Thursday, February 18, 2016

Government should step in after disappointing CRTC ruling closes door to new affordable wireless alternatives


Wireless customer advocates are disappointed following a decision by the Canadian Radio-television and Telecommunications Commission (CRTC), that means large telecom conglomerates can continue blocking more affordable Mobile Virtual Network Operators (MVNOs) from setting up in Canada. MVNOs offer more affordable rates because they purchase network access at wholesale prices from network operators.

The request to gain fair access for MVNOs was initiated by the Canadian Network Operators Consortium, and was supported by OpenMedia in a 21-page filing. Nations that have embraced MVNOs, such as the U.K., have wireless plans available for a fraction of what Canadians pay. For years, Canadians have paid some of the highest prices in the industrialized world for wireless, with the CRTC’s own report stating costs are rising at 3 times the rate of inflation.

Today’s decision is bad news for any Canadian who owns a cellphone. In effect, this amounts to a license for price-gouging, as our telecom giants can continue to block new providers and charge Canadians exorbitant prices.  (more...)


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