Canada chooses change

Canadians have decided to hand the reins of power over to Justin Trudeau, the first time Canada has had a prime minister who is so intimately familiar with the official residence at 24 Sussex Drive, having lived there as a child.

We already knew that there would be a new Minister of Industry as a result of yesterday’s election – James Moore decided not to seek re-election. It was less certain that the new cabinet would be formed by a Liberal Prime Minister – Prime Minister Trudeau 2.0 – and it wasn’t until the initial results emerged from Atlantic Canada that we were sure that Canada voted so emphatically for a change.

We will learn in the coming weeks who will fill the seat to lead Industry Canada – the department responsible for the development of policy for telecommunications and information technology and services – and as a result, most digital economy issues.

As Scotiabank indicated in a note to investors late last week: “While the Liberal Party does want to see greater competition and lower prices, we believe its approach would be very different from that of a Conservative majority.” The research note said that anything but a Conservative majority was expected to lead to “fewer regulatory disruptions than in the last few years”, since

The Conservative government under Prime Minister Stephen Harper and Industry Minister James Moore had a pro-consumer, populist approach to the telecom sector and appeared to put less emphasis on the impact of their policy decisions on jobs and network investment.

A Liberal majority could be a fresh and positive change for the incumbents.

The last Parliament was characterized by a lack of balance, a failure to appropriately give consideration for long term structural impact of populist policy, in part because the partisanship of Parliamentary Committees gave little (if any) consideration to Opposition amendments to bills. That is assuming the legislation even reached Committee, thanks to tactics such as burying legislative changes within Budget Implementation bills and other omnibus bills.

Canadians voted for change and the message was loud and clear. Hopefully, the Liberal strategists who will shape the operation of the PMO – the Prime Minister’s Office – have been listening, learning to develop a more cooperative and humble approach to the institutions of Parliament.

Over the past few months, I have indicated what I would like to see on Canada’s digital agenda.

There is now an opportunity to build on the post-election optimism, as Prime Minister Trudeau forms his government.

Thank you to all the candidates from every political stripe across this land who put forward their names and worked so hard over the past few months.

Congratulations to the new Parliament. And congratulations to Prime Minister Trudeau. Welcome back to 24 Sussex.

Rogers sides with PIAC

A few months ago, Videotron launched a mobile audio streaming service known as “Unlimited Music“:

Listen to music as often as you like, without ever worrying about your data usage.

The Unlimited Music service currently provides un-metered access to Spotify, Rdio, Google Play Music, Songza, Deezer, 8tracks, Groove and Stingray Music, with a plan to add other audio applications. The service is available at no additional charge to Videotron mobile customers who have an LTE SIM and subscribe to an “All-inclusive Canada-wide plan” with 2GB, 4GB or 6GB of data.

Last month, a number of parties, including the Public Interest Advocacy Centre, filed a complaint to the CRTC, claiming that the service contravenes Section 27(2) of the Telecommunications Act, violates net neutrality rules (the CRTC’s 2009 Internet Traffic Management Practices – ITMP – Framework), and the CRTC’s “Mobile TV” decision, because it exempts certain subscribers from paying fees for certain types of data.

Section 27(2) forbids carriers from unjustly discriminating or giving an undue or unreasonable preference toward any person, including itself, or subjecting any party to an undue or unreasonable disadvantage, in relation to the provision of a telecommunications service. PIAC had claimed that Videotron is subjecting subscribers who consume other audiovisual content that is
unaffiliated with “Unlimited Music” service to data charges, which has the effect of imposing an undue and unreasonable disadvantage to those subscribers and their streaming services.

Today, Rogers threw its support behind PIAC, claiming that Rogers is among the groups being subjected to a disadvantage. Rogers says that it has conformed to the CRTC’s Mobile TV ruling and it is at a competitive disadvantage if Videotron doesn’t play by the same rules. Further, Rogers argues that its radio stations are providing streaming services that are being subjected a disadvantage because their listeners continue to pay data charges.

The decision to favour certain types of audio services carried on its wireless network and to treat the data from those services differently than the data of other audio and audiovisual services, and online services in general, represents “the thin edge of the wedge” in ensuring the integrity of Canada’s net neutrality rules.

By acting as a gatekeeper and selecting which audio services receive special zero-rated data usage treatment on its wireless network, Videotron has conferred upon consumers of these services, as well as upon the five audio streaming services that make up Unlimited Music, an undue and unreasonable preference. At the same time, Videotron has subjected their customers who subscribe to other audio content services, these other audio services and wireless competitors to an undue and unreasonable disadvantage.

Rogers support of PIAC on this file is an interesting development, but it may be motivated by wanting to be sure that it can continue to monetize data usage from streaming services. In an interview with the Globe and Mail last month, Rogers CEO Guy Laurence said that he wants to encourage wireless customers to use more mobile data. “Guy Laurence said Monday that he didn’t even consider offering unlimited data usage for Spotify Premium … because the whole point was to encourage subscribers to get comfortable with using more mobile data.”

A lot of plans these days, voice is virtually free, texts are virtually free – you’ve got to pay the bills somehow, right? So we’re paying for it through the monetization of data.

Voting for Canada’s digital future

A week from now, Canada will wake to a new government and there are certain to be changes impacting the information and communications technology and services sector. We already know that there will be a new Minister of Industry, since James Moore is not seeking re-election.

We do not yet know who will be Prime Minister, or whether we will have a minority or majority government.

A couple months ago, I wrote about “Building a digital platform“, providing some of the elements that I would be looking for as parties released their vision for how they would lead the country.

Will broadband for low-income households become an issue? Net neutrality?

What about a review of Canada’s Anti-Spam Laws?

Telemarketing continues to bother Canadians – and robo-calls from politicians are not likely going to be a welcome addition to Canadians’ dinner time interuptions. You have to love the idea that politicians exempted themselves from many of the more onerous provisions of the do not call regime.

Will any party commit to studying the impact and cost effectiveness of these laws?

A month later, I followed up with “A digital agenda for Canada“, listing the kinds of programs that I thought should find their way into party platforms:

  • Inclusiveness: Which political parties will recognize the need to get low-income households online? There are solutions for connecting rural and remote regions, but the bigger issue is that of affordability, regardless of geography. As frequent readers know, my personal priority is to ensure all school aged kids have access to a connected home computer.
  • Skills development: ICTC – the Information and Communications Technology Council – has launched a project in partnership with Microsoft Canada to develop a national digital talent strategy, seeking to ensure that Canada will have skilled talent to drive innovation and competitiveness, as entrepreneurs or as part of the workforce.
  • e-Government: What kinds of efficiencies can be derived from an effective e-Government strategy, including e-Health, distance education and delivery of other government services?
  • Digital economic policy: An expert panel should reviewing legislation and policy to ensure consistency with a drive to have Canadians benefit from and lead in the development of a digital economy. Canada is long overdue for an overall Telecom Policy review; the last report was delivered in 2006 [which called for a review to be held every 5 years -we are coming up on 10 years]. The last review pre-dated the AWS spectrum auction [that led to the creation of WIND Mobile, and the mobile operations of Videotron and Eastlink], CASL [Canada’s Anti-Spam Law], copyright reform, digital surveillance, Digital Canada 150 and major changes to policy and regulation emanating from the CRTC [such as Talk TV].

The major parties have now released their platforms and they all disappoint from a digital perspective.

The Conservatives mention keywords, such as “digital”, “internet” and “broadband”, but there are no surprises in the platform; from an ICT perspective, we can expect a continuation of the past few years and with token funding for further rural broadband expansion.

The NDP also use all three keywords, but continue to refer to the “digital divide” in the same sentence as rural broadband expansion; of the three parties, one might have thought that the NDP would pick up on the need to increase digital access for low income Canadians.

The Liberals don’t use the terms “broadband” or “internet” at all, but “digital” is used twice: to refer to improving the delivery of government services; and, in discussing access to open data.

I won’t add further commentary or indicate any preferences. I encourage you to follow the links provided above and explore the policies and plans for each of the parties. After you do so, be sure to go out and vote!

Together with all industry stakeholders, I am looking forward to working with the new Minister of Industry and the department to help create a more digitally inclusive Canada, enabling improved digital literacy among all of us, with legislation and policies that sensitive to privacy and security issues, as we continue the journey to transforming our digital economy.

A national gigabit dream

Earlier this year, TELUS and Bell announced plans for significant investments in fiber to the home in Edmonton, Calgary and Toronto and expansion to other communities in their home territory. On Friday, TELUS announced a $1B plan to build fibre across all of Vancouver.

According to Cartt.ca, Rogers is expected to announce later today that it will be rolling out gigabit per second internet across its entire operating territory, leveraging the investments already made for its DOCSIS 3.1 hybrid fibre cable plant.

The service will be available later this year in parts of Toronto, along with Vaughan, Markham, Richmond Hill, Ajax, Pickering and Whitby. With downstream speeds up to 1 Gbps (1000Mbps) Ignite GB will then be available across the company’s cable footprint, from St. Thomas, Ontario to St John’s Newfoundland, in 2016.

Two different technology approaches to provide gigabit services to customers. Over a span of 6 months, there have been announcements to provide more than half of all Canadians with connections at the world’s fastest speeds. It appears that for many customers, more than one carrier will be building gigabit networks to their doorstep, delivering facilities based choice.

Access to gigabit networks is not just limited to those who live in Canada’s biggest cities. Bell Aliant has been building fibre networks throughout its territory, delivering high speed future-proof network capabilities to larger communities such as Saint John and Fredericton and small towns like Harbour Grace and Deer Lake.

It didn’t require government money to deliver these advanced capabilities, unlike the billions of dollars of public funds being spent in Australia.

Canada’s carrier community is deploying the capital to deliver advanced services, driven by market demand and competition.

In the meantime, other carrier are continuing to increase the speeds being delivered to rural and remote communities; at The 2015 Canadian Telecom Summit, Allison Lenehan, CEO of rural service provider Xplornet, challenged Canadian carriers to upgrade their networks to provide access to 100 Mbps speeds to all Canadians.

Fibre, coax, satellite, wireless can each play a role in delivering universal access to high speed services. As I have written before, one technology doesn’t fit every application. The government, both Industry Canada and the CRTC, have tended to examine networks from a geographic basis, but we have seen that the private sector has been able to deliver competitive, world-class solutions – and for many Canadians, allowing customers to choose between multiple platforms.

As I have written before, affordability, on the other hand, is not just a rural issue.

How can we ensure that all Canadians are able to take advantage of the networks that are being built to their doorsteps? What is the role of each level of government in developing targeted programs to increase adoption, especially among low income households?

How can government contribute to encourage continued investment? Should government contribute?

With an election in 2 weeks, which party will demonstrate digital leadership?

Converting old computers to netbooks

CNN Money featured a story about Neverware, a start-up launched by a colleague of my son: “Neverware is reviving old school computers“. Neverware created software that revives old computers and gets them running like new again, basically converting older PCs and Macs into a Google Chromebook.

By running everything in a web browser, the operating system puts much less strain on the computer’s hardware and can make the old machines feel new again. (It works with any computer manufactured in the last eight years.)

Neverware targets the school market, but it may be interesting to explore this approach to get lower cost devices into households that can’t afford to get computers for school aged children.

We need creative solutions to ensure that all of Canada’s school-aged children have access to a connected computer at home.

Will Neverware be able to help bring more devices to more kids in Canada?

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