Marking another major milestone

3000

As I noted back in February, I started writing this blog about 15½ years ago, in late February 2006, with a simple post: “It’s a start”.

Fifteen and a half years later, I’m celebrating blog post number 3000. Most of the posts track trends and issues in Canadian telecommunications, and there are occasional diversions into innovation and technology policy. Of course, once in a while, I have been known to get sidetracked with areas of personal interest, such as food.

Fifteen years of writing a blog; 3000 blog posts; more than 50,000 tweets; 25 years of consulting; 40 years working in telecommunications. Each of these milestones can be cause for celebration. And let’s face it, this is a period in time that could use virtually any reason to celebrate. Virtually.

After all, over the past 16 months of COVID-induced isolation, how many personal milestones have been missed by so many of us unable to see family members, friends or colleagues from work?

So, I am happy to mark this occasion with you virtually. In most of Canada, it is cause for a holiday weekend. Take tomorrow off and tell your boss you’re celebrating my 3000th blog post. I’d be interested in hearing their response.

In any case, thanks for stopping by. Be sure to have some cake and ice cream before you go.

Bagels, bacon, and communications services

Last week, Rob Carrick had an article in the Globe and Mail entitled “Inflation, as tracked in bagels, bacon and pints of beer”.

In it, he talks about different measures of inflation sent in by readers, and notes that the rate of inflation has been rising, from 1% year-over-year at the start of the year to a rate of 3.6% in May.

His article includes a link to a personal inflation rate calculator from Statistics Canada.

When you calculate your personal inflation rate, be grateful for the communications component. I found it interesting to see that communications show a negative inflation rate; prices are 7.2% lower year over year.

For more than a year now, each month I have been tracking a Cellular Consumer Price Index, released coincidentally with the monthly Consumer Price Index (CPI) from Statistics Canada. It shows cellular prices have dropped 17% between May 2020 and May 2021. Since January 2019, the Cell CPI is down nearly 28%.

That merits repeating: Statistics Canada data shows the Cellular Consumer Price Index is 28% lower than it was in January 2019.

Bacon isn’t a component of my personal monthly spending basket, but bagels, beer and communications services are.

Statistics Canada usually updates its baskets every two years to reflect changing spending patterns using Canadian household expenditure data. Last month, the agency announced “As a result of the unexpected and profound changes in consumption habits because of the pandemic, the basket weight update, planned for February 2021, was delayed. This delay has allowed the impact of COVID-19 on consumer spending behaviours to be better understood”.

The new weightings show a 15% drop in the communications weightings, from 3.55% in 2017 to 3.03% in 2020. Telephone services, which include cellular services, is responsible for all of that, falling more than 25% from 2.39% to 1.77%. Internet services have held steady, shifting marginally from 1.06% to 1.07%. At 4.86%, the “alcohol, tobacco and cannabis” category is now weighted more than 60% higher than communications in the price index weightings based on Canadian consumer spending.

The June 2021 CPI figures will be released July 28, and will use the latest weightings and 2020 reference period.

Funding hate

How did the CRTC find itself in the position of funding the person generating the kind of speech in this tweet?

You might be surprised to learn the CRTC ordered nearly $13,000 to be paid to the author of this clearly hurtful, if not outright hateful, tweet. [Update: As of July 29, Twitter suspended his account for violating its rules against hateful conduct.]

How did this happen? Two years ago, Bell Canada proposed using $125,000 remaining in its deferral account to defray the costs of interveners participating in CRTC regulatory proceedings to make regulations under the Accessible Canada Act. The CRTC agreed.

Two months ago, on May 13, the CRTC issued a series of decisions awarding funds to a number of groups:

Let’s focus on the last of those cost awards. Of the $16,815.10 awarded to CMAC in Telecom Order CRTC 2021-175, $12,875 went to pay its consultant, the author of the Tweet above, just one of dozens of examples of venom spewed on his Twitter account.

How could the CRTC have missed the context of ordering payment for his participation in a regulatory proceeding?

There is a clue in the third paragraph of each of the Telecom Orders listed above:

  1. The Commission noted that Bell Canada did not submit, as part of its proposal, that it required the opportunity to respond to applications for a share of the available funds. In the circumstances, the Commission considered that such responses were unnecessary.

Keep in mind that deferral account funds were ear-marked for a public purpose, so one might ask if it was appropriate for the CRTC to use a standard of “what Bell asked for”. Indeed, the standard appears to have been “what Bell didn’t explicitly ask for”.

Unlike most cost award processes, the CRTC chose to short circuit the reply phase to the applications and as a result, it did not have the benefit of public input to help inform the process by which the Commission reached its conclusions. Paragraph 6 states: “CMAC submitted that it is a non-profit organization that represents the interests of people with disabilities who are Indigenous or racialized, or who identify as women, and that offers advocacy and support to these groups.” Would that submission hold up under further scrutiny?

With input, the CRTC might have reconsidered its determination in Paragraph 12 that “CMAC has demonstrated that it meets the first criterion by representing people with disabilities who are Indigenous or racialized, or who identify as women, and by elaborating on its membership and expertise.”

The cost awards in May used up about half of the funding set aside from the deferral account. The CRTC may want to reconsider its processes for any further distributions.

Realizing the promise of 5G

I usually view ‘sponsored content’ with a grain or two of salt, recognizing that the articles are effectively advertisements. But by no means would I say that there isn’t valuable information to be found in those articles.

Case in point: a tweet from the new Chief Marketing Officer at Qualcomm steered me toward an article in Axios, “How 5G is creating new experiences, transforming industries and enriching lives”.

It was a reminder that 5G isn’t just about delivering faster speeds to our smart phones (which it does). The evolution to 5G also enables connectivity to far more devices within a given area, in the order of a million connections per square kilometer. Many of these devices may not need high speed, but network connectivity will enable a world of new applications.

The Qualcomm sponsored content speaks of 3 application areas: Education, Health Care and Manufacturing. The article served to remind me of the 5G Canada Council 5GCC.ca website that includes a number of resources, describing even more applications and the impact on sectors in a Canadian context, such as “Accelerating 5G in Canada – Benefits for Cities and Rural Communities” from Accenture Strategy.

There has been a lot of skepticism about the promise of 5G technology, as well as a lot of unwarranted and completely unfounded health concerns. Among the benefits of the investment in 5G networks will be a reduced carbon footprint as described in “The Role of 5G in the Fight Against Climate Change”.

Yesterday, Ookla (the company behind Speedtest) announced the acquisition of Solutelia, to complement its tools for mobile network testing and measurements. As the media release observes, “The advent of 5G is resulting in substantial changes to the physical footprint of networks, which will require more cell sites and more intelligent, complex radio networks. This radical shift in the industry means that network operators need to be able to massively scale their testing and optimization efforts, without a commensurate increase in operational spending.”

As the mid-band 3.5GHz spectrum auction wraps later this week, it is worthwhile reviewing the kinds of opportunities driving these generational levels of capital investment by Canada’s (and the world’s) communications companies. There will be benefits enabled by 5G for all segments: rural and urban; consumers and enterprise; small business and entrepreneurs; farming, health care, manufacturing, transportation, retail. Across Canada, hundreds of communities, large and small, have already been 5G enabled.

What applications can you envision from a world of networked everything?

Building better broadband isn’t enough

Ontario’s commitment of nearly $4B to connect every region in the province to high-speed internet by the end of 2025 is laudable and ambitious. But it doesn’t go far enough.

The provincial government estimates that there are 700,000 unserved or underserved homes in the province, and its new program aims to “leverage existing utility infrastructure and rights of way to reduce required subsidies and compress delivery timelines”.

According to the press release,

Ontario is now one of the few jurisdictions in Canada with its own comprehensive and proactive plan to achieve full connectivity. Over the coming weeks, the Province plans on announcing more projects to bring connectivity to communities throughout the province, along with additional details on how it will help ensure every region in Ontario has access to high-speed internet.

Ontario Connects: Ontario’s high-speed internet plan, is part of Infrastructure Ontario. Of course, building internet connections is an infrastructure project, but as I have written recently, construction of broadband access only addresses the “easy” part of the connectivity equation.

Universal access can be achieved by throwing money at solving the challenges of construction. Expressed in syllogistic logic terms, it is a necessary, but insufficient condition for universal connectivity.

Universal broadband adoption is a lot tougher. As we have learned (see “The broadband divide’s little secret”), it isn’t just a matter of lower prices. And as we have seen with the city of Toronto’s approach to Connect TO, some people confuse the issues, likely because building broadband is a much easier problem to define and solve. It is so much harder to understand the human factors that inhibit universal adoption of information and communications technology.

But doesn’t that mean it is a challenge toward which we need to be turning our attention?

It isn’t enough to build universal access to better broadband. We need to do more to understand the factors keeping us from universal adoption.

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