Minister Bains announces next steps to help reduce wireless prices and promote competition

March 5, 2020 – Toronto, Ontario

More than ever, Canadians are relying on wireless services for their everyday needs, making access to high quality and affordable wireless services absolutely essential. That is why the Government of Canada is offering Canadian consumers more affordable options by helping to reduce the cost of mid-range wireless services by 25 percent and further increasing competition.

Today, the Honourable Navdeep Bains, Minister of Innovation, Science and Industry, took the opportunity to highlight the progress made to date to help reduce prices. He announced the release of the 2019 Price Comparison Study. The study shows that average prices from regional providers were up to 45 percent lower than plans provided by the three big national carriers. While this progress is promising, the prices for mid-range plans have not moved.



To that end, Minister Bains presented the next steps to lower prices for telecom services and promote competition. To track progress of a 25 percent reduction, the Government will report on wireless pricing quarterly by establishing a clear benchmark. This will also increase transparency. For cellphone plans that offer 2 GB to 6 GB of data, the three big national carriers—Bell Canada, Rogers Communications Canada and Telus Communications—are expected to lower their prices by 25 percent in the next two years.

If these targets are not met within two years, the Government will take action with other regulatory tools to further increase competition and help reduce prices.

To promote greater regional competition and lower prices, Minister Bains also announced the rules for the 3500 MHz spectrum auction. In the past, pro-competitive auction rules have allowed regional providers to more than double their share of low-band spectrum, creating more competition in the marketplace and lowering prices as a result. That is why this auction will reserve 50 MHz for small and regional telecom companies, encouraging more competition in the wireless market and ensuring they are on a more equal footing with the three big national carriers. The 3500 MHz bands are recognized around the world as one of the key spectrum bands for 5G technologies. This spectrum will support higher speeds, increased data usage and new applications.

