CRTC keeps decision allowing big telcos to use competitors’ networks

The Canadian Radio-television and Telecommunications Commission (CRTC) will stick with its decision to allow incumbent telecoms to resell internet services on each other’s networks despite arguments against the plan.

The CRTC’s decision wraps up a fight that started nearly a year ago when the commission ruled that Bell and Telus must allow competitors to access their fibre networks. The decision expanded on a temporary directive from 2023 covering Ontario and Quebec to include all of Canada.

While the move was seen as beneficial for expanding the wholesale internet program and enabling internet service providers (ISPs) to access fibre networks, it controversially allowed incumbent players like Bell, Rogers, and Telus to access the same wholesale platform where they don’t already have a network footprint. Many players, both large and small, argued that allowing wholesale access to incumbents would jeopardize competition by allowing the big telecoms to squeeze out smaller ISPs.

Opponents needed to prove there was “substantial doubt” that the CRTC made errors in its decision in order to overturn it. Several groups filed applications with studies to support their claims.

CRTC lays out reasons the decision will encourage investment

But in the commission’s June 20, 2025, decision, the CRTC said that “the balance of the evidence does not establish a substantial doubt” that its original decision was incorrect. The commission cited several findings supporting its original conclusion.

First, the CRTC said that despite claims to the contrary, it found that when an ISP uses wholesale access to provide retail internet service outside of its existing network footprint, it becomes a new choice for consumers.

The commission also found that its decision “will have a modest near-term impact on the market share of regional competitors,” while applicants claimed the decision would severely harm ISPs. In a similar vein, the CRTC noted applicants alleged the decision would give incumbents a competitive advantage because they can bundle offerings, but it found that many ISPs “developed a customer base selling stand-alone Internet plans for many years.”

Finally, the CRTC addressed arguments that the decision would discourage investment in networks, noting that the following items would encourage continued network investment:

• The need for ISPs to remain competitive,
• The operational and cost savings of fibre compared to legacy copper
• The commission’s cost-based wholesale rates, which aim to compensate companies for building out networks
• The investment protections offered by the decision

With all of the above considered, the CRTC declined to change its final decision in the matter.

“Several thousand Canadian households have already purchased new Internet plans offered by dozens of providers that are using the access enabled by the Final Decision. Changing course now would reverse the benefits of this increased competition and would prevent more Canadians from having new choices of ISPs in the future,” the commission said.

Many ISPs fought against the decision

But while the CRTC thinks telcos will be inclined to continue investing in networks, I’m not so sure that’s the case. Bell has been vocal about the ruling, claiming it would slash fibre investments if the CRTC didn’t change course. Earlier this year, Bell launched a public marketing campaign against the fibre wholesale strategy and threatened to drop 1.5 million homes from its fibre rollout plans.

Moreover, Bell CEO Mirko Bibic said the company wasn’t “in the business of building fibre for Telus’s benefit” during the company’s Q4 earnings call.

The Telus callout stems from it bringing its PureFibre internet service to Ontario and Quebec using the wholesale program and Bell’s fibre network. Telus, notably, was one of the few backers of the CRTC’s original wholesale decision, with Bell, Rogers, and many other ISPs opposing incumbent access.

The Globe and Mail notes that the Canadian Telecommunications Association, which represents Bell and Rogers but not Telus, called on the federal government to overturn the decision. Cabinet can make changes to the CRTC’s decision or ask the commission to re-examine the issue until August 13.

Update June 20, 2025 at 3:27 p.m. ET: The CTA shared a statement with MobileSyrup about the CRTC’s decision, saying it was “deeply disappointed” and warning it will “lead to reduced investments in network infrastructure, including in rural and remote communities, and ultimately less choice for Canadians.”