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Forums » CRTC Debates Bell Canada Throttling » Anti-competitive
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Spin off the wholesale business »
« Throttling is only viable if pricing model is incorrect...  
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Guspaz
Guspaz
Premium,MVM
join:2001-11-05
Montreal, QC
·Colbanet
·TekSavvy Solutions..

reply to amigo_boy
Re: Anti-competitive

Other ISPs in Bell's service area (Videotron's cable service in Quebec) are not throttled.

Bell is, in effect, preventing wholesalers from effectively competing with unthrottled providers like Videotron.

This is similar to a big store selling stuff below cost to drive other smaller stores out of business.

Bell introduces throttling, Videotron doesn't. Bell loses a few customers, but they have many and can afford it. Also, they lose mostly the less profitable customers. Bell survives.

The wholesalers, though, they're small. They can't really afford to lose many customers, and their core user base tends to be much more affected by the throttling. They can't afford to take the hit, and go bankrupt.

End result? Even though Bell is throttling their own customers, Bell drives the wholesalers out of business by offering them up to the wolves (Videotron). Unable to effectively compete in the marketplace, and unable to take the hit of lost business due to their size and different customer demographic, the wholesalers tank!

If all ISPs throttled, this would not be the case. But since some major ISPs do not throttle, Bell is preventing the wholesalers from competing against non-throttled ISPs. That is anti-competitive.
Forums » CRTC Debates Bell Canada ThrottlingSpin off the wholesale business »
« Throttling is only viable if pricing model is incorrect...  


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