OTTAWA-GATINEAU, Aug. 30 /CNW/ - The Canadian Radio-television and
Telecommunications Commission (CRTC) today determined, on the basis of
the evidence submitted at a recent public hearing, that large telephone
companies must make their existing Internet access services available to
alternate Internet service providers (ISPs) at speeds that match those
offered to their own retail customers. This requirement will ensure that
alternate ISPs can continue to give Canadians more choice by offering
competing and innovative Internet services.
"Access to broadband Internet services is a key foundation for the
digital economy," said Konrad von Finckenstein, Q.C., Chairman of the
CRTC. "The large telephone and cable companies are bringing their fibre
networks closer to Canadian homes and businesses, which allows for
faster Internet connections. Requiring these companies to provide access
to their networks will lead to more opportunities for competition in
retail Internet services and better serve consumers."
The large telephone companies have been investing in upgrades and
expanding their networks. In recognition of these investments, the CRTC
will allow them to charge competitors an additional 10-per-cent mark-up
over their costs for the use of their wholesale Internet services'
The Commission has also taken steps to make the obligations imposed on
large telephone and cable companies more equitable. To this end, large
cable companies must modify their existing Internet access services in
such a way that alternate ISPs can connect to their networks at as few
points as possible. This will enable competitors to make use of the
cable companies' services just as easily as those of the telephone
companies. Furthermore, the cable companies are already required to
provide access to alternate ISPs at speeds that match those offered to
their own retail customers.
In addition, the Commission denied the alternate ISPs' requests that the
large telephone and cable companies reconfigure their networks. Although
these reconfigurations may have permitted alternate ISPs to offer
additional services to consumers, the CRTC felt that they would
constitute a disincentive to network investments without necessarily
enhancing innovation or competition.
Canadians connect to the Internet primarily through services provided by
the large telephone and cable companies and a variety of alternate ISPs.
The wholesale framework currently in place allows ISPs to pay for the
right to use the large companies' networks to serve their customers. The
CRTC will consider the need to phase-out mandated Internet access
services when alternatives, such as wireless or satellite Internet
services, become more accepted as substitutes.
Telecom Regulatory Policy CRTC 2010-632
The CRTC is an independent public authority that regulates and
supervises broadcasting and telecommunications in Canada.
Telecom Notice of Consultation CRTC 2009-261
These documents are available in alternative format upon request.
SOURCE Canadian Radio-television and Telecommunications Commission
For further information: For further information:
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