Canada's telecommunications regulator has lowered some wholesale internet rates by 10% as it tries to boost competition and lower costs for consumers.
The Canadian Radio-television and Telecommunications Commission (CRTC) said that it was taking the action to lower wholesale internet rates as there is not enough competition in the domestic sector.
The regulator is trying to reduce the rates that smaller competitors pay major telecom companies such as Bell (BCE), Rogers (RCI) and Telus (T) for access to their networks.
The CRTC added that it is also probing whether smaller competitors should be given access to the wireless networks of the big carriers so that they can improve internet speeds for their customers.
In 2021, the CRTC reversed a decision from two years earlier to lower wholesale internet rates after major operators argued that the lower rate would result in them selling at a loss.
Rogers, Bell and Telus also continue to argue that lowered rates limit their ability to invest in internet services in rural and remote areas of Canada.
The Competitive Network Operators of Canada, which represents independent internet service providers, said in a written statement that it is encouraged by the CRTC’s step to lower wholesale internet rates.
Canadians can participate in the CRTC’s latest wireless review until June 22 by submitting feedback on the regulator’s website.
