Rogers needs to work with competitors on TTC network expansion: Experts

Rogers Communications Inc.'s announcement to extend cell service to Toronto’s entire subway system is getting universal praise from experts, activists and elected officials – but they want to see Canada’s other major telecom companies more involved. “This is a step in the right direction,” said Matti Siemiatycki, director of the Infrastructure Institute at the University of Toronto. “Now, we need to make sure that everyone has the same level of access.” Earlier this week, Rogers announced it had reached an agreement to acquire the Canadian arm of BAI Communications, an Australian company that obtained the rights to build out the Toronto Transit Commission’s (TTC) wireless network in 2012. According to Rogers, all TTC users can make 911 calls on station platforms, concourses, and in approximately 25 per cent of the tunnels. There is no set timeline for when access to 911 services will be available in the other 75 per cent of tunnels. It will take nine months to upgrade the existing infrastructure, and a further two years to upgrade the network to 5G. Rogers said the lengthy timeline was due to “limited overnight construction windows,” to allow the subway to remain operational for the TTC’s ridership. The sale between Rogers and BAI has been in the works over the past year, according to BAI's press release, however, the announcement comes after Toronto city council passed a motion in late-March to "call on all cell phone providers” to ensure service is available across the TTC and to notify the provincial and federal governments of its request. Council decided to take action due to an increase in violent incidents on the TTC. Rogers’ announcement has prompted additional questions regarding whether customers of other carriers will be able to benefit from a Rogers-led extension of the subway’s wireless network. In 2015 Wind Mobile (now Quebecor Inc.'s Freedom Mobile) became the first and only provider to sign a service agreement with BAI. Quebecor did not respond to a request for comment on whether it will continue to provide coverage. “There’s still a number of concerns about exactly who will be able to access the network once it’s built out,” said Shelagh Pizey-Allen, executive director of TTCRiders, the transit users advocacy group. “We’re happy the network is going to be expanded but it needs to be for everyone and not just customers of one provider.” Jean-François Obregon, co-founder of the advocacy group A Voice for Transit, shared Pizey-Allen’s concerns. “If everyone is welcomed on the TTC, all wireless phone carriers should be too,” said Obregon in an email. Although no formal announcement has been made regarding involvement of other telecommunications companies, Rogers CEO Tony Staffieri has said his company is open to collaborating with other providers. Rogers’ main competitors would like to be involved in some capacity. “Torontonians want a solution that addresses the increased safety concerns about network connectivity along the TTC. This needs to include access for all cellular providers, so that all riders have coverage,” said Telus Corp. spokesperson Martin Nguyen in an email to The Wire Report. “We are committed to working with the TTC and other carriers to deliver a solution that ensures full access for all riders.”. Meanwhile, Caroline Audet, a spokesperson for BCE Inc. said in an email that “giving the contract to Rogers without any open bid process is surprising” and urged the City to “show some leadership and mandate immediate access for all carriers so that all TTC customers can be served by the carrier of their choice right away.” Bell has long shown interest in building out the TTC’s wireless network. In 2012, Bell submitted a bid during the tendering process that awarded BAI Communications the original contract. According to a TTC report, Bell’s bid was unsuccessful because its proposal “contained several exceptions which are considered unacceptable to the TTC” and “its proposed compensation to the TTC was significantly lower than the compensation offered by BAI.” Ultimately, BAI proposed to pay the TTC $25 million for the contract, whereas Bell’s bid was less than $5.5 million. Notably, the RFP issued in 2012 required the successful proponent to establish a wireless network that could be utilized by “at least 60% of the wireless subscribers within the City of Toronto.” In the 11 years since the tendering process awarded BAI the contract, that threshold has not been met. The finalized version of the original contract was never made public, so it is unclear as to whether BAI was contractually bound to the 60 per cent stipulation. When asked about the likelihood of a more collaborative approach to the project moving forward, the University of Toronto’s Siemiatycki said he believes discussions are already underway between the three major telecom companies to establish an approach that will benefit all subway riders. “There’s still steps to make sure all of the cellphone carriers can gain access,” he said. “I’ve heard those discussions are starting, but the key is making sure that, no matter your provider, everyone has access while riding the subway.” Siemiatycki’s concerns were echoed by Liberal MP Julie Dzerowicz, who represents Davenport, a neighbourhood northwest of downtown Toronto where several transit stations are located. “When I heard about the Rogers announcement, I thought about all the customers of other providers,” said Dzerowicz. “For me, it’s important that this plan is both accessible and affordable for everyone.” According to Dzerowicz, if the big three telecom companies cannot agree to a collaborative approach, the federal government should explore tools at its disposal to make sure all riders have equal access to cell service. “Originally, I didn’t think there was a role for the federal government,” Dzerowicz told The Wire Report. “However, I’m now hearing that the federal government can compel the telecommunications companies to come together.” Dzerowicz, citing her 20 years of business experience, said she is not looking for more government intervention in the private sector, but “from a public safety perspective, basic service for everyone is needed.” She said the decision will likely lie with Industry Minister François-Philippe Champagne, but added she has not spoken to him recently because of the current constituency break in the House of Commons. Champagne’s office did not respond to The Wire Report’s request for comment by deadline. A CRTC spokesperson wrote in an email the commission “is charged with implementing the policy objectives set out in the Telecommunications Act, including ensuring that Canadians have access to reliable, affordable and high-quality telecommunications services,” but did not offer comment on the TTC’s network. According to Sen. Andrew Cardozo, a former commissioner of the CRTC, the commission should intervene in the build out of the TTC’s network. “This is a plus and minus development,” Cardozo wrote in an email. “At last, one subway system will have connectivity, but it must be a competitive space.” “With the acquisition of Shaw, Rogers becomes the national monolith,” he continued. “The CRTC has long regulated on municipal affairs to ensure competition and there’s no reason for an exception here.” Regardless of how the buildout of the TTC’s network proceeds in the coming months, stakeholders all agree – it is long overdue. For Pizey-Allen, the announcement has significant implications for public safety in Toronto’s subway system. While recent violent attacks in the transit system have garnered headlines, Pizey-Allen said these concerns are longstanding. “Safety issues are not new,” she said. “I think that sometimes when we hear about these incredibly tragic stories, like Gabriel Magalhaes, we think that safety protection means protection from these extreme forms of violence or murder.” “But safety is much bigger than that,” she continued. “Throughout the pandemic, there was a rise in anti-Asian racism, including on public transit, which is a safety issue that the TTC has not taken seriously.” Pizey-Allen said improved cell service is only one piece of the puzzle and she would also like to see greater investment in TTC’s support services and staff. According to Rogers’ website, the official acquisition of BAI Communications is expected to be complete within two weeks. -- Reporting by Davis Legree and editing by Jenna Cocullo at jcocullo@thewirereport.ca -- This story has been updated to clarify scope and extent of Rogers' upgrades to the existing network on the TTC.

Rogers needs to work with competitors on TTC network expansion: Experts

News | April 14, 2023

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