Big broadcasters should not dominate over smaller rivals, Eastlink tells CRTC

The broadcasting landscape is slanted in favour of the big players, a regional company told the CRTC on Wednesday June 25, as the commission held another day of hearings on market dynamics in the broadcasting sector. Bragg Communications Inc. operates as Eastlink in Atlantic Canada and offers internet, mobility, TV, and home phone services. It says large broadcasting distribution undertakings (BDUs) have an unfair advantage due to their size and varied holdings. “Due to increased vertical integration , the vast majority of our BDU’s content costs are now driven by our direct competitors,” Marielle Wilson, vice president of regulatory at Eastlink, told the five-member commission panel Wednesday. She added that the amount of money it forwards to BCE Inc.’s Bell Media and to Rogers Communications Inc. far exceeds the percentage of clients who watch the programming. But a competitive marketplace needs smaller players like Eastlink, she maintained. “Without our presence, the VI entities would have far less incentive to invest in affordable and innovative communications services," Wilson asserted. “While BDU subscribership may be declining, consumers still show a strong preference for bundling TV with their other telecommunications services.” Because of bundling, the internet and telephone service have an effect on BDU subscriptions, she said. She testified that Eastlink is sometimes denied content by the big companies. She urged the regulator to prohibit that practice. During its time before the committee, the Ontario Association of Broadcasters (OAB) concentrated on what the future holds for radio. Local radio is a mainstay of city life in Canada, president Chris Pearson offered, and is threatened by large firms, both Canadian and international. “Without accessibility and discoverability, the policies and objectives discussed at this hearing risk becoming irrelevant,” Pearson stated. The OAB had an aural presentation to back up its arguments. It asked the commissioners to imagine driving in a new car with a voice-activated infotainment system. Asked to play Rock 95, a voice generated by artificial intelligence replied that no local radio receiver was in the car. Asked to stream Rock 95, the radio immediately began playing the song Ahead by a Century by Canada’s The Tragically Hip. Pearson then asked the commissioners to jump a few years ahead. Asked to stream Rock 95, the system stated that the station was not available. Instead it offered Amazon Rock Radio from the United States, playing Hurts So Good by John Cougar. Automanufacturers earn money from driving content on their entertainment systems from their partners, Pearson explained. The OAB wants to ensure that radio receivers continue to be offered in new cars, although it conceded that may not fall within the CRTC mandate and may take government action to fulfill. OAB past president Doug Bingley called on the commission to deal with gatekeepers such as the automakers. “It should be up to the public to decide what they want to hear,” he argued. “Dominant foreign or Canadian entities should not decide who has access to the Canadian broadcasting system and extract a toll for that purpose.” Advocacy group Friends of Canadian Media told the panelists that the commission has the power to change things. Despite the claims of foreign streamers, the CRTC can force them to contribute to Canadian content (CanCon), the group averred. It cautioned against lessening the CanCon requirements for conventional broadcasters. “All of the work that Parliament did to bring the Online Streaming Act to fruition was focused on bringing online undertakings into the system and making them pull their own weight,” Friends chair Raj Shoan offered. “It is not about reducing obligations or commitments to Canadians. It is not about watching the broadcast news sector die a slow death by a thousand cuts.” Non-Canadian streamers should be forced to pay into funding that would give money to allow for local news, Friends maintained. The proceeding continues Thursday with Apple Canada, the Canadian Communication Systems Alliance, and Telus Corp. among the witnesses. ppark@thewirereport.ca

Big broadcasters should not dominate over smaller rivals, Eastlink tells CRTC

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By Paul Park
| June 26, 2025

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Big broadcasters should not dominate over smaller rivals, Eastlink tells CRTC

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