Essay on Independent ISPs

Essay on Independent ISPs

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The viable option that could help create more competition that is seen as a real alternative to the big players by consumers . That could help result in reduced prices and the minimize the throttling of networks that reduces speeds of independent ISPs as well as their own customers. The option I believe that would best achieve these results would be to allow foreign investment to help independent ISPs better compete by reducing the percentage of how “Canadian” a company has to be. The current marketplace allows for big players to control the market because they have the capital to control the infrastructure needed to run a viable ISP service. The facilities-based competition that the CRTC believes there is non-existent. Independent ISPs are unable to access cable companies infrastructure and thus can not set up a cable ISP service. .This allows the Cable ISPs such as Rogers and Shaw tocontrol that part of the broadband market because the independent ISPs can not afford to pay for access and get no assistance from the Government or investors in Canada because they realize that it is an uphill battle that they can not succeed in without taking losses in the beginning. With Foreign investment being allowed to come into the marketplace this would allow them to help set up a cable infrastructure separate from the existing cable companies who are unwilling to assist the independent ISPs. This would create competition in the cable ISP market and more realistic facilities-based market. Foreign investment would then raise the level of ISPs resulting in more innovation by the existing cable ISPs who have no need to innovate in the present marketplace to ensure they keep their market share. Foreign investors from the U.S or other...

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...nd by speed the latter would not be possible without their own infrastructure. Foreign competition gives them the ability to do this. Especially in the Cable ISP market where infrastructure is needed to enter the market. The government would have to only amend the telecommunications act so that the foreign ownership percentage to a maximum of 45 % to allow Canadian ISPs to be still in control but have the room for investors to come in and make a significant contribution that would be worth their while. Independent ISPs provide the market research and understanding that foreign investors need twill the investors would be put into good use because the ISPs know what they need to succeed in the marketplace. Since they will be able to create competition in a country that has one of the highest prices for broadband consumers are known to be looking for an alternative.

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