The Canadian government has confirmed its support for a decision made by the country’s telecommunications regulator that permits major internet providers to offer services to customers through fiber networks owned by their competitors, but only in regions outside their primary areas of operation. Industry Minister Melanie Joly stated that the Canadian Radio-television and Telecommunications Commission’s (CRTC) policy change will promote increased competition in the provision of high-speed internet services nationwide. The government has chosen not to modify the CRTC’s ruling to expand mandatory wholesale access, following consultations with experts, the Competition Bureau, and numerous public submissions.
The regulator’s final ruling in June addressed a longstanding dispute involving Telus Corp., Bell Canada, Rogers Communications Inc., and various smaller providers who opposed the framework. Bell argued against the policy, claiming it could deter major providers from investing in their infrastructure, while independent carriers expressed concerns about competing against larger players. Telus, on the other hand, defended the decision as a means to enhance competition in areas where it lacks network infrastructure, ultimately benefiting customers with more affordable services.
Initially effective in May 2024 in limited regions, the framework required Bell and Telus to grant competitors access to their fiber-to-the-home networks for a fee. The CRTC later extended this requirement nationwide to networks operated by telephone companies. Notably, the policy only applies to existing fiber networks due to the high cost of fiber deployment, with a provision that new infrastructure built by major telecom companies cannot be shared with competitors for five years.
Following a government request for reconsideration, the CRTC upheld the policy in February, emphasizing the balance between competition and investment without significantly affecting regional carriers’ market share. Ottawa’s decision to support the CRTC’s ruling by the August deadline is expected to enhance competition, increase consumer choice, and drive down costs for high-speed internet services across Canada.
While Bell, Rogers, and the Canadian Telecommunications Association had urged the government to overturn the CRTC’s decision, Telus welcomed the ruling, emphasizing its positive impact on competition, innovation, and infrastructure investment in the country. Telus plans to expand its fiber internet service offerings in various regions, attributing its $2 billion investment in broadband services over the next five years to the CRTC’s wholesale fiber framework.