5 Comments

Do you think paying more for less is a good idea?

You. Me. And the Internet.

Internet Service Providers (ISPs) are about to impose usage-based billing on YOU.

Usage-Based Billing Meter

This means we’re looking at a future where ISPs will charge per byte, the way they do with smart phones. If we allow this to happen Canadians will have no choice but to pay MUCH more for less Internet. Big Telecom companies are obviously trying to gouge consumers, control the Internet market, and ensure that consumers continue to subscribe to their television services.

These Big Telecom companies are forcing small competing ISPs to adopt the same pricing scheme, so that we have no choice but to pay these punitive fees.

This will crush innovative services, Canada’s digital competitiveness, and your wallet.

We urgently need to send a clear message to Ottawa, saying that we won’t stand by while some of the most profitable companies in the country indiscriminately add news fees to our Internet bills. Enough is enough.

UPDATE: The CRTC has just made a decision that paves the way for new internet fees to be added to your bill. To stop this we need to raise our voices now more than ever.

Sign the petition here.

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5 comments on “Do you think paying more for less is a good idea?

  1. My Friend Jay-Treat wrote:

    I don’t like the way they’re going about it! Leaving aside the fact
    that two of the largest ISPs also have their own (vastly inferior)
    streaming content services and are now feeling or will soon feel the
    pinch from Netflix, Hulu, etc…

    ISPs pay for capacity whether it’s being used or not, which makes peak
    time bandwidth more valuable than non-peak. So downloading a 4GB movie
    from 6pm-10pm “costs” the company more than if you were to do it from
    2am-6am. So even though it’s not a direct wholesale->retail
    correlation in terms of bandwidth cost, you can make some rough
    estimates based on level of service. Teksavvy’s CEO went on file
    saying that it costs approximately 0.01-0.03 $/GB for
    residential-grade and 0.05-0.10 $/GB for enterprise-grade. Considering
    companies are charging somewhere between $1-$2 per GB for overages,
    that’s a markup of 1,000 to 20,000 percent!

    Usage-based billing could work, just not in its current greedy
    incarnation. We need to start treating internet as a utility like
    electricity, with a base connection rate and actual, metered usage. So
    a sample monthly bill would be:

    $15.00 20mbs connection access
    $19.36 peak (121gb @ $0.16/gb)
    $16.52 off-peak (413gb @ $0.04/gb)

    /rant

  2. Ugh! Good luck with this. I’m not Canadian, but who knows how soon the US will follow? I thought things like cell phones and Internet, etc., were supposed to become more affordable over time, not less!

    • I agree that it’s always good policy to pay attention to what our neighbours are doing. Did you read what my friend commented? He has a good point and put it in a way I hadn’t previously thought of… it’s all about being fair rather than taking advantage.

  3. I do think charging by usage makes some sense, but we need to be careful with that, as well. It can easily end up costing a whole lot more that way, too.

    I guess we’ll just have to watch and see what happens.

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