Telecom high on Government’s agenda

For the third week in a row, a major announcement about telecommunications policy has been released by Industry Minister Maxime Bernier. Today, cabinet sent its official policy direction to the CRTC, requiring the regulator to take a more market-based approach to regulation.

Back in June, at The Canadian Telecom Summit, Minister Bernier announced a proposed policy direction to be sent from the government to the CRTC. As we have written, this was the first time that the government exercised the power it had under Section 8 of the Telecom Act.

The Industry Committee tried to delay the release of the policy direction until it had more time to study the issues. The government has chosen to move ahead without further delay, in order to further “its ambitious policy agenda for the telecommunications sector.”

The Minister received input from public consultation and presentations to the Industry Committee. The most substantial change from the original proposed direction came in the section referring to wholesale access, addressing concerns that have been expressed by MTS Allstream, among others. Pierre Blouin, CEO of Allstream has already released a statement endorsing the directive:

Minister Bernier’s amended direction captures a broader understanding of the market by recognizing that fair wholesale access for competitors to the networks of incumbent telecommunications companies is essential. This will ensure robust telecom competition and technological innovation, which is a win for everyone.

We observed the importance of getting wholesale conditions right with the posting discussing the paradox of business services competition. The CRTC’s essential services proceeding, lasting into 2008, is seen to be setting in place a fundamental framework for lasting, renewable competition.

Frank and Gordon return from outer space

Frank and GordonJust when I was hoping that Frank and Gordon would be able to provide Santa with navigational assistance from space, Bell has announced that it has sold Telesat to Loral Space & Communications, with the federal employees’ pension fund providing sufficient Canadian content to pass the foreign ownership tests.

Telesat had been in Bell’s hands in part since 1992 and Bell acquired the minority shares (42%) held by other Stentor members and Spar back in 1998. The move continues Michael Sabia’s drive to simplify Bell’s corporate structure and focus on core telecommunications business. The deal provides Bell with $3.25B in cash, enough to fund almost 3 years of dividend payouts for Bell shareholders.

On closing, Loral Skynet, which provides satellite services in Europe, Asia, the Middle East and Latin America, will be combined into the new company. Combined with Telesat’s existing services, the new company will be one of the world’s leaders, headquartered in Ottawa. The company will continue to be headed by Dan Goldberg (no relation).

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Cleanfeed comes clean with details

In response to the concerns expressed in comments on his blog about Project Cleanfeed, Michael Geist reports that Cybertip.ca has put together a Frequently Asked Questions page.

Among the statements used to differentiate child pornography from other forms of illegal content, such as hate material, Cybertip’s FAQ says:

It is illegal in Canada to access child pornography on the Internet. There is a designated organization (Cybertip.ca) with the expertise and widely-accepted authority to assess that such content would clearly be criminal in Canada. The same circumstances do not currently exist for any other form of online content.

This statement seems to avoid the plain language of the Criminal Code that provides for a number of exceptions or defenses. Specifically,

(6) No person shall be convicted of an offence under this section if the act that is alleged to constitute the offence
(a) has a legitimate purpose related to the administration of justice or to science, medicine, education or art; and
(b) does not pose an undue risk of harm to persons under the age of eighteen years.

Lawyers out there? Help us understand how Cybertip can be so absolute in its clarity about “It is illegal in Canada to access child pornography on the Internet” when the Criminal Code does not appear to support that view.

It is my understanding that this is why we have courts as part of our judicial system. Perhaps this is why there are many people who are concerned that there is a lack of due process, including the fact that so far, there is a lack of a CRTC authorization for the carriers to “control the content … of telecommunications carried by it for the public1.”

To be clear about my position, I completely support the Cleanfeed project and I have been somewhat vocal about the need for Cleanfeed to be implemented in Canada for more than 2 years now. I support the organizational design, the separation of ISPs from the determination of content to be blocked and role of Cybertip in developing the database.

Commenters are asking where is the clear authority, whether from the courts, or a quasi-judicial body like the CRTC, for blocking activity to take place? The courts likely cannot make case-by-case rulings, but the CRTC could certainly examine the process and either approve or modify the process.

It would be helpful to see the carriers make an application to the CRTC for authority under S.36 of the Telecom Act. This would not even slow the implementation of Cleanfeed, if the carrier ISPs ask for interim approval while the proceeding moves through the Commission’s processes.

The topic of illegal content on the internet requires serious, reasoned discussion and debate. As such, it is returning to the agenda at The 2007 Canadian Telecom Summit next June, with a special session on Monday, June 11.


1 Telecom Act. S.36

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CRTC vs FCC

While we Canadians have had our share of inter-governmental battles, the resolution north of the border has been to establish the CRTC as the national agency, avoiding provincial and municipal parochialism.

FCC Chair Kevin Martin is blaming municipalities in the US for rising cable rates, saying that they are restricting competitive entry by others.

Score 1 for the CRTC.

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Web-nonimity

A couple weeks ago, I wrote about the distressing lack of courtesy in web traffic. I was pleased to receive some kind compliments on that post, beginning to restore my image of self-worth.

It is interesting that the theme has been covered up by a couple writers over the past couple days: David Pogue in the NY Times and Rob Hyndman.

One of Rob’s commenters speaks of living in PEI and the requisite courtesy in driving and everyday life “under the assumption that you are known by many of the people around you”.

When we lived in New Jersey, we experienced unexpected lows in customer service and rudeness. We attributed the phenomena to living in the shadow of New York. With 25 million people in the region, stores and service people didn’t seem to care about repeat business – there are always 24,999,999 suckers still out there to rip-off. People didn’t care about being rude because, after all, what are the chances of seeing someone again?

Nothing like getting a NJ salute on the Garden State Parkway, getting passed by a blue-haired lady!

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