Hacker News new | ask | show | jobs
by JimmyL 5612 days ago
If you're curious about the regulatory history of this issue - and who isn't, really - then CRTC decisions 2010-255 (http://crtc.gc.ca/eng/archive/2010/2010-255.htm) and (http://crtc.gc.ca/eng/archive/2011/2011-44.htm) 2011-44 may be of interest to you. The former is the final in a series of decisions relating to Bell's request to allow them to move independent ISPs onto usage-based billing, and the latter is the recent decision on (effectively) an appeal of that decision.

If you don't care to skim the whole thing, the bottom line is that Bell is now able to force usage-based billing onto third-party ISPs, but must offer them a discount of 15% under the retail price at which Bell sells those services directly to customers.

Some other interesting tidbits found in there:

Unsurprisingly, Bell was against the idea of any discount, saying that even without a discount it would still be possible for independent ISPs to differentiate their services on price and "other methods". It's not clear how they'd actually do this, however. Oh, and PS there's way to determine an acceptable discount rate even if those assertions weren't true, so we shouldn't have one.

There's a nice note in there that "[the] Commission also received a large number of comments, mostly from individuals, that almost unanimously opposed the Bell companies' applications [to force usage-based billing]" - thanks for pointing that out, CRTC.

Bell is only required to provide third-party access to their legacy ATM networks, and not their new fiber-optic networks. This makes sense - as I've never seen the service advertised - but I hadn't seen that in writing anywhere.

If Bell ever does some form of promotion where they let people sign up on unlimited plans, they have to let third-party ISPs do this as well - although the mechanics are unstated ("[The] Commission finds that...to the extent that each company chooses not to charge UBB rates to any existing or new retail customer, it is required to treat GAS ISPs on an equivalent basis.").

Bell was about ambitious as you can get in the list of things they requested from the CRTC in these decisions. I'm not saying that I like this decision (as of March 1st I'll be paying TekSavvy more for less), but the CRTC did OK for the little guy when you see what else Bell wanted.

No one - not Bell, not the CRTC - says this is a technical issue. It's not that Bell can't handle all the bandwidth people use (which require a technical ITMP, in CRTC-ese), but that they see this as a way to increase profits by charging people who use more bandwidth more money (hence it's an economic ITMP).

1 comments

This is EXACTLY what regulatory capture is all about. Bell knows the game and played it masterfully.

Ask for the moon - ask for really ridiculous things, but expect to only get half of those things. The CRTC, wanting to seem "reasonable" and "balanced", meets Bell halfway. Unfortunately, halfway towards Bell's ridiculous agenda is still absolutely terrible for consumers, a perspective that the CRTC has utterly failed to consider.

This is a classic problem, one that recently contributed to the Gulf oil spill as well (and resulted in the disbanding of the regulator, just as the CRTC should be disbanded or, at the very least, stripped of its ability to regulate the internet).

The fact that the CRTC is stacked with former Bell and Rogers employees and NO ONE to represent the public or small ISPs also helps.

The CRTC is just a stooge pretending the play the part of opposition, while they are actually a collaborator.

Are they? From http://www.crtc.gc.ca/eng/about/commissioners.htm, the backgrounds of the Commissioners:

von Finckelstein (Chairman) was the head of the Competition bureau and implemented NAFTA.

Katz (Vice-Chair, Telecommunications) was at Bell and Rogers until 2001.

Morin (Secretary-General) was a career bureaucrat.

Cugini (Ontario) was with Alliance Atlantis, a film and TV company.

Lamarre (Quebec) was with the CBC.

Duncan (Atlantic) comes from various small players in the Cable TV industry.

Molnar (MB and SK) comes from Customer Service and Regulatory Affairs at SaskTel.

Menzies (Alberta) ran the Calgary Herald, a large newspaper.

Denton was on the board of CIRA and was the solicitor of the Canadian Association of Internet Providers (the industry group of independent ISPs).

Patrone, Morin, and Poirier were journalists.

Simpson was an ad exec.

If you're counting obvious (perceived) biases there, you'd say Katz is representing Big Telco and Denton is representing independent ISPs. Molnar would count as a half-vote for Big Telco (as SaskTel is an ILEC), but it's a minor one. The rest, as I see it, have no obvious perceived biases in this case.

As for the high-ranking staff, that's a lot harder to figure our their backgrounds - although most of them should be civil service positions, which means they're relatively impartial.

If we check out our lobbying disclosures (always interesting when it comes to this), we see that in the past year there have been 18 registered conversations between lobbyists and the CRTC on the issue of Telecommunications - and of those, I'd guess that the two from Bell and one from SaskTel were probably focused on Internet-related issues, whereas the Quebecor/Globalive/Shaw/CMPA ones weren't.

Okay, here's another ponderous question then: How many of those individuals have any qualifications whatsoever that would indicate they are in any way knowledgeable about digital media and the internet?

Why are we allowing broadcasters, journalists, former telecom execs and bureaucrats to rule on a topic and culture they clearly don't understand?

Furthermore, where are the consumer advocates? Clearly the companies they're regulating are well represented. Where's the other side of the picture?