The federal government is developing a broad, national digital strategy that could be released in the March budget, say experts and insiders.

Insiders say they expect a made-in-Canada, national digital strategy that will touch upon modern spectrum management; information and communications technology; telecom management; research and development; broadband access; electronic medical records; e-commerce; copyright reform; cyber-security; next generation networks (NGN); and foreign-ownership policy.  

The movement for Canada to create a national digital strategy gained momentum in April 2009 after the Conservative government introduced an anti-spam bill to crack down on unwanted e-mails and cellphone text messages. 

By June 2009, Industry Minister Tony Clement announced that a digital economy action plan was in the works for the fall—but none was released.

A broad effort is now under way, with a national strategy being led by Industry Canada’s Spectrum, Information Technology and Telecommunications branch, headed by assistant deputy minister Helen McDonald. 

“We are ready for a strategy that holds together taxation policy, talent strategies, capital, the government being a leader, [and] broadband policy,” Information Technology Association of Canada (ITAC) president and CEO Bernard Courtois told The Wire Report. “We are expecting to see … the use of ICTs [information and communications technologies] to drive the economy.” 

Clement told The Hill Times last fall that ICTs are a “critical part” of Canada’s knowledge economy, representing 4.8 per cent Canada’s GDP and employing 570,000 people. 

NDP MP Charlie Angus, his party’s digital affairs critic, said the strategy should include “net neutrality, progressive copyright, and ensuring access into regional areas so that new business models can come upstream and Canadian businesses can compete around the world.” 

Broadband has been a hot topic recently as rural communities ask the government for better access. The issue is expected to be a cornerstone of the policy. 

Some observers speculate that the government may open up additional spectrum for broadband Internet. 

“It is essential if we are going to have a modern competitive economy in this century, when the competition is very, very stiff from other countries,” Liberal MP Marc Garneau, his party’s industry critic, said in an interview. “We need to connect as many Canadians as possible to the Internet.” 

A holistic approach is seen as necessary as the federal government’s action plan could affect multiple industries and require the expertise of several government departments. 

“To take advantage of the enabling effect of technology, you have to look at everything from immigration policy, talent, access to capital, and science and technology,” Courtois said. “People now realize that whether you are in the auto industry or the forestry industry, if you’re not going the way of the digital economy, you are going to under-perform.”

In March, Heritage Minister James Moore announced the creation of the Canadian Media Fund (CMF), which combined the Canadian Television Fund and Canada New Media Fund to promote quality Canadian content on multiple platforms and protect Canadian culture in the digital age.

The strategy's approach to cultural policy may have to await further consultations and consensus building, Courtois said. 

Lynn Meahan, press secretary to Clement, wouldn’t say what the strategy will contain or when it will be released, but in an email acknowledged that the government continues to consult on it.

Meahan said the government “will continue its dialogue with industry and other stakeholders to seek views on what are the priorities for the private and public sectors.”  

One of the central issues is likely to be copyright and intellectual property, given the government’s national public consultations on copyright reform conducted last summer.

Meahan noted that the government received “extensive comments” over the summer, and that, “Once we have reviewed these submissions, we will turn our attention to the drafting new legislation.” 

Clement said earlier this year that one of his top priorities in the next session of Parliament is to introduce a copyright reform bill.

“What we need to achieve here, of course, is recognition that there is such a thing as intellectual property,” Garneau said. “We need to recognize that intellectual property does have a value.

“It’s a question of balancing that and at the same time keeping the Internet as accessible to as many people as possible and not hampering the flow of information."

This week in Mexico, from Jan. 26 to 29, Canada is participating in another round of closed-door talks related to the Anti-Counterfeiting Trade Agreement (ACTA), which involves a series of proposed intellectual property policies.

Michael Geist, Canada Research Chair of Internet and E-commerce Law at the University of Ottawa and a digital rights advocate, told The Wire Report that he is “very concerned” by the government’s “closed-door” talks on copyright policy. 

“The starting point for digital strategy is that we must have a comprehensive approach,” Geist said. “It doesn’t make any sense to on the one hand promote greater access and competition from a networking perspective and then on the other hand kick people off the Internet merely on the allegation of infringement.” 

Geist said the digital strategy should be made-in-Canada, but “that means borrowing from some of the best of what some other countries have done.

“The Hilary Clinton speech on Internet freedom, that’s the sort of speech that [Liberal Leader] Michael Ignatieff or [Prime Minister] Stephen Harper should be giving,” he said, referring to Secretary of State Clinton's speech delivered on Jan. 21 in Washington. “But there is silence in Canada on these issues.” 

Also on the table are foreign ownership rules, say observers. 

Last month the Conservative government overturned a CRTC ruling on foreign ownership, and allowed Globalive Communications Corp. to move forward with plans to operate a new wireless carrier in Canada.

“We need to push the CRTC to deal with the telecommunications oligarchy because of the lack of competition,” Angus said. “We need more players in the market, better access, and lower prices, because that’s going to impact our competitiveness.”

Angus referred to a March 2009 report by the Organisation for Economic Co-operation and Development (OECD), which called for the elimination of ownership restrictions in telecommunications.

In other jurisdictions, the United States and Britain have been taking steps toward digital strategies. Critics say that Canada is lagging, however, which could potentially hurt its economy in the long term, especially in the areas of connectivity and wireless. 

Courtois said he expects the national digital strategy to be released in the weeks ahead—adding that he hopes it will be included in the federal government’s March budget.  

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