February 1, 2011 - The Liberals are opposing a Canadian Radio-Television Telecommunications Commission (CRTC) ruling on Internet usage that could led to usage caps and higher Internet rates.
CRTC Decision to Cap Internet Usage and Allow Higher Rates
The CRTC ruling allows major Internet service providers like Bell and Rogers, to put a cap on how much data consumers can download. It will also allow for higher internet rates for those consumers who go over their allowed amounts. This decision has angered Canadian consumers and businesses and have flooded government officials with thousands of complaints.
Industry Minister Tony Clement, has agreed to review the decision, after being bombarded by thousands of consumer complaints. An online petition by OpenMedia.ca has already generated more than 200,000 signatures in favor of overturning the CRTC's decision.
How a Larger Cap on Internet Usage Could Affect Canada
Individual consumers would not be the only ones affected by an internet cap. Many businesses that rely on using the internet would see a large increase in fees for conducting their daily operations. Schools that use the internet for studies would also see an increase in fees that would have to somehow be recouped.
Even companies like U.S based Netflix are concerned about this ruling. Just recently, Netflix launched its business in Canada and relies on Canadians having access to affordable Internet. The company offers television and movies that are streamed to televisions over the Internet.
Since 2006, companies like Shaw, Bell and Rogers have had caps in place and few consumers exceed those caps, reports The Globe and Mail. But with more legal movie-rental options and optimized websites coming to the market, consumer download usage in on the rise.
The Government's Role in Providing Canada With Affordable Internet
Prime Minister Stephen Harper has instructed his government to review the CRTC's decision and to make a ruling very quickly.
New Democratic Party critic Charlie Angus, has welcomed this review but questions the government's sincerity in doing it for the benefit of Internet consumers. Says Angus, " Canada used to be a world leader in terms of access and speed, If the CRTC's decision is not overturned, Canada is in danger of becoming a digital backwater."
Comcast Corp., the largest Internet provider in the United States, has a download cap of 250 gigabytes, the equivalent of downloading 125 movies. By comparison, Canadian customers of Bell who are part of the largest plan offered, see a cap at 75 gigabytes.
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