Are systems holding you back?

An order from the CRTC yesterday caught my eye. There were two interesting issues that arise – the ability to adjust rates retroactively and the challenges of billing and customer information systems.

The situation was that Bell Aliant had planned to raise the price of its Hospital Patient Telephone Service last July 1. Due to an oversight, the changes didn’t get put into its billing system and to fix it, the costs of modifying the systems exceed the revenues that would be generated. So, Bell Aliant asked the CRTC to effectively reverse the price increase retroactively.

Yesterday’s Order was an interim rate decision; the CRTC has usually found that it cannot adjust rates retroactively, where the tariff had already received “final” approval. The CRTC will deal with the issues associated with the final ratification later – whether the rates can be adjusted retroactively; whether the old price needs to pass a price floor test, etc. While it sorts through the legal issues, the interim rate order stops the amount from continuing to accumulate.

The other interesting issue is that Bell Aliant apparently cannot easily adjust the prices on a single rate element. Does this indicate that there may be a significant capital requirement in the future to replace legacy billing systems?

We have looked at operational and billing support systems in past sessions at The Canadian Telecom Summit. This year, we look at the issues from the perspective of Customer Experience Management – leveraging systems to increase customer loyalty and service provider revenues. That session, featuring executives from Sybase, Microsoft, IBM, Redknee and CGI, will be taking place on June 7 at The 2010 Canadian Telecom Summit.

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Was a regulatory proceeding necessary?

The CRTC issued a ruling yesterday on the Consumer Association of Canada’s filing from last December regarding a billing error by Bell that resulted in some customers being charged $2.80 per month for touchtone service. According to the filings, Bell had already corrected the billing for the customer.

The charges began after Bell conducted a “revenue assurance” audit on its lines – trying to ensure that their billing matched the services being provided by the network. In the case of this customer, touchtone was provisioned in the network, but wasn’t being billed. The customer, a grandfathered rotary customer (prior to mandatory touch tone charges), claimed that they had never asked for touchtone.

The relief provided by the CRTC was to endorse what Bell was doing:

sending a letter to all affected customers that may have been inappropriately charged the monthly rate for Touch-Tone service. The Commission considers that Bell Canada is taking steps to rectify the inappropriate charging of the Touch-Tone service monthly rate and is satisfied with the approach proposed by Bell Canada.

The consumer group has asked for its costs to be reimbursed; the CRTC has told them to file an application in accordance with the rules.

So the question is why this needed to go to the CRTC in the first place? The lawyers know each other. Did they speak in advance to try to settle without a public proceeding? Was it a slow winter and they needed a case to keep busy?

Each year, the regulatory chiefs get together to debate issues at The 2010 Canadian Telecom Summit, taking place June 7-9. The Regulatory Blockbuster, on Tuesday June 8, has become a highlight of the event – with representatives from Bell, TELUS, Rogers, Allstream, Globalive and PIAC.

Have you registered yet? Prices increase on Monday. Register today to save $250 per person.

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Less than 3 weeks left

The Canadian Telecom SummitLess than three weeks until the opening of The 2010 Canadian Telecom Summit in Toronto. Registrations are continuing to move along at a stronger pace than last year – this is the last week before prices increase next Monday. Register now to save $250.

From the opening keynote by Canada’s Industry Minister, Tony Clement, this is the event that brings together all stakeholders interested in the development of Canada’s communications and information technology sectors.

For 3 full days, The 2010 Canadian Telecom Summit offers facilitates high energy interactions, discussions, networking, negotiations and schmoozing like no other event.

The 2010 Canadian Telecom Summit takes place June 7-9. Have you registered yet?

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What is our digital starting point?

I received an email on Monday from CATA Alliance, asking for Canadians to sign a petition calling for a pledge of full endorsement of their i-Canada vision. I can’t endorse the document, let alone pledge that I “do fully endorse” it. Quite simply, the preamble contains too many flaws to merit my full endorsement.

The message starts out by inviting us to view a video from TVO featuring a soliloquy bemoaning Canada’s supposedly sorry network condition, citing a “recent study.” I won’t get into any further trashing of the widely discredited Harvard Berkman study, upon which the CATA Alliance release relies. After all, that is old news to my regular readers. Even the FCC – the folks who commissioned the Berkman study – ignored the report.

To call it a “Harvard” study implies credibility – as though there was an academic peer review of the paper. Ha! Just like there is no questioning of the facts set out in the TVO video. Of course, a critical interviewer might have destroyed so many of the premises of the position that claims Canadian broadband is woefully inadequate – that we have “some of the poorest high-speed internet service in the developed world.”

For example, Google’s gigabit network plans are said to be 1000 times faster than what we suffer with today in Canada. That would mean that the fastest connection in Canada is only 1 Mbps. Anyone care to offer a view on the accuracy of that?

It speaks of Australia’s future plans, Google’s planned trials, a Swedish community network serving 50,000 people and confuses these by comparing it to the slowest networks in Canada.

In the iCanada manifesto, the document lists Canada’s accomplishments of the past before ringing an alarm bell that cries out that “Canada has been falling down the international leadership staircase in terms of the innovation and application of technology.”

It would have been inconvenient to point out that Canada is home to 3 of the world’s fastest mobile wireless networks – the only country in the world with 3 such networks and more being built [see our earlier post on this point]. It wouldn’t have fit the hypothesis to note that Canada has led the world in the deployment of ultra-high speed DOCSIS 3.0 cable internet service.

While the monologue talks about a community of 50,000 in Sweden investing $4500 per household to build a community fibre network, there is no mention of competition driving phone companies across Canada, from New Brunswick through Quebec and Manitoba to build fibre to the home – without individuals having to front the costs.

There was no mention of the 14 Canadian communities recognized for excellence by the Intelligent Communities Forum, more than half the number of communities named in the US; no other countries have more than 5 communities recognized. I didn’t hear see CATA Alliance’s document recognize New Brunswick premier Shawn Graham being named Intelligent Community Visionary of the Year “based on his dedication to make New Brunswick the first complete broadband province in Canada and transform its educational system to pursue a knowledge-based economy.”

CATA Alliance is apparently trying to build participation in the national dialog to set a direction for Canada’s Digital Economy. It seems to me that it can be hard to figure out where you are going if you don’t know where you are starting from.

The 2010 Canadian Telecom Summit, June 7-9, will be the place to find out where we are and discuss where we should be heading.

Canada’s Digital Economy future will be prominently featured throughout The 2010 Canadian Telecom Summit, right from the  opening keynote address on June 7, delivered by Industry Minister Tony Clement. Tuesday June 8 will feature a number of sessions that examine these issues – how other countries are developing their ICT Strategies and some perspectives on what should be done here in Canada. 

Have you registered yet? Download the complete conference brochure here [pdf, 1.2MB].

Owning “on-the-go” wallet-share

John Bitove already has a significant share of Canada’s “on-the-go” wallet. For regular readers of my blog, we generally think in terms of communications services and technology. But the chairman of Canada’s newest mobile services brand has a broader appeal for Canadians on the go.

He is also executive chair of Priszm, controlling some of Canada’s top fast-food brands: KFC, Taco Bell and Pizza Hut. Besides food, he is also a big player in mobile entertainment; I have written a number of times about his satellite radio operations, XM Canada. And as of this past weekend, mobile phone and data services have been added to the portfolio in the Greater Toronto Area.

Since launching the new brandname in early February, Mobilicity had been quiet about its precise launch plans and pricing, simply telling us that it wanted to be prepared for a painless start.

On Friday, President Dave Dobbin helped Chairman John Bitove cut the ribbon, and unlike Public Mobile, Mobilicity is opening its stores with a network covering the bulk of the GTA, beyond the city limits of Toronto, already up and running and ready for customers to turn their phones on when they leave the stores.

The wider coverage area, including the populous suburbs of Mississauga, Brampton, Vaughan and Markham, and a range of unlimited plans starting as low as $15 per month will put pressure on the other new entrants. Datastick unlimited access in the Mobilicity footprint is $40 per month.

The $65 plan (that includes unlimited Canadian and US voice calling, unlimited global text messaging, voice mail, caller ID, Callwaiting, forwarding, three way calling, unlimited data) appears to be a great choice for students: no contract, no credit check, unlimited. The only negative is that there is no roaming right now – and roaming won’t be included in these rates. However, the unlimited data includes tethering, so it will be a great plan for wireline substitution. With its aggressive unlimited international calling plans, Mobilicity is also beating Wind’s affiliate Yak in going after key ethnic markets.

Calling to other countries and various pay-per-use features are available using an innovative Mobile Wallet, with advanced prompts to let users know how much it will cost – aimed at removing end of month bill shock. Regulators should take note: the marketplace is finding solutions to problems without government intervention.

When Mobilicity launched the new magenta and green brand, we described the name as combining Mobile and Simplicity. There is another emphasis from the part of its name that shows up on a green background: City. The new kid on the block is offering a portfolio of City-wide plans, taking aim at people who need urban (not national) mobility but simple, predictable price plans. Will this drive a return of City Fido?

Mobilicity President & CEO Dave Dobbin will be joined by Wind Mobile CEO Ken Campbell and Rogers EVP of Marketing John Boynton, speaking on the closing panel at The 2010 Canadian Telecom Summit, taking place June 7-9. Have you registered yet?

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