May 11, 2024

Welcome to Letters from CAMP, a newsletter on anti-monopoly activity in Canada and abroad, brought to you by the Canadian Anti-Monopoly Project. In this installment we have:

• How communications policy can play a role in delivering a more sovereign Canada
• The Canadian Council of Innovators calls for a more independent and well-resourced Competition Bureau
• Canada’s Competition Bureau sues a theme park for deceptive pricing practices

Now let’s dive in.

Carney’s Communications Policy Can Be a Tool Against Monopoly

Among its many tasks, the Carney government has a mandate to protect Canada’s independence as a sovereign nation. This week, in a piece for the Wire Report, CAMP executive director Keldon Bester describes how the communications policy of a Carney government can counteract the substantial risks posed by dominant platforms such as Meta and Google, whose control over critical digital infrastructure undermines the future of Canada’s autonomy and national security.

What would this mean in practice? First it would mean addressing the unfinished business of the privacy and cybersecurity bills that died on the order paper in the last parliament. It would also mean loudly backing the Competition Bureau in its efforts to ensure even the largest companies on the planet compete fairly in Canada. Going further, it would mean legislation that recognizes Canadians deserve to have a say in the platforms that shape how we communicate, socialize, and participate in the economy.

Echoing a similar stance in a recent piece for the Toronto Star, professors Emily Laidlaw and Florian Martin-Bariteau call for digital policy—encompassing robust privacy laws, stringent cybersecurity measures, and thoughtful AI governance—to be central to Carney’s economic and governance agenda. Advocating for proactive data sovereignty measures that limit foreign capacity to manipulate Canadian data and markets, Laidlaw and Martin-Bariteau push to address a key risk of our dependence on foreign digital platforms.

The path forward is clear. The Carney government must recognize communications policy as fundamental to Canadian sovereignty, democratic integrity, and economic fairness.

📚 What We’re Reading 📚

• Galea, Canadian telecoms quietly raise cellphone plan prices and fees after years of better mobile deals (Globe and Mail)
• ​From Lions to Lambs …. The Decline of Canadian Competitiveness (Part 1), (Investment Industry Association of Canada (IIAC)
• Lindzon, There’s a new ride-hailing service in town. Here’s how Hopp plans to break Toronto’s Uber-Lyft duopoly, (Toronto Star)

Innovators Call on Carney to Commit to Competition

The Canadian Council of Innovators (CCI), an association of some of Canada’s most innovative companies, is calling on the Carney government to invest in competition policy. Publishing its far-reaching “Mandate to Innovate” policy report this week, CCI recommends that the Prime Minister’s Office explicitly prioritize competition law enforcement by enhancing the Competition Bureau’s independence, mandate, and resources.

To do so, CCI suggests enhancing the enforcer’s funding and making it a freestanding law enforcement agency, breaking it out of its current position within Innovation Science and Economic Development Canada (ISED), the home of the government’s industrial policy making. CAMP supports the recommendation of a more independent and well-resourced Competition Bureau, calling for the same stepped-up investment in competition in the days following the outcome of the federal election.

CCI’s recommendations provide a clear, actionable roadmap for the Carney government to take the next step in the evolution of Canada’s competition policy. Adopting these proposals could significantly enhance the Competition Bureau’s contribution to creating a more dynamic and resilient economy that benefits all Canadians, not just entrenched incumbents.

Malice in Wonderland: Bureau Sues Theme Park for Deceptive Pricing

The Competition Bureau is taking a theme park to court. Canada’s Wonderland, a large theme park in the outskirts of the Greater Toronto Area, is accused of misleading consumers through deceptive “drip pricing” that hides the true cost of a ticket. Wonderland, owned by the U.S.-based Six Flags Entertainment, allegedly advertises ticket prices that exclude mandatory fees, misleading ride lovers about how much a summer day out will really cost them.

The case is on theme with the Bureau’s 2024 victory over Cineplex, which resulted in a $39 million fine for similar practices related to the price of movie tickets. In launching the case, Commissioner of Competition Matthew Boswell reiterated the enforcer’s stance, that Canadians deserve transparent pricing and fair treatment from all businesses. Whatever the market, from real estate to roller coasters, fair markets depend on honesty and transparency.

Cases like these reflect the overlapping nature of consumer protection and competition laws. Hidden fees and opaque pricing erodes consumer trust and punishes competitors that are straightforward with customers in their advertising. The Bureau’s firm action signals a continued commitment to transparency and accountability in markets, reinforcing that fairness is foundational to a thriving, competitive economy.

If you have any monopoly tips or stories you’d like to share, drop us a line at hello@antimonopoly.ca

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