(Toronto) Canada’s national telecommunications regulator will allow independent competitors to sell internet services over the fiber optic networks of major telephone companies in Ontario and Quebec, it said Monday.
The Canadian Radio-television and Telecommunications Commission (CRTC) announced the decision Monday at the Canadian Telecommunications Summit in Toronto as part of an ongoing review of third-party access to fiber optic networks aimed at stimulating competition and lowering prices for customers.
In March, the CRTC announced it would cut some wholesale internet rates by 10%, as it launched its review of the rates smaller competitors pay large telecommunications companies to access their networks. It planned an expedited investigation into whether large operators should provide smaller competitors with access to their fiber-to-the-home networks.
The CRTC says its review found a significant decline in competition in Ontario and Quebec, where independent internet providers currently serve 47% fewer customers than they did two years ago.
The regulator highlights that Monday’s decision aims to stabilize the market in areas where it will have a significant impact on choice and affordability for consumers, in line with the directive from Industry Minister François-Philippe Champagne. The latter asked the CRTC earlier this year to strengthen consumer rights.
The CRTC says it is also setting interim rates that smaller competitors will pay to access fiber optic networks, which will support both competition and continued investment in high-quality networks.