Communications and the Throne Speech

Yesterday afternoon, amidst traditional pomp, the Usher of the Black Rod summoned Members of Parliament to the Senate chambers to hear the Governor General deliver the agenda of the Government: The Speech from the Throne [pdf, 1.74MB] .

Highlights from the perspectives of the Telecom Industry include a plan to liberalize foreign ownership:

Our Government will open Canada’s doors further to venture capital and to foreign investment in key sectors, including the satellite and telecommunications industries, giving Canadian firms access to the funds and expertise they need.

While some wondered whether this includes broadcasting, I suspect that this move is to apply on the telecom side only, leaving broadcasting ownership restrictions in place. We shouldn’t forget that the CRTC has asked the Federal Court of Appeal to rule on whether the Broadcast Act applies to ISPs. That could add a wrinkle to these ownership liberalization plans.

In some ways, this move tries to undo the uncertainty over investment rules that have clouded the sector going back further than just last year’s Globalive mess. Mentioning satellite could be a nod to concerns about inconsistencies with the approval of the sale of Telesat as well.

If the government adopts the first steps recommended by the telecom policy and competition review panels [as we discussed last month], the gates would first open up for new entrants and carriers with less than 10% market share. Could this mean liberalized access to additional capital for MTS Allstream? Changes will almost certainly take place too late to enable a Canadian location for Google Fiber.

The final frontier is discussed in another paragraph in the speech, perhaps a nod of recognition that Canada’s most remote regions will be reliant on advanced space-based technologies to provide a virtual umbilical to the masses of Canadians whose separation sometimes seems to be infinity and beyond:

Canada has been a space-faring nation for nearly 50 years. Our Government will extend support for advanced research, development and prototyping of new space-based technologies, especially in support of Arctic sovereignty. 

The government has listened to the many calls for the development of a national digital strategy and it plans to strengthen its Science and Technology strategy as well as modernizing intellectual property rights:

To fuel the ingenuity of Canada’s best and brightest and bring innovative products to market, our Government will build on the unprecedented investments in Canada’s Economic Action Plan by bolstering its Science and Technology Strategy. It will launch a digital economy strategy to drive the adoption of new technology across the economy. To encourage new ideas and protect the rights of Canadians whose research, development and artistic creativity contribute to Canada’s prosperity, our Government will also strengthen laws governing intellectual property and copyright.

Note the focus of “adoption” of new technology.  

Finally, the throne speech recognizes the challenges of law enforcement and national security operating in a digital environment:

… our Government will introduce legislation to give police investigative powers for the twenty-first century.

and

Working with provinces, territories and the private sector, our Government will implement a cyber-security strategy to protect our digital infrastructure.

Details will hopefully emerge later today with the release of the Federal Budget. Typically, the promises of the Throne Speech become more tangible when we see funding attached to the programmes in the Budget.

Liberalized ownership, modernized law enforcement and intellectual property protections will require legislative changes which can be challenging in a minority government. Will any one of the opposition parties set aside partisanship in favour of progress on the digital agenda?

1 thought on “Communications and the Throne Speech”

  1. Mark,

    Greetings from the Cayman Islands!

    You mentioned in your post that perhaps the reference to “satellite” in the Speech from the Throne is meant to address concerns about the inconsistencies with the approval of the sale of Telesat. What about MacDonald Dettwiler? See: http://www.nytimes.com/2008/04/10/business/worldbusiness/10iht-space.4.11877375.html

    Could it be that the Government is having second doubts about its decision to block this transaction back in 2008 (perhaps as a result of lobbying by the US government and/or defence industries)?

    Just a thought…

    David Laliberte

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