About 2 weeks ago, the Federal Cabinet was served with sets of appeal documents filed by three different companies, addressing 4 CRTC decisions. At the time, I called the event a “time for action on broadband policy.”
What is our national broadband vision?
Are we ready to declare that access to broadband service is a right? Have we given sufficient thought to how competition is fostered when programs (such as rural subsidies) are rolled out?
The theme that can be found in all of these pieces is that of competitive access.
The Bell / TELUS appeal deals with mandated speed matching between retail and wholesale bundled internet services. Those companies are arguing against the CRTC requiring them to provide competitors with access to their ongoing infrastructure upgrades. In effect, their argument is that Bell and TELUS shareholders are absorbing all of the risk associated with expensive investments. Shareholders are spending billions of dollars, hoping to see a return on that investment while the CRTC is allowing competitors to be able to gain all of the benefits at a substantial discount and with no risk.
The MTS Allstream appeal is distinct. It deals with the Commission refusing to mandate an unbundled wholesale ethernet access service, which is needed by MTS Allstream when offering its business grade network services.
While some have been lumping the appeals together, the issues are different in a number of respects.
Bell and TELUS say that having to share their access networks changes the business case for continued investment in upgrading their networks.
MTS Allstream argues that there is a severely limited choice of suppliers of alternative access for the business market and absent regulatory action, it is difficult for competitors to offer advanced broadband services to business customers.
Only government action will ensure that Canadian businesses of all sizes have competitive alternatives necessary to fill their business-critical telecommunications needs and thereby meet the challenge of ensuring Canada’s economic success.
The common ground in both sets of cabinet appeals is a call for a policy decision on the kinds of access we want to mandate Canadian telecom carriers to make available to competitors, businesses and consumers.
Mark, could you explain, please. When this guys talk about access to broadband, what did they exactly mean by “broadband” ? Do you think they assumed access to Internet or some other digital services ?