CRTC’s code of conduct for TV providers: too little, too late?

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The CRTC is moving ahead with its Code of Conduct for TV service providers (TVSPs). The Code was initially announced on March 26, as a by-product of the Let’s Talk TV proceeding (Broadcasting Notice of Consultation CRTC 2015-105). Now, in its best populist spirit, the Commission is asking for public comment on its TV Code:

“Canadians sent us a strong message that they were encountering problems with their television service providers. The CRTC is acting on these comments and has prepared a draft version of a TV Code that reflects what Canadians told us. I invite them to take an active part in the discussions. Now is the time to shape your TV Code.”–CRTC Chair JP Blais, May 12, 2015 (emphasis original)

Less consulting, more research

The Commission may have the substance right, but it has the timing and execution all wrong. The idea that TVSPs provide lousy service isn’t exactly new. Much of the evidence has been anecdotal. A public consultation, however, will not make up for that shortcoming. Worse still, the idea of holding this public consultation arose from the earlier public consultation that was part of Let’s Talk TV. They’re breeding. Continue reading

Cancon redux: Canada’s TV “system” battles the Internet

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“Somebody called me a protectionist this week. I’ve been called far worse, but the term rankled because I had not argued that Canadian television should be protected from foreign competition.”

Kate Taylor, Jan 18: A contemporary argument for Canadian content

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The ball’s in somebody’s court and needs to be lobbed back.

Let’s start with who or what is protectionist. The only such reference I made was to  the policy regime we’ve had in Canada since the 1970s:

“Bell and Rogers (plus Shaw and QMI) have made fabulous amounts of money thanks to the vast protectionist apparatus they’ve enjoyed for decades.”

While life may be tougher now, it would be hard to argue that our broadcasters aren’t still benefitting from protectionism: foreign ownership restrictions, simultaneous substitution and restriction of US satellite signals to the approved list are three current examples. Simsub is also a good example of a policy designed to help our TV business rather than TV viewers, who hate it – as in, where are the Super Bowl ads? Continue reading

Now playing at the CRTC: your precarious future on the Internet (2)

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In this post, I follow up on my comments about the first day of the CRTC’s hearing to review its framework for wholesale services in the telecom industry. Since the most significant sector to be affected is Canada’s residential broadband service, I’m summarizing evidence here that was compiled recently by the Open Technology Institute (OTI) that compares broadband in 24 cities in Europe, East Asia and the US, along with Toronto. This evidence is consistent with findings from other international studies. It shows Toronto lags far behind the broadband leaders in available speeds; in the penetration of fiberoptic platforms; in symmetric connectivity (uplink bandwidth matches downlink bandwidth); and, most seriously from a social policy perspective, in the high prices Torontonians are forced to pay. I take this evidence as a strong argument in favor of maintaining and extending the regulatory regime that ensures open access to networks for smaller, competitive ISPs – including not just legacy platforms like DSL, but also emerging fiber platforms. Unless the CRTC includes these next-generation platforms, Canada will fall even further behind in its long slide into slow and expensive broadband connectivity.

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“We are now ready to take our place as the most technologically advanced nation on the planet.” –Stephen Harper, Digital Canada 150, April 2014

Last month the Open Technology Institute released the third in a series of annual studies of broadband speeds and prices in 24 cities in the US, East Asia and Europe, plus Toronto (originally 22 cities). I wrote about OTI’s first report back in November 2012 (CRTC’s 2nd pro-consumer decree: 4 reasons not to celebrate); and I had comments a year later about the second report (Broadband data for Toronto: more bad news and getting worse). Continue reading

Now playing at the CRTC: your precarious future on the Internet

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If the Competition Bureau is too short of “facts” on Canadian broadband to advise regulation, as it told the CRTC, here’s a start (source: Open Technology Institute).

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THIS week’s CRTC hearing, launched in October 2013, will cover the changing market in Canada for wholesale wireline telecommunications services, including Internet access. The Commission is hearing arguments as to whether any of its existing policies on wireline services should be eliminated or updated. The biggest bone of contention will involve the treatment of fiberoptic delivery platforms. New entrant ISPs want the Commission to guarantee wholesale access to these next-generation platforms. Deciding in their favor would be an important barometer of the health of Canadian broadband, but that goal is far from a sure thing. Meanwhile, recent data on broadband in 24 cities around the globe, compiled by the Open Technology Institute (OTI), shows once again how terrible the prices and speeds are here in Toronto.

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In my previous post on Barack Obama’s stunning pronouncement on open Internet policy, I misrepresented what the CRTC is up to these days. I claimed the CRTC is fiddling over the fate of broadcast television with few signs it’s prepared to address the much more important problems of broadband availability, high prices, slow speeds and unaccountable service.”

Not exactly. First, the CRTC recently finished a proceeding on the wholesale market for mobile wireless services. Second, this week features the hearings phase of a proceeding launched in the fall of 2013 that tackles many of the same policy problems on the wireline side. While the scope is all wholesale telecomm services, what really counts here is the Internet access market.

Thanks to the usual tumultuous changes in technology, markets and business models, the Commission has set itself an obscure but potentially far-reaching task (Telecom Notice of Consultation CRTC 2013-551, pdf uploaded here):

“The Commission initiates a proceeding to review the regulatory status of wholesale services and their associated policies, including the wholesale services framework, wholesale service pricing, and the appropriateness of mandating new wholesale services, including fibre-to-the-premises facilities. The purpose of wholesale services is to facilitate competition in retail markets to provide Canadians with increased choice.”

Why the CRTC regulates wholesale Internet access

It may not be clear as to why wholesale services should exist to make retail markets competitive. (Ironically, one of the least convincing arguments made by the incumbents during the wholesale wireless proceeding was that the wholesale arrangements they make with the smaller carriers like Wind have no effect on the health of the retail market for wireless.) Continue reading

The Netflix boogeyman and a 21st-century role for the CRTC

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“Though some intervenors think this proceeding is all about Netflix, it’s not.” –Corie Wright of Netflix

“If the Commission fails to act swiftly after this proceeding, a service such as Netflix will become … one of the largest broadcasters in this country in the near future.” –Pierre Dion, CEO, Quebecor

“Canadian consumers can rest assured that our government will continue to stand up for them. We will not allow any moves to impose new regulations and taxes on Internet video that would create a Netflix and YouTube tax.” –Shelly Glover, Minister of Canadian Heritage

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The thesis: Netflix has handed the CRTC a new lease on life

CRTC ordered Netflix to share its highly sensitive Canadian customer data. Netflix demurred (“stonewalled” by some accounts). The Commission has responded by making Netflix disappear from the history books, expunging its official testimony. Does that mean, as we read recently, that “It’s over, CRTC, Netflix and globalization have won”? Continue reading

Just like cable-TV, broadband is still way too expensive in Canada

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Point Topic releases 2014-Q1 global survey of broadband prices

Research consultancy Point Topic has another set of broadband data to add to the dismal news about Canada. Using USD adjusted by the purchasing power parity formula (PPP), they find that of the 90 countries surveyed, Canada ranks in 58th place on the price for a monthly standalone broadband subscription. We’re just under the global mean of $76.61, one step ahead of Mexico. Continue reading

What you don’t know about your ISP service will hurt you (1/2)

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Infographic released by TekSavvy in February, from omnibus survey by IDC Canada

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How much do you pay each month for Internet access? What speed tier are you on? What’s the size of your data cap? Is it measured in bits or bytes? Can you complain to the CRTC about your ISP? Do you have any idea what I’m talking about?

We get the ISP we deserve

To the wonks with a vested professional interest in these questions, it’s hard to believe most people don’t know the answers – in fact, don’t know what the questions mean in the first place. Part of the puzzle comes down to a simple matter of caveat emptor: why would anyone pay year in and year out for a pig in a poke? Especially when that particular pig keeps growing in importance. We all pursue a wide range of critical activities online, like education, government services and job searching. We’re also spending more and more money on communications services (as the CRTC noted last fall, Canadian families spent an average of $185 each month on communications services in 2012 , up from $181 the previous year). Continue reading

Broadband data for Toronto: more bad news and getting worse

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Polpo, Soho, London W1 – Aug 2013

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naf-1Yesterday, the Open Technology Institute, an initiative of the New America Foundation, released the 2013 version of its study, The Cost of Connectivity. Once again, Canada looks really bad in the rankings. And not just bad for 2013, but even worse than in 2012. (I wrote about the 2012 results last November in this post. I’ve uploaded the 2012 report here and the 2013 report here, both in pdf.)

Here’s the setup for the just-published report from this gang of lefties:

“Last year, the New America Foundation’s Open Technology Institute published The Cost of Connectivity, a first-of-its-kind study of the cost of consumer broadband services in 22 cities around the world. The results showed that, in comparison to their international peers, Americans in major cities such as New York, Los Angeles, and Washington, DC are paying higher prices for slower Internet service. While the plans and prices have been updated in the intervening year, the 2013 data shows little progress, reflecting remarkably similar trends to what we observed in 2012 (my emphasis). Continue reading