Usage Based Billing

Bell wants to start billing the independent ISPs for the bandwidth that their customers use when their data passes over Bell's network. Huh? I thought the independents already pay Bell for that bandwidth. If those fees are not enough, why not just request a change to the existing tariff?

The independent ISP are a thorny problem for Bell because they are real competition. Even though they depend on Bell of that last mile, they differentiate themselves quite well with better customer service, higher caps, and even unlimited accounts. Bell have been bleeding customers to the independents ever since Bell eliminated its unlimited service. When Bell started throttling their own users, the bleeding became a gaping chest wound. Bell decided to throttle the independent ISPs as well but that didn't help, since some companies offered ways to by pass the throttling. UBB would most definitely hurt the independent ISPs since Bell would be imposing caps on all of them. Unlimited accounts would be history everywhere in Bell territory. Even Teksavvy's 200GB account would be gone or become very expensive. The offerings of the independents would eventually look the same as Bell's, which is the goal, I think.

ISPs that have their own DSLAMs in the Central Offices will be unaffected, since their data would not pass over Bell's network. Unfortunately, very few of the independents have the wherewithal needed to make those kinds of infrastructure investments. Bell hasn't exactly made it easy either and have actively resisted allowing other companies into the COs. Only some of the other large telcos like Telus have managed to do it, but even they are not in every CO.

I would be surprised if the CRTC does not approve UBB, after a show of public consultation of course. Yes, I've become quite cynical of the CRTC, which I believe has forgotten that its true purpose is to serve the public interest, not the large corporation's. Bell's application hasn't appeared on the CRTC site yet, but this is the notice that Bell sent to the independent ISPs to inform them of the pending application.