More competition is the best way for Canadians to get cheaper cell phone plans

News release

July 16, 2020 - GATINEAU, QC - Competition Bureau

Even with the widespread introduction of “unlimited” cell phone plans, more Canadians could save money on their cell phone bills if Bell, Rogers and Telus faced greater competition from regional carriers like Freedom Mobile and Videotron.

This finding is part of the Competition Bureau’s final submission in the Canadian Radio-television and Telecommunications Commission’s (CRTC) review of mobile wireless services.

The Bureau’s analysis found that prices can be more than 50% lower for all cell phone users in markets where there is strong competition from regional carriers. These savings are far greater than what some customers may have saved as a result of “unlimited” plans.

The Bureau continues to recommend that the CRTC pursue a Mobile Virtual Network Operator (MVNO) policy where Bell, Rogers and Telus would sell temporary access to their wireless networks to regional carriers who intend to invest and further expand their own networks. This model represents an incremental, time-limited policy to incentivize and accelerate the expansion of regional carriers so that they can quickly deliver lower prices and greater choice to more Canadians.

For more information, please see the submission to the CRTC.

Quotes

“Canadians now more than ever rely on their wireless services to work, learn, shop for essential products and services, and connect with friends and family. Our recommendations in this proceeding provide an evidence-based approach to increasing competition. Effective competition is key to delivering lower prices, more choice, and high-quality networks.”

Matthew Boswell
Commissioner of Competition

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