, generated a mixed reaction. Some consumer groups welcomed it as a step in the right direction. But other commentators were left underwhelmed, disappointed that the code does little to address consumer frustrations with issues such as long-term wireless contracts and exorbitant roaming fees.

My weekly technology law column (Toronto Star version, homepage version) notes the draft code features some welcome changes to the current wireless landscape, including the possibility of consumer cancellation of contracts when providers change key terms, clear limits on contract termination penalties, and monthly bill caps when additional fees are incurred (thereby reducing the likelihood of bill shock after a trip abroad). Perhaps most importantly, the code is enforceable, backed by the possibility of monetary compensation of up to $5,000.

Yet the draft code ultimately disappoints, since its underlying philosophy is that consumer frustrations with the Canadian wireless market can be best addressed by more information.

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February 5, 2013 13 comments Columns