Independent telecom asks CRTC to outlaw bulk deals between carriers and condo developers
Beanfield Metroconnect, an independent telecom provider, is asking the industry regulator to outlaw arrangements between carriers and developers that provide turnkey internet service for all units of a particular condo building.
The Toronto-based company took specific aim at Rogers for its use of «bulk agreements» in an application filed to the CRTC last September. It argued that the deal would eliminate a consumer's ability to choose their provider and that it gives Rogers «an undue advantage» that limits competition.
It wants the commission to declare that Rogers's bulk agreements violate the Telecommunications Act and require it to terminate such deals.
Todd Hofley, Beanfield's vice-president of policy and communications, said bulk agreements create «monopolistic islands» where rival providers can't compete for residents' service as easily.
The agreements typically cover the first five to eight years after the condo is built and see residents pay for internet through their rent or condo fees.
«We are happy to compete against the incumbents whenever that playing field is even and is level,» Hofley said.
While Beanfield's application focuses on Rogers's bulk deals, Hofley said it's a practice that has become increasingly common over the past five years by various major carriers, making it harder for companies like Beanfield to sign up customers in new residential buildings.
He said a CRTC ruling in his company's favour could set a precedent that prevents all carriers from inking bulk agreements with developers.
Over half of Toronto developments in bulk deals
Beanfield estimates that close to half of all new condo or apartment developments in the Toronto area have bulk deals in place.
That's based on a survey of 110 projects the