Canadian phone and Internet prices relatively stable: Report

Prices for telephony, wireless, broadband and mobile Internet services have remained relatively stable since 2008, according to a new study by Wall Communications Inc. The CRTC-commissioned study compared prices for wireline, wireless and Internet services between Canada and other jurisdictions from 2008 to 2010. The report said the price of wireline service for low volume users, which clock about 400 minutes per month, has remained relatively stable at $31 dollars per month. Average volume users, who use 1,000 minutes per month, saw their prices increase $3 since 2008 to $51 per month in 2010. High-usage prices, which correspond to about 1,600 minutes per month, declined by about $1 from 2009 to $61 per month. The report identified the United Kingdom as having the lowest average price of countries’ wireline services, at about $42 per month. Canada had the second lowest average, at $51 per month, followed by Japan, at $53. Australia had the highest average price at $86. Low-volume usage for wireless services in Canada remained constant at $33. However medium-usage rates dropped significantly from 2008, from $61 to $52 per month. The report attributed the decline partly to the incumbent telcos’ recent elimination of system access fees, with the exception of SaskTel Mobility. High-volume usage prices rose $7 from 2009 to $110. Although wireless prices are lower in Canada than in the United States, they remain significantly higher than in the United Kingdom, France, Australia and Japan, the report said. Broadband Internet prices for low-speed connections average at $31 per month, roughly the same price as last year. High-speed prices increased $1 from last year to an average of $48 per month, similar to prices offered in France, Australia and Japan. The price for very high speed Internet remained relatively constant from 2009, at $62 per month, but was lower than the 2008 price of $69 per month. The average price of mobile Internet service in Canada, offered through USB Internet sticks, remained at about $54 per month, according to the report. The price puts Canada in the middle of the price group for the service. Canada also placed in the middle of the price group for bundled services, which declined slightly since 2008.

Canadian phone and Internet prices relatively stable: Report

Brief | May 31, 2010

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