published weekly by Angus TeleManagement Group
Number 482: May 20, 2005
Publication of Telecom Update is made possible by generous
financial support from:
** ALLSTREAM: www.allstream.com
** AVAYA: www.avaya.ca/en/
** BELL CANADA: www.bell.ca
** CISCO SYSTEMS CANADA: www.cisco.com/ca/
** ERICSSON: www.ericsson.ca
** MITEL NETWORKS: www.mitel.com/
** SPRINT CANADA: www.sprint.ca
** UTC CANADA: www.canada.utc.org/
IN THIS ISSUE:
** Wireless Powers $34 Billion Year in Telecom
** Task Force Calls for Tough Anti-Spam Laws
** Telecom Policy Review Gets Under Way
** U.S. VoIP Providers Must Provide E911 by Fall
** Vonage Wants 9-1-1 Deadline Extended
** Bell, Shaw Respond to VoIP Challenges
** Ottawa Funds Broadband in Northern Quebec
** Global Digital Divide Narrows
** Nortel, IBM to Open Joint Research Centre
** Aliant Updates Forbearance Application
** Phonetime Buys B.C. LD Assets
** MTS Bundles Include Charity Offer
** TIW Shareholders Approve Wind-Up
** Telecom Coalition to Host Networking Gala
WIRELESS POWERS $34 BILLION YEAR IN TELECOM: "A new report from
Statistics Canada says the telecom services industry took in $34
billion last year, up 4.1% from 2003. The growth came entirely in
wireless, where revenue rose 17.5%, subscribers increased 12.7%, and
revenue per subscriber increased 3.0%.
** Wireline still produces two-thirds of industry revenue,
but its contribution fell by 0.6%, the third consecutive
annual decline. The number of wireline phones in service
has been falling for 12 quarters: 4Q 2004 was 1.2% below
** At the end of 2004 there were 46.5 mobile phones per 100
inhabitants, up five points from 2003.
** Overall operating profits were $7.2 billion in 2004,
compared to $6.2 billion the previous year. Wireless was
significantly more profitable than wireline.
** Capital spending, which increased in both wireline and
wireless, totaled $5.5 billion in 2004, a 12.2% rise. This
was the first increase since capital spending peaked at
$7.7 billion in 2001.
TASK FORCE CALLS FOR TOUGH ANTI-SPAM LAWS: The final report
of the federal Task Force on Spam, released Tuesday, makes 22
recommendations for combating spam, including new, targeted
anti-spam legislation, and increased resources for enforcement.
(See Telecom Update #433, 461, 470)
** The report calls spam "a significant social and economic
issue, a drain on the business and personal productivity
of Canadians, and a cloak for criminal activity." Spam now
comprises 80% of global email.
TELECOM POLICY REVIEW GETS UNDER WAY: The Telecom Policy Review Panel,
appointed in April (see Telecom Update #477) plans to publish a
discussion paper on June 4, along with a schedule for filing
submissions and other steps in the consultation process. To register
for further information, go to the panel's website.
U.S. VoIP PROVIDERS MUST PROVIDE E911 BY FALL: By the end of
September, all U.S. VoIP phone services that interconnect with the
public switched telephone network must include E911 emergency calling
capabilities to their customers as a mandatory feature. The Federal
Communications Commission order, released yesterday, says that within
** VoIP providers must deliver all 9-1-1 calls, along with
the customer's phone number and location, to the
customer's local emergency operator.
** Incumbent phone companies must provide access to their
E911 networks to any requesting telecommunications
VONAGE WANTS CANADIAN 9-1-1 DEADLINE EXTENDED: Vonage has asked the
CRTC to give it until November (instead of July 3) to comply with the
Commission's order to route all 9-1-1 calls on nomadic VoIP services
to the correct emergency centre (see Telecom Update #476). Vonage says
that selecting contracting, and training an appropriate call centre
will take longer than the time allowed.
BELL, SHAW RESPOND TO VoIP CHALLENGES: As ordered last week by the
CRTC (see Telecom Update #481), Bell Canada and Shaw have responded to
accusations that their VoIP services violate Commission rules. Both
companies say they intend to comply with last week's new VoIP rules as
soon as possible, but should not have been expected to comply with
rules that hadn't yet been set.
OTTAWA FUNDS BROADBAND IN NORTHERN QUEBEC: Industry Canada's Broadband
for Rural and Northern Development (BRAND) program, together with
other federal agencies, has announced $6.9 million in funding to
deploy high-speed Internet to some 51 municipalities in the areas of
Abitibi, Abitibi-Ouest, Rouyn- Noranda, Temiscamingue and the
Vallee-de-l'Or, including seven Algonquin communities.
GLOBAL DIGITAL DIVIDE NARROWS: Marking World Telecommunications Day on
May 17, ITU Secretary-General Yoshio Utsumi reported significant
improvements in access to communications services. The number of
telephone subscribers has quadrupled since 1990, from 10% to 40% of
the population, and about 80% of the world's inhabitants are now
within reach of a mobile signal.
NORTEL, IBM TO OPEN JOINT RESEARCH CENTRE: Nortel Networks and IBM
have agreed to establish a joint research centre in Research Triangle
Park, North Carolina. The deal is the first step in a broader
arrangement to collaborate on the design and development of new
products and services.
** Paul Karr, formerly of Bristol-Myers Squibb in New York,
has been named Nortel's Controller, replacing interim
controller Karen Sledge.
ALIANT UPDATES FORBEARANCE APPLICATION: Updating its April 2004
application for local phone service forbearance (see Telecom Update
#428), Aliant has told the CRTC that it faces competition not just
from EastLink (which the telco claims now serves 29% of local lines in
32 Nova Scotia and PEI exchanges) but also from Primus, Vonage, and
PHONETIME BUYS B.C. LONG DISTANCE ASSETS: Phonetime Inc. has bought
3,000 LD customers, a billing system, and other assets from BeeTel
Communications of Surrey, B.C. Phonetime's Call Select, which targets
ethnic communities, now has 18,000 subscribers.
MTS BUNDLES INCLUDE CHARITY OFFER: Manitoba Telecom offers to donate
$3 to one of three charities for every new customer who chooses a
bundle of MTS services by June 17. MTS sums up the offer as: "three
choices, three bucks, three charities."
TIW SHAREHOLDERS APPROVE WIND-UP: Telesystem International
Wireless shareholders have voted to approve the sale of TIW's
remaining assets to Vodaphone. (See Telecom Update #473)
TELECOM COALITION TO HOST NETWORKING GALA: The Coalition for
Competitive Telecommunications will host a Business Telecom
Networking Gala and Dinner in Toronto on Monday May 30. The
event, which features "An evening at the Vinyl Cafe with
Stuart McLean," is part of the 2005 Canadian Telecom Summit.
For information and to register, go to http://www.gstconferences.com.
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