CRTC Proves that Monopolies are Good
For those of you who are not techno-dweebs or geeks (like I am), you may not have noticed that this past week the CRTC ruled in favor of Bell (and Rogers, I would assume) in their battle with Service Providers who “sublet” bandwidth from them and repackage that to customers (specifically Teksavvy, but others as well) that they must uphold Bell’s Usage Based Billing rules, when they repackage the service.
Previous to this companies like Teksavvy allowed you to have unlimited usage for a month, with no “caps” on your usage of the broadband access to your house. This meant you could run NetFlix, YouTube, and many other bandwidth hogs with impunity, without having to worry about overrunning your monthly bandwidth allowance and then being gouged by your Service Provider. Remember I have already Needed to Ask for special dispensations from Rogers for the same kind of problems (so this is a topic near and dear to my heart).
This is another blow to those of us who are unimpressed by the Monopoly that the Major Communication Service Providers have in Canada (for Phones, Internet and Cell Phones), and now we are being held by a much tighter shock collar as well.
Putting on my Bell Share Holder hat however, let me also explain something to my fellow geeks, this is what large Companies do, they use their sway and clout to try to crush competitors that are taking away their client base. This was to be expected, and if the CRTC had not made a judgement in their favor, my guess would be that Bell would have simply choked the bandwidth in some other way to stop rampant usage of High Speed Internet access. You need to be a realist here, and as long at the CRTC (and the FCC to a certain extent in the U.S.), is in charge of this service (or at least make the rules), the monopolies are going to get what they want (sorry to rain on your parade, but that’s the way it works these days).
What can you do?
Nothing.
Simple ain’t it though? Not quite true either, there is little you can do to get what you had with Teksavvy again, however, you can negotiate/argue/cajole with your current service provider to try to get a better deal. I check RedFlagDeals forums to see what other folks have received from Rogers and Bell, so you can get a better deal, but it is not going to be Unlimited.
If anyone cares to prove me wrong on this one, please post a comment on how it is possible (no, I am not asking for which petition to sign, I mean an actual deal or procedure that gives you unlimited High Speed Internet access), and if I can verify it is legally possible, I will make an entire post up about it (and give you full credit too!).
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January 31st, 2011 at 7:45 AM
There needs to be a proper evaluation of actual costs. 20,000% markup over the actual costs of service is nothing more then market manipulation. It’s illegal. This affects the business of many industries. Internet is not a utility like electricity, it’s more like a highway. You may be aware that it was labeled information super highway over a decade ago, there was a reason for such a label. The government must intervene as this market manipulation cannot continue. As BCE is affecting the price of gas on the information super highway and thereby raising the price for many many markets which sell goods and services on this highway.
BCE is owns TV, competition of which is delivered by internet. BCE is in conflict of interest to be the gatekeeper of its competition. This is not just a manipulation of one market as you so simply framed it in your article. Please do some research before writing.
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January 31st, 2011 at 8:03 AM
Illegal? Immoral maybe, but Illegal? I think that’s a little harder to prove.
Information Superhighway?
I remember, I also remember the paper-less office too (another great oxymoron).
Bell’s argument: Even superhighways have tolls..
Just being Devil’s Advocate here.
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January 31st, 2011 at 8:09 AM
This is not a TOLL. Again another mistake.
This is like controlling the price of gas. Since when has the toll you pay on a highway based on the gas you use. The idea is that gas affects the price of delivering goods. Raise the price of gas you affect the economics of an industry and the internet is the highway for multiple industries. And your not devils advocate your spreading the misinformation that lead to this in the first place. You might as well be working for BCE (Bell).
MARKET MANIPULATION
It’s a real thing, and yes its illegal.
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January 31st, 2011 at 8:26 AM
Now, let’s not get libelous in our accusations, I am simply pointing out the same arguments that Bell and Rogers pointed out.
If you read this blog, you will know I have railed against Rogers and Bell countless times, I am simply pointing out that this is not Bell this is the CRTC doing what Bell asks.
You want to change this? I suggest you talk to your MP candidate in the next election and find out where THEIR party stands on this.
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January 31st, 2011 at 8:36 AM
For anyone who is interested, visit Openmedia.ca (A consumer advocacy group). They’re trying to do something about it. Not sure if it will succeed, but there’s good info on the issue on their website.
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January 31st, 2011 at 8:40 AM
Good! Yes, please feel free to fill in all of the petitions going on (I have little confidence they will change much), but this is an important ELECTION issue to bring up to your Candidates (at open mic sessions especially).
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January 31st, 2011 at 8:45 AM
At some point we should let the legalities of such things play out.
http://en.wikipedia.org/wiki/Market_manipulation
http://en.wikipedia.org/wiki/Regulatory_capture
The only thing you can argue is if the internet is a commodity or security, i argue once you put a price on it, industries will be affected on mass. Amazon,Netflix,Apple, Video,TV,Movies,IT, advertising, Absolutely everything now is affected.
Everything but what you tangibly buy.
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January 31st, 2011 at 8:48 AM
There are a few things you can do.
First, start spam emailing your MP.
Second, use your vote to oust your MP if they refuse to take action on behalf of their constituents.
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January 31st, 2011 at 8:50 AM
Excellent points, legality is an argument best left to the courts I agree, but be very vocal about your displeasure is important too.
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January 31st, 2011 at 8:50 AM
OK I am good with the first one, let’s leave SPAM out of it though. The second point is key, use your VOTE!
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January 31st, 2011 at 9:01 AM
My MP refuses to acknowledge my communications. As such I will constantly and consistently re-send my email until such time he pays attention to his constituents. He could reply to me and i’d cease the email SPAM campaign. Until he does he will get a plethora of emails from me.
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January 31st, 2011 at 9:07 AM
Fair enough, you can also make paper mail too, that is FREE (no postage needed to mail to your MP).
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January 31st, 2011 at 9:10 AM
[...] This post was mentioned on Twitter by David Leonhardt and bigcajunman, Damon Kropf-Untucht . Damon Kropf-Untucht said: RT @amabaie: RT @bigcajunman CRTC Proves that Monopolies are Good http://bit.ly/eHaoMx #crtc #ubb #bell #rogers [...]
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January 31st, 2011 at 11:08 AM
I agree, the situation does not look good!
Like someone else said, start with the letter writing campaign at http://OpenMedia.ca/meter.
I wrote a similar article over at http://www.2fatdads.com/2011/01/of-coffins-nails-and-innovation/
And for something funny see http://www.michaelgeist.ca/content/view/5608/196/
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January 31st, 2011 at 12:41 PM
Good ideas all!
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January 31st, 2011 at 12:48 PM
It may be important to note that Bell’s own IPTV service will not count against traffic. In other words, not only are they toying with denting net neutrality, but they’re also engaging in anti-competitive behaviour against apple, netflix, and any other streaming content providers.
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January 31st, 2011 at 1:00 PM
That’s again, all for the courts to decide too! Gotta love “Free Enterprise”
where Monopolies are allowed to crush competitors with impunity.
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January 31st, 2011 at 2:59 PM
What about National Capital Freenet (in Ottawa)
http://www.ncf.ca/ncf/registration/dsl/index.jsp#ubb
They offer up to 300 GB per month? Better than nothing.
Anyone care to comment?
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January 31st, 2011 at 5:25 PM
I’m curious how this is going to shake out in SK — here in Regina we have 2 major ISPs, Access Communications (“cable”) and SaskTel (“phone”). At this point neither mention anything about data limits. But with SaskTel having a “link” to Bell (I’m not too sure how it’s defined), I’m curious what changes they’ll make, if any.
I’m sure over time, if the usage billing continues, we’ll eventually get nailed with it here. Unfortunately.
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February 1st, 2011 at 9:07 PM
[...] Finances presents CRTC Proves that Monopolies are Good, saying, “For those of you who are not techno-dweebs or geeks (like I am), you may not have [...]
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February 1st, 2011 at 9:48 PM
I agree with others, use your democratic right and power to VOTE for change. Email your MP if your ticked. Otherwise, might as well roll over and take the beating.
At least if you’re getting played by the game, might as well own some of it; own Bell.
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February 2nd, 2011 at 7:20 AM
Very much so! If Rogers and Bell can continue these monopolies, they are going to make good money.
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February 2nd, 2011 at 8:13 AM
[...] BigCajunman views UBB as fait accompli. [...]
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February 6th, 2011 at 5:02 AM
[...] Cajun Man at THE Canadian Personal Finance Blog presents CRTC Proves Monopolies are Good, saying “With the CRTC forcing all service providers enforce UBB, it proves that there is [...]
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February 6th, 2011 at 9:52 AM
[...] Cajun Man at THE Canadian Personal Finance Blog presents CRTC Proves Monopolies are Good, saying “With the CRTC forcing all service providers enforce UBB, it proves that there is [...]
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February 10th, 2011 at 12:31 PM
Hi,
This is Rogers_Chris, part of Rogers’ social media team. I just wanted to share our blog post on the subject to clear up any confusion for our Hi Speed customers.
http://redboard.rogers.com/2011/rogers-high-speed-internet-customers-not-impacted-by-crtc-decision/
Cheers,
@Rogers_Chris
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June 18th, 2011 at 5:42 PM
[...] Man isn’t a fan of Usage Based Billing and neither are we. However, he does think the CRTC loves monopolies.A small business isn’t all about money according to Canadian Free at 45. He makes some [...]
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