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OpeningRemarks-CIPPIC_OpenMedia

OpeningRemarks-CIPPIC_OpenMedia

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Published by: OpenMedia_ca on Jul 12, 2011
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07/12/2011

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TelecomNoticeofConsultationCRTC2011-77
ReviewofBillingPracticesforWholesaleResidentialHigh-SpeedAccessServices
CRTCReferenceNo.:8661-C12-201102350
OralCommentsofOpenMedia.ca
July12,2011
 
SteveAnderson,ExecutiveDirector,OpenMedia.ca
TamirIsrael,StaffLawyer,CIPPIC
 
 
CIPPIC/OpenMedia.caTNCCRTC2011-77OralSubmissionsJuly11,2011
 
1
Goodmorning.1.
 
Mr.Chairman,Commissioners,mynameisTamirIsrael,stafflawyerwithCIPPIC,theSamuelson-GlushkoCanadianInternetPolicy&PublicInterestClinic,andherewithmetodayisSteveAndersonwhoistheexecutivedirectorofOpenMedia.ca.2.
 
Iwantedtothankyouforgivingustheopportunitytocomeheretodaytoparticipateinthisproceeding.IttouchesonissuesthatareveryimportanttoOpenMedia.caandtoCIPPIC,sowearegratefulforthisopportunity.3.
 
Tostartoffthismorning,Steveisgoingtotalkabitingeneraltermsaboutsomeofourconcernsthatareraisedbythisproceeding,andthenIwilladdresssomeofthequestionsyouhaveputtousinyourCommissionletterlastweekinmoredetailandtieintheconcernsheraisesatthatpoint.++++++++++++++++++++++++++++++++++++++++++4.
 
Thankyouforhavingmeandforholdingthisimportanthearing.5.
 
IappearbeforeyouasexecutivedirectorofOpenMedia.ca6.
 
Openmedia.caisaNational,non-partisan,non-profitorganizationengagingCanadiansingoverningandsafeguardingtheinternetforapositivedigitalfuture.7.
 
Iwillprovideasocialcontextandabroadcitizen’sperspectiveonthemattersraisedinthispublicnotice,andlayoutthebasicprinciplesofoursubmission.8.
 
Overthelastfewmonths,fourhundredandninety-onethousandCanadianshavesignedOpenMedia.ca’sStopTheMeterPetition.Ofthose,nearlyonehundredthousandfollowedupandsentinsubmissionsforthishearing.That’sonehundredthousandCanadianswhoaredirectlyappealingtoyouonthisissue.Asyouknow,thatisanunprecedentedlevelofcitizenengagementforatelecomissue.Thepubliccares,andthepubliciswatching.They’redependingonyoutomaketherightchoices.9.
 
ActingonbehalfofCanadians,OpenMedia.caandCIPPIChaveputforwardasubmissionthatisdeeplyfacts-based,butalsoinformedbythesehundredsofthousandsofCanadians,frompolicyexperts,tosmallbusinessowners,toindependentISPs,topeoplewithdisabilitiesjusttryingtoscrapeby.Theirconcernsarevalid,andthereisclearevidencetobackthemup:Canada’sdigitalfuturewillthrivethroughmorecompetition,morechoice,andultimatelyanon-meteredandaffordableInternetlikeourglobalcounterparts.10.
 
I’mpleasedtoappearbeforethecommissionbecauseevidenceshowsthatanengagedandempoweredregulatoriscritical.AsarecentBerkmanCentrereportnotes,“an
 
CIPPIC/OpenMedia.caTNCCRTC2011-77OralSubmissionsJuly11,2011
 
2
engagedregulatorpracticallyenforcingopenaccesspolicyismoreimportantthantheformaladoptionofthepolicy”.11.
 
Basedonresearchandclearevidence,theoutcomeofthishearingshouldbeawholesalepricingregimethatiscost-based,transparency-based,andfact-based.12.
 
Firstly,Cost-basedsothatCanadianshaverealchoiceforInternetaccess,whereinindependentISPs–withpricingautonomy–offercompetingpricingmodels,servingasalternativestoincumbenttelecomsthatcurrentlydominate.Cost-basedtoenablecompetitionandthuslowerprices.Cost-basedbecausewecannotaffordtoallowafewcompaniestostiflecompetitionandimposeastrangleholdonthecriticalInternetaccessmarket.13.
 
Secondly,theoutcomeofthishearingmustbetransparency-basedbecauseit’scrucialwehaveamarketbasedonactualcostsandnotinflatednumbers.We’veseenseveralpricingschemesfloated,themostrecentbeing19centpergigabyte,downfromthepreviousasksofupto$2.50pergigabyte.Weclearlyneedtohavesomekindofmechanisminplacethatshowsustheactualcostsfortelecomcompanies–whetheritbethroughpublicdisclosureandpublicscrutiny,orindependentcostingaudits.14.
 
Andlastly,theoutcomeofthishearingmustbefact-based.15.
 
Ifwearegoingtomoveforwardinapositivedirection,andIthinkwecan,weneedtooperatebasedontheactualrealitybeforeus.Wecannolongerallowdecisionstobecloudedbymischaracterizationsofindustryrealities.FACT1:WearesimplyNOTfacinga“bandwidthcrisis”.Growthrateshaveactually
decreased 
inrecentyears,slowingtoabout40%peryear.FACT2:Bigtelecom’sinvestmentinnetworkinfrastructureinCanadaasapercentageofrevenuehasfailedtokeeppacewithourOECDcounterparts.FACT3:ISPs
can
dealwithdemandthroughnetworkinvestment.Wedon’tneedmeteredpricingtodetercustomersfromusingtheinternet.FACT4:Cuttingedgebusinessmodels,fromcloudcomputing,torealtimeinteractivemedia,topeer-to-peerapplications--requireMOREinternetusage,notless.16.
 
WeshouldnotbedeterringaverageCanadiansfromusingmoreInternet.17.
 
AstherecentOpenMedia.careportCastingAnOpenNetmakesclear,CanadaisfallingbehindonseveralkeyInternetmetricswhencomparedwithourOECDcounterparts,most

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