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CRTC Finalizes Wholesale Internet Rules, Aiming to Balance Competition and Investment

Canada’s telecommunications regulator, the CRTC, has issued its final decision on wholesale internet access, reaffirming that the country’s largest telecom companies can provide services over fibre networks built by their competitors—provided they operate outside their primary regions. This long-debated policy, which has divided industry giants like Telus, Bell, and Rogers, as well as independent providers, is designed to foster competition while maintaining incentives for network investment.

Striking a Balance

The CRTC maintains that its framework offers a careful balance: it allows major providers such as Rogers, Telus, and Bell to access each other’s fibre networks for a fee, but only outside their traditional territories. This approach, the regulator argues, will have only a “modest” short-term impact on the market share of regional carriers and is already showing early signs of increased competition. The commission plans to keep monitoring the market and make adjustments as needed to ensure the policy’s effectiveness.

Industry Reactions

The decision has sparked strong reactions across the sector. Bell and Rogers have criticized the policy, warning it could discourage investment in new infrastructure and harm rural and remote communities. Bell has already scaled back its investment plans in response, citing concerns about long-term network resiliency and competition. Independent providers and industry groups, meanwhile, worry that the rules could ultimately squeeze out smaller players, reducing consumer choice and affordability.

On the other hand, Telus has welcomed the decision, arguing that it enhances competition and affordability in regions where it lacks its own infrastructure. Telus has already started offering fibre internet services in Ontario and Quebec through the wholesale regime and plans to expand further. The company contends that the framework encourages investment within core markets while promoting choice elsewhere.

Ongoing Debate

Some independent providers and advocacy groups continue to push for lower wholesale rates, arguing the current fees make it difficult for smaller ISPs to compete with national brands. Meanwhile, think tanks like the Montreal Economic Institute caution that forcing below-cost access could undermine long-term investment in Canada’s broadband infrastructure, potentially impacting service quality.

The CRTC’s decision, which follows years of interim rulings and consultations, will continue to be closely watched. The regulator has committed to ongoing reviews and adjustments to ensure both competition and investment are supported as the framework is implemented nationwide.

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