1. CANADIAN TELECOMMUNICATIONS IN TRANSITION Ariane Siegel

2. Telecom 101 Glossary Framework Driving Force Competition Constitutional Telecom Policy Telecom Players

3. Telecom Glossary LEC=Local Exchange Carrier ILEC=Incumbent Local Exchange Carrier (e.g. Bell Canada) CLEC=Competitive Local Exchange Carrier (e.g. AT&T)

4. Telecom Glossary CISC=Canadian Interconnection Steering Committee BAIW=Building Access and Inside Wiring MTR=Main Terminal Room MDU=Multi Dwelling Unit

5. The Regulatory Framework FEDERAL JURISDICTION Railway Act Telecommunications Act Broadcasting Act CRTC Telecommunications INDUSTRY CANADA Radiocommunications Spectrum Allocation HERITAGE CANADA Culture

6. Introduction of Competition CRTC LANDMARK RULINGS ON COMPETITION LONG DISTANCE 1992 INTERNATIONAL 1998 LOCAL 1997

7. Driving Forces Technological development Geography Nature of political system Commercial needs Social and community interests U.S. developments Globalization

8. Constitutional Issues The federal governments exclusive power to regulate communications has been grounded in several heads of power under the Constitution Act, 1867 and confirmed by case law. Compelling interests –provincial and municipalregarding these fields. Interest in issues including economic and cultural issues, regulation of land use, need to maximize property values and health and safety

9. Constitutional Issues Telecommunications Act is principal piece of legislation Except for persons landing international submarine cable, or providing basic international telecommunications services, telecommunications service providers (including telecommunications common carriers) are not required to hold licences in order to be able to operate.

10. Telecom Policy 7. ( a) to facilitate the orderly development throughout Canada of a telecommunications system that serves to safeguard, enrich and strengthen the social and economic fabric of Canada and its regions; (b) to render reliable and affordable telecommunications services of high quality accessible to Canadians in both urban and rural areas in all regions of Canada; (c) to enhance the efficiency and competitiveness, at the national and international levels, of Canadian telecommunications; (d) to promote the ownership and control of Canadian carriers by Canadians;

11. Telecom Carriers telecommunications common carrier means a person who owns or operates a transmission facility used by that person or another person to provide telecommunications services to the public for compensation;

12. Telecom Carriers Entities that own or operate transmission facilities qualify as telecommunications common carriers and are subject to regulation by the Commission. Entities that use transmission facilities to provide service to the public (resellers) would be exempt from much regulation. The Commission suggested that only resellers that offer end-to-end basic telecommunications service by means of interprovincial services or facilities that they configure, and where they exercise control over the carriage and routing of traffic would be caught be the definition of companies operating telegraph or telephone systems under the Railway Act. In June, 2012, Bill C-38 came in force and removed foreign ownership limits for entities with less than 10% mkt share.

13. LECs Facilities based Must be Canadian (ownership and control) What is Canadian Telecommunications Common Carrier Ownership and Control Regulations (the Regulations). The Regulations allow non-Canadian to own up to 331/3% of a carriers holding company. Together, the Act and the Regulations bring total direct and indirect foreign investment limits on Canadian facilities-based carriers to 46.7%. (Apply only where entity has greater than 10 % market share).

14. LECs-Canadian Owned Since June 29, 2012, only LEC carriers with greater than 10% market share must meet foreign ownership limits. Telecommunications Common Carrier Ownership and Control Regulations (the Regulations). The Regulations allow non-Canadian to own up to 331/3% of a carriers holding company. Together, the Act and the Regulations bring total direct and indirect foreign investment limits on Canadian facilities-based carriers to 46.7%.

15. Long Distance Providers Extent of regulation depends on whether facilities based If yes, must be canadian owned and control Subject to Telecom Act CRTC forborne from most active regulation

16. Resellers Register Pay contribution Comply with other requirements e.g. privacy, 911.

17. International Service Prov Register Facilities based or resale Licence for provisions of international service Pay contribution

18. ISPs Extent of regulation depends on whether facilities- based Lighter regulatory regime Pay contribution

19. Wireless Forborne from regulation Some exceptions –E911, privacy, ownership of spectrum Ownership of spectrum-radiocommunications carriers Canadian ownership and control requirements that are the same as those in Telecom Act Business of providing wireless-other federal and provincial laws of general application Criminal, Consumer Protection, Competition Act,

20. Wireless Text Messaging

21. Other Voices So far this is about the businesses What about users Residential customers Business customers Commissioner for complaints- new regime New players-WIFI, VOIP, Real Estate Owners CISC