CAMP defends wholesale system that provides much-needed home internet competition for Canadians

Canadians know that we pay too much for home internet services. While wireless prices have declined in recent years, the cost to connect in our homes has stayed stubbornly high. To promote competition in Canada’s home internet market, Canada’s telecom regulator, the CRTC, requires large telecom companies to lease their networks to competitors at regulated wholesale rates. This allows smaller firms to offer diverse internet options to consumers without duplicating infrastructure.

Over the holidays, the CRTC asked whether the mark up on these wholesale rates charged to independent competitors should be raised from 30% to 40%. In response, CAMP argued that the CRTC should reject industry calls to maintain or increase the 30% markup, suggesting instead that it be reduced to reflect gains in efficiency of service delivery.

The last thing that Canadians struggling with the cost of living need is an increase in their monthly internet bill. To protect competition for home internet services, the CRTC must ensure that wholesale rates remain low enough for independent competitors to offer viable and competitive retail prices.

Check out CAMP’s full response to the CRTC here