The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Press release from CNW Group

CRTC Usage-based billing decision positive for competition

Wednesday, November 16, 2011

CRTC Usage-based billing decision positive for competition18:04 EST Wednesday, November 16, 2011Stock Symbol:  MBT   OTTAWA, Nov. 16, 2011 /CNW/ - Yesterday's decision by the Canadian Radio-television and Telecommunications Commission ("CRTC") prohibiting the imposition of usage-based billing ("UBB") on wholesale broadband access services, which is positive for our Allstream business, will promote greater competition, investment and innovation in Canadian telecommunications.The CRTC decision rejected the proposal to impose charges for wholesale broadband usage on Internet service providers ("ISPs"). In its decision, the CRTC found that these charges would limit choice and innovation for broadband services. It recognized the imperative for MTS Allstream and others to manage network traffic to respond to growing demand for bandwidth, by opting for wholesale broadband access service models that allow the incumbent wholesale provider and the ISP to manage traffic and offer service options to their respective customers."We are pleased that the CRTC has adopted a wholesale model that allows competitors to offer real choice in the market while providing MTS Allstream with the ability to manage our network capacity," said Chris Peirce, Chief Corporate Officer. "The choice of models shows that the CRTC understands that wholesale access drives competition in the market and that competition not only provides choice for consumers and businesses but is also the engine of investment and innovation. The decision will result in small cost savings for our Allstream business and has no material impact on our MTS business. We are however, reviewing the decision to ensure that prices approved fully reflect the principles established."The CRTC's decision follows a hearing that was held over the summer, in response to public outcry over the broadband UBB practices that some companies were trying to impose on their wholesale customers.About MTS AllstreamMTS Allstream Inc. is a wholly-owned subsidiary of Manitoba Telecom Services Inc. As one of Canada's leading national communication solutions companies, MTS Allstream provides innovative communications for the way Canadians want to live and work today. The Company has more than 100 years of experience, with 5,500 employees across Canada dedicated to a mission of delivering true value as seen through the eyes of our customers. MTS Allstream has nearly two million total customer connections spanning business customers across Canada and residential consumers throughout the province of Manitoba. The Company's extensive national broadband and fibre optic network spans almost 30,000 kilometres. Manitoba Telecom Services Inc.'s common shares are listed on Toronto Stock Exchange (trading symbol: MBT). Customers, stakeholders and investors who want to learn more about MTS Allstream are encouraged to visit: www.mtsallstream.com.Forward-looking Statements Disclaimer This news release includes forward-looking statements and information (collectively, the "statements") about our corporate direction, business opportunities, operations, financial objectives,  planned activities, future financial results and performance that are subject to risks, uncertainties and assumptions.  As a consequence, actual results in the future may differ materially from any conclusion, forecast, anticipation or projection in such forward-looking statements.  Examples of statements that constitute forward-looking information may be identified by words such as "believe", "expect", "project", "should", "anticipate", "could", "target", "forecast", "intend", "plan", "outlook", "see", "set", "pending", and other similar terms.Factors that could cause anticipated opportunities and actual results to differ materially include, but are not limited to, matters identified in the "Risks and Uncertainties" section and elsewhere in our most recent annual MD&A and any subsequent quarterly MD&As, as well as our most recent Annual Information Form, all of which are available on SEDAR at www.sedar.com.Please note that forward-looking statements reflect our expectations as at the date hereof.  We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise except as required by law.For further information: Media:  Jessica Poitras MTS Allstream Corporate Communications (204) 941-7823 media.relations@mtsallstream.com              Investors:    Paul Peters MTS Allstream Investor Relations (204) 941-6178 investor.relations@mtsallstream.com