Telecom vendors Aliant, Bell Canada, SaskTel and Telus have petitioned the federal cabinet to overturn the Canadian...
July 29, 2005
Telecom vendors Aliant, Bell Canada, SaskTel and Telus have petitioned the federal cabinet to overturn the Canadian Radio-television and Telecommunications Commission’s (CRTC) May 12 Voice over Internet Protocol (VoIP) decision.
The companies say the decision to regulate the marketing and pricing of VoIP services offered only by the established telecommunications companies will result in higher prices and less choice for Canadian consumers.
“The CRTC’s decision clearly does not recognize the realities of this technology or the market,” said Jay Forbes, president and CEO of Aliant. “It makes Canada the only major industrialized country to regulate VoIP. If leftunchallenged, it will have significant consequences for consumers in terms of competition, choice, pricing, and the development of innovative new services.”
The companies said in a statement that VoIP is changing the way voice services are delivered, allowing new and foreign competitors to enter the market easily and with relatively little investment.
“Beyond the obvious consequences for consumers, this decision stands in stark contrast to the government’s own policy to encourage the growth of Canada’s ICT sector and its contribution to Canadian competitiveness,” said Michael Sabia, President and CEO of BCE.
“It sets back innovation in our sector, hampers productivity and undermines Canada’s hard-won leadership in the communications industry by constraining the very companies best positioned to maintain that leadership. It is simply bad public policy.”