Annual government study shows prices for most wireless and home
Internet services declined in 2023
OTTAWA,
ON, April 30, 2024 /CNW/ - Canadians deserve
affordable and reliable telecommunications services. That's why the
government has introduced policies that promote competition and
directed the Canadian Radio-television and Telecommunications
Commission (CRTC) to focus on competition, affordability and
consumer rights.
Today, the Honourable François-Philippe
Champagne, Minister of Innovation, Science and Industry,
announced the publication of the 2023 Price Comparison Study
of Telecom Services, an annual report that tracks the prices for
wireless and home Internet services.
The report shows that wireless prices have declined an average
of 18.2% for data plans in 2023. This is consistent with the annual
18.6% price decline reported by Statistics Canada (Monthly change in the cellular
services price index) for the same time period.
For home Internet, the report found prices decreased across all
service plans in 2023. There were significant decreases on plans up
to 100 Mbps, including decreases of 8.6% for plans offering the
universal access target of 50 Mbps. These results are consistent
with data reported by Statistics Canada (Monthly change in the Internet access
services price index), which shows an annual decline of 5.9%.
This goes hand in hand with recently announced Budget 2024
measures, including amending the Telecommunications Act to
better allow Canadians to renew or switch between home Internet,
home phone and cell phone plans to find better deals. The
government will continue fighting for fairer prices, increased
transparency and more flexibility in the telecommunications
sector.
Quotes
"More competition is the key to making telecommunications
services more affordable for Canadians. This year's price
comparison study shows our approach is working. Our government's
policy direction to the CRTC to focus on competition, affordability
and consumer rights is clearly yielding results. Coupled with new
measures proposed in Budget 2024, we will continue to advance
policies that improve competition and promote better prices for
Canadian consumers while giving them more power when it comes to
telecom services."
– The Honourable François-Philippe
Champagne, Minister of Innovation, Science and Industry
Quick facts
- The 2023 study is the 16th edition of an annual study
commissioned by Innovation, Science and Economic Development Canada
to examine the pricing of telecom services.
- The study provides a detailed price analysis of telecom
services in Canada, both
regionally and relative to G7 peer countries and Australia.
- Since the Rogers-Shaw and Quebecor-Freedom transactions
were approved (between March 2023 and
March 2024), wireless prices have
declined by 26%, as shown by Statistics Canada's Cellular Services
Index.
- In December 2023, 20 gigabyte
plans were widely available for prices in the range of $30 to $40. This is
a dramatic decline compared to 2022, when these plans were being
sold for an average of $73.
- The report found that Canadian wireless prices are becoming
more competitive internationally compared to our G7 and
Australia peers, with prices in
Japan and the USA consistently higher than in Canada. Customers out of contract and
dissatisfied with their current providers should consider switching
to take advantage of the improved competition. ISED's Compare
mobile phone and Internet plans web page can help connect Canadians
with websites that compare mobile and Internet service providers'
prices, plans and coverage areas.
- On February 13, 2023, the
government issued a policy direction to the CRTC to put in place
new rules to improve competition and support consumers, leading to
lower prices and better telecommunications services for
Canadians.
Associated links
- 2023 Price Comparison Study of Telecom Services
- More affordable telecom services
- Policy direction to the CRTC
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SOURCE Innovation, Science and Economic Development Canada