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Old 02-01-2011, 06:22 PM   #351
Jimmy Stang
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Join Date: Sep 2008
Location: Calgary
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I'd be happy with a solution that saw the independent ISPs allowed to compete again (imagine that) with a reasonable wholesale rate. Someone earlier suggested cost + x, which would obviously have to be determined as fairly as possible. Forcing independent ISPs to pay 85% of retail rates is simply anti-competitive.

Let Teksavvy bill based on the actual cost to deliver the service (plus a reasonable wholesale markup), and you'll see these caps from Shaw, Bell, Rogers disappear overnight. Or at least the strict, widespread enforcement of them.

Shaw's reduction and enforcement of their caps is annoying, but the neutering of the independent competition is the bigger issue here. In fact, once the dust settles from this ruling, I'll consider taking my internet business elsewhere just out of principle. I also have more influence than I sometimes want in tech decisions at work, at my parents place, my in-laws, etc.

I realize that Shaw's primary goal, like any business, is to maximize the return for the shareholders. I also believe that they underestimated the response from internet users and have alienated a large number of them. In the long run, this tactic may have a negative impact on the bottom line. I'm not saying that Shaw is going to suffer much, but there are enough people that would have continued paying their Shaw bill every month that are now aware of (and probably sympathetic to) the independents.

I have been somewhat loyal to Shaw over the years. They were always straight up with the prices, the service was good (for me at least), and their products did the trick for me. I can honestly say that this has diminished my trust in the company. Press the regulator to pass something that is clearly anti-competitive / anti-consumer and waste no time in quietly taking advantage of the ruling to lower caps and start charging overages. All the while, knowing that the consumer's choice has been severely limited by the same ruling. Classy, Shaw. And some people will remember it when they are shopping around for internet services.
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