New CRTC ruling might mean more cellphone competition in Sask.
A ruling from Canada's telecom regulator means smaller cellphone companies may one day be able to operate in Saskatchewan.
On Wednesday, the Canadian Radio-Television and Telecommunications Commission (CRTC) announced that Bell Mobility, Rogers, Telus and SaskTel must negotiate with small mobile virtual network operators (MVNOs) looking to gain access to the larger companies' cellular networks.
MVNOs are small cellular companies that purchase space on larger companies' networks and then resell it to consumers. Traditionally, these MVNOs offer discounted rates.
"The carriers in Canada have been notoriously bad at working with MVNOs," said Amanda Oye, editor and chief reporter at telecommunications news outlet cartt.ca.
"The reason why the CRTC had to come in and regulate this space is so that the the larger carriers have to negotiate with carriers who meet certain conditions."
Oye said that only companies that have an existing presence in the Canadian cellphone market will be allowed to make an application to use the larger networks. As a result, the CRTC's ruling will limit the amount of companies that will be able to participate.
"There are a lot of people out there who will say that this MVNO decision was botched," said Oye.
"They argue that this is not the way to increase affordability in Canada because there are so many restrictions in terms of who qualifies to be able to take advantage of this."
SaskTel said it would be looking at the announcement closely.
"We are aware of the announcement the CRTC made regarding mobile virtual network operators and are in the process of evaluating what impacts it may have on our operations," read a statement from the company.
"SaskTel remains committed to providing our customers with the reliable and high-quality communications services they have come to expect from us."
Last year, the telecom companies made submissions to the CRTC on the issue and the regulator set ground rules.
Oye said the decision is not designed to last forever.
"There's a seven-year time frame with this model that the CTRC has put out," said Oye.
"You have to be working to build out your network yourself and you will eventually transition your customers over to your own network and this whole thing will be phased out."
